Highway 111 Investment
For Sale
$4,500,000
70020-70026 Highway 111, Rancho Mirage, CA 92270
Two contiguous, fully occupied properties on Highway 111 for sale.
Property Size12,071 SF
Days on Market168
Property Features for 70020-70026 Highway 111
General Information
Standard status
Active
Size
12,071 SF
Property subtype
Retail
Building Details
Building Size
12,071 SF
Listing Agency:
Coldwell Banker Commercial Lyle & Associates
(760) 641-7602
Listed By:
Rob Wenthold · License #CalDRE #01153834
(760) 641-7602
Source:
Cbclyle
Added: Mar 6
Changed: Aug 14
Last Checked: Aug 20 at 4:14AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Coldwell Banker Commercial Lyle & Associates
Investment Insights
Based on property information with market context.
Two contiguous properties located on Highway 111 in Rancho Mirage are available for purchase. Situated in the heart of Rancho Mirage's Restaurant Row, the properties at 70020 and 70026 Highway 111 are both 100% occupied. The property at 70020 Highway 111 is occupied by four tenants: a home interior store, a coin shop, a coffee shop, and a second-floor residential apartment. The property at 70026 Highway 111 is occupied by a restaurant.
Key Highlights
- Prime location on Highway 111 in Rancho Mirage's Restaurant Row.
- Rare opportunity to purchase two contiguous properties.
- Both properties are 100% occupied.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$173,023
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.84%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,460,460
$3.5M
Cap Rate 7%
$2,471,757
$2.5M
Cap Rate 9%
$1,922,478
$1.9M
Market Conditions
NOI Build-Up for 12,071 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$260.7K $21.60/SF
− Vacancy
−$13.6K −$1.12/SF
EGI
$247.2K $20.48/SF
− OpEx
−$74.2K −$6.14/SF
NOI
$173.0K $14.33/SF
Area
Riverside County, CA
Vacancy
5.20%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$3,460,460
Cap Rate 7%
$2,471,757
Cap Rate 9%
$1,922,478
Alternative Uses
Best Use
Retail
$2.47M
$2.16M – $2.88M
NOI $173,023 @ 7.0% cap · market cap 3.84%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.62M
$3.16M – $4.22M
NOI $253,139 @ 7.0% cap · market cap 5.63%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
370
Businesses Nearby
2k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Public Storage
Shops & Services
2,159 visits/mo
0.3 miles
Demographics for 92270, CA
16,999
Population
14,936
Households
1.1
Avg Household Size
66
Median Age
47%
College-Educated
95%
High-School Grad
25.6 sq mi
ZIP Area
664
Density / Sq Mi
$109,943
Median Household Income
$60,084
Median Earnings
$1,575
Median Rent
$747,800
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Atrium — 69930 CA-111, Rancho Mirage, CA 92270
Frequently Asked Questions
What type of property is this?
Shopping center - Two contiguous, fully occupied properties on Highway 111 for sale.
Where is this shopping center located?
The property is located at 70020-70026 Highway 111 Rancho Mirage, CA.
What is the asking price?
The asking price for this property is $4,500,000.
What are key features of this property?
This property features: Prime location on Highway 111 in Rancho Mirage's Restaurant Row.; Rare opportunity to purchase two contiguous properties.; Both properties are 100% occupied.
