Retail Building in Developing
For Sale
$4,500,000
717 Laurel Street, San Carlos, CA 94070
Retail building with redevelopment potential in pedestrian-friendly downtown San Carlos.
Property Size5,550 SF
Price / SF$810.81
Days on Market569
Property Features for 717 Laurel Street
General Information
Standard status
Active
Size
5,550 SF
Property subtype
Commercial
Amenities
Central air
Central Air Cooling
Central Forced Air Heating
Parking Area
Building Details
Year Built
1951
Listing Agency:
KINGHORN COMMERCIAL PROPERTIES
(650) 918-4388
Listed By:
RANDY KINGHORN · License #01743580
Source:
Corcoran
Added: Jan 30, 2025
Changed: Aug 8
Last Checked: Aug 13 at 9:02AM
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 KINGHORN COMMERCIAL PROPERTIES
Investment Insights
Based on property information with market context.
The property at 717 Laurel Street is a single-tenant building featuring approximately 5,550 square feet of ground floor retail space, complemented by an additional +/- 1,800 square feet of mezzanine space. This property offers value-add potential through re-tenanting and possible subdivision into multiple retail units. The building is also suitable for an owner/user to occupy when the current tenant's lease expires in March 2026. Located in San Carlos, the property benefits from ongoing development in the area, making it a potentially solid long-term investment. The city has permanently closed this section of Laurel Street to vehicular traffic with plans to transform the 700 block into a public plaza, fostering a more vibrant and pedestrian-friendly downtown environment.
Key Highlights
- Prime retail space with 5,550 sf on the ground floor plus +\/-1,800 sf mezzanine.
- Significant value‑add opportunity through re‑tenanting and potential demising for multiple retail units.
- Solid long‑term investment potential in San Carlos due to ongoing development.
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
$141,728
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
3.15%
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%
$2,834,560
$2.8M
Cap Rate 7%
$2,024,686
$2.0M
Cap Rate 9%
$1,574,756
$1.6M
Market Conditions
NOI Build-Up for 5,550 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
$212.5K $38.28/SF
− Vacancy
−$10.0K −$1.80/SF
EGI
$202.5K $36.48/SF
− OpEx
−$60.7K −$10.94/SF
NOI
$141.7K $25.54/SF
Area
San Mateo County, CA
Vacancy
4.70%
Lease Rate
$38.28 /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%
$2,834,560
Cap Rate 7%
$2,024,686
Cap Rate 9%
$1,574,756
Alternative Uses
Best Use
Retail
$2.02M
$1.77M – $2.36M
NOI $141,728 @ 7.0% cap · market cap 3.15%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$4.41M
$3.86M – $5.14M
NOI $308,590 @ 7.0% cap · market cap 6.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,731
Businesses Nearby
35k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 52%
Dining 48%
Shell
Shops & Services
18,104 visits/mo
0.4 miles
Jack in the Box
Dining
16,149 visits/mo
0.4 miles
Boba Guys
Dining
709 visits/mo
0.2 miles
Demographics for 94070, CA
31,585
Population
11,958
Households
2.6
Avg Household Size
42
Median Age
68%
College-Educated
97%
High-School Grad
6.1 sq mi
ZIP Area
5,178
Density / Sq Mi
$235,373
Median Household Income
$118,194
Median Earnings
$2,802
Median Rent
$2,000,001
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.
Frequently Asked Questions
What type of property is this?
Retail space - Retail building with redevelopment potential in pedestrian-friendly downtown San Carlos.
Where is this retail space located?
The property is located at 717 Laurel Street San Carlos, 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 retail space with **5,550 sf on the ground floor plus +\/-1,800 sf mezzanine**.; Significant value‑add opportunity through re‑tenanting and potential demising for multiple retail units.; Solid long‑term investment potential in San Carlos due to ongoing development.
