Two-Building Office
For Sale
$965,660
7035 7045 Palm, Highland, CA 92346
Two well-maintained office buildings with secured yards and ample parking, supported by flexible layouts for multiple business types.
Property Size3,644 SF
Lot Size0.39 Acres
Price / SF$265
Days on Market80
Property Features for 7035 7045 Palm
General Information
Standard status
Active
Size
3,644 SF
Lot size
0.39 Acres
Property subtype
Commercial
Zoning
Employment District – Office Professional (OP)
Site & Location
Highway Access
Yes
Fenced Yard
Yes
Building Details
Building Size
3,644 SF
Year Built
1971
Listing Agency:
CENTURY 21 Top Producers
(951) 906-3800
Listed By:
MICHAEL STOFFEL · License #01322027
(951) 906-3800
Source:
Elliman
Added: Jun 4
Changed: Aug 17
Last Checked: Aug 22 at 7:52AM
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 CENTURY 21 Top Producers
Investment Insights
Based on property information with market context.
This offering includes two professional office buildings totaling approximately 3,644 square feet on a 0.39-acre lot. The property is made up of separate street addresses, 7035 Palm Avenue and 7045 Palm Avenue, and features well-maintained office space with flexible layouts suitable for professional, medical, administrative, or service-based uses. Outside, the site includes secured yards, ample on-site parking, and well-kept grounds that support day-to-day operations.
The buildings are located in Highland along Palm Avenue and benefit from highly visible frontage. The property sits within the Employment District – Office Professional (OP) zoning designation. It is positioned near local amenities including restaurants, retail services, and the Highland civic center, with convenient access to SR-210, I-10, and SR-215 for employee and client travel.
For tenants and owner-users, the combination of two buildings and adaptable interior layouts can support a range of office users, from smaller professional teams to medical-leaning administrative operations. For buyers, the two-address configuration provides an investable office portfolio structure while maintaining a functional campus feel with secured outdoor areas and parking. The straightforward setup makes the property suitable for an operator seeking an in-town presence with practical access routes.
The buildings are located in Highland along Palm Avenue and benefit from highly visible frontage. The property sits within the Employment District – Office Professional (OP) zoning designation. It is positioned near local amenities including restaurants, retail services, and the Highland civic center, with convenient access to SR-210, I-10, and SR-215 for employee and client travel.
For tenants and owner-users, the combination of two buildings and adaptable interior layouts can support a range of office users, from smaller professional teams to medical-leaning administrative operations. For buyers, the two-address configuration provides an investable office portfolio structure while maintaining a functional campus feel with secured outdoor areas and parking. The straightforward setup makes the property suitable for an operator seeking an in-town presence with practical access routes.
Key Highlights
- Two professional office buildings totaling approx. 3,644 SF on a 0.39‑acre lot at 7035 and 7045 Palm Avenue
- Year built: 1971; well‑maintained office spaces with flexible layouts for professional, medical, administrative, or service uses
- Employment District – Office Professional (OP) zoning
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
$42,891
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
4.44%
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%
$857,820
$857.8K
Cap Rate 7%
$612,729
$612.7K
Cap Rate 9%
$476,567
$476.6K
Market Conditions
NOI Build-Up for 3,644 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
$62.1K $17.04/SF
− Vacancy
−$4.9K −$1.35/SF
EGI
$57.2K $15.69/SF
− OpEx
−$14.3K −$3.92/SF
NOI
$42.9K $11.77/SF
Area
San Bernardino County, CA
Vacancy
7.90%
Lease Rate
$17.04 /SF/Yr
Expense Ratio
25.00%
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%
$857,820
Cap Rate 7%
$612,729
Cap Rate 9%
$476,567
Alternative Uses
Best Use
Office B
$612.7K
$536.1K – $714.9K
NOI $42,891 @ 7.0% cap · market cap 4.44%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$768.6K
$672.6K – $896.8K
NOI $53,805 @ 7.0% cap · market cap 5.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Fenced yard
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
477
Businesses Nearby
Explore this area
Business Placement
Demographics for 92346, CA
57,812
Population
18,075
Households
3.2
Avg Household Size
36
Median Age
25%
College-Educated
84%
High-School Grad
27.1 sq mi
ZIP Area
2,133
Density / Sq Mi
$84,818
Median Household Income
$40,066
Median Earnings
$1,654
Median Rent
$461,500
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Two well-maintained office buildings with secured yards and ample parking, supported by flexible layouts for multiple business types.
Where is this office building located?
The property is located at 7035 7045 Palm Highland, CA.
What is the asking price?
The asking price for this property is $965,660.
What are key features of this property?
This property features: Two professional office buildings totaling approx. 3,644 SF on a 0.39‑acre lot at 7035 and 7045 Palm Avenue; Year built: 1971; well‑maintained office spaces with flexible layouts for professional, medical, administrative, or service uses; Employment District – Office Professional (OP) zoning
