Kona Warehouse with Docking
For Sale
$2,500,000
73-4465 Paoo Street, Kailua Kona, HI 96740
7,500 sqft warehouse on 4.5 acres near Kona Airport.
Property Size7,500 SF
Lot Size4.50 Acres
Price / SF$333.33
Days on Market168
Property Features for 73-4465 Paoo Street
General Information
Standard status
Active
Size
7,500 SF
Lot size
4.50 Acres
Property subtype
Industrial
Building Details
Building Size
7,500 SF
Year Built
2005
Listing Agency:
GO COMMERCIAL, LLC
(808) 987-6446
Listed By:
Gregory Ogin · License #HI #RB-16053
(808) 987-6446
Source:
Svn-go
Added: Mar 6
Changed: Aug 12
Last Checked: Aug 21 at 4:47AM
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 GO COMMERCIAL, LLC
Investment Insights
Based on property information with market context.
This property features a 7,500 square foot metal high bay warehouse with a docking bay. It is situated on 4.5 acres of land zoned MG-1a. The property is located approximately one mile south of Kona International Airport. The land is under a long-term lease expiring in 2060, with a current monthly rent of $5,888.77 (in 2025).
Key Highlights
- 7500 sq/ft Warehouse on 4.5 acres of Land
- Located near Kona International Airport
- Long term land lease expiring 2060
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
$117,908
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
4.72%
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%
$2,358,160
$2.4M
Cap Rate 7%
$1,684,400
$1.7M
Cap Rate 9%
$1,310,089
$1.3M
Market Conditions
NOI Build-Up for 7,500 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
$140.4K $18.72/SF
− Vacancy
−$1.7K −$0.22/SF
EGI
$138.7K $18.50/SF
− OpEx
−$20.8K −$2.77/SF
NOI
$117.9K $15.72/SF
Area
Hawaii County, HI
Vacancy
1.20%
Lease Rate
$18.72 /SF/Yr
Expense Ratio
15.00%
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%
$2,358,160
Cap Rate 7%
$1,684,400
Cap Rate 9%
$1,310,089
Alternative Uses
Best Use
Warehouse
$1.68M
$1.47M – $1.97M
NOI $117,908 @ 7.0% cap · market cap 4.72%
Second Best
Industrial
$1.39M
$1.21M – $1.62M
NOI $97,101 @ 7.0% cap · market cap 3.88%
Theoretical Best
Specialty Retail
$2.56M
$2.24M – $2.99M
NOI $179,172 @ 7.0% cap · market cap 7.17%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Demographics for 96740, HI
38,234
Population
19,119
Households
2
Avg Household Size
45
Median Age
35%
College-Educated
94%
High-School Grad
242.4 sq mi
ZIP Area
158
Density / Sq Mi
$94,091
Median Household Income
$42,605
Median Earnings
$1,692
Median Rent
$730,600
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - 7,500 sqft warehouse on 4.5 acres near Kona Airport.
Where is this warehouse located?
The property is located at 73-4465 Paoo Street Kailua Kona, HI.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: 7500 sq/ft Warehouse on 4.5 acres of Land; Located near Kona International Airport; Long term land lease expiring 2060
