Freestanding Retail
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For Sale
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7425 West Clearwater Avenue, Kennewick, WA 99336
Updated freestanding retail building with major building systems replaced in 2025 and on-site parking.
Property Size29,645 SF
Price / SF$199.02
Days on Market7
Property Features for 7425 West Clearwater Avenue
General Information
Standard status
Active
Size
29,645 SF
Property subtype
OFFICE
Additional Details
Sprinkler System
Yes
Building Details
Year Renovated
2025
Buildings
1
Listing Agency:
NAI Tri-Cities Commercial
(509) 943-5200
Listed By:
Kenny Teasdale · License #135860
(509) 491-2205
Source:
Moodyscre
Added: Sep 9
Changed: Sep 11
Last Checked: Sep 14 at 6:42AM
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 NAI Tri-Cities Commercial
Investment Insights
Based on property information with market context.
This freestanding retail property provides 29,645 square feet of commercial space at 7425 West Clearwater Avenue in Kennewick. The building received substantial system upgrades in 2025, including replacement work involving the roof, sprinkler system, electrical components, insulation, and lighting. On-site parking is also available, supporting the needs of a larger-format retail operation.
Key Highlights
- 29,645 SF freestanding retail building
- Major building‑system improvements completed in 2025
- New roof, sprinkler system, electrical, insulation, and lighting
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
$348,874
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
5.91%
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%
$6,977,480
$7.0M
Cap Rate 7%
$4,983,914
$5.0M
Cap Rate 9%
$3,876,378
$3.9M
Market Conditions
NOI Build-Up for 29,645 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
$533.6K $18.00/SF
− Vacancy
−$35.2K −$1.19/SF
EGI
$498.4K $16.81/SF
− OpEx
−$149.5K −$5.04/SF
NOI
$348.9K $11.77/SF
Area
Benton County, WA
Vacancy
6.60%
Lease Rate
$18.00 /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%
$6,977,480
Cap Rate 7%
$4,983,914
Cap Rate 9%
$3,876,378
Alternative Uses
Best Use
Retail
$4.98M
$4.36M – $5.81M
NOI $348,874 @ 7.0% cap · market cap 5.91%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$8.22M
$7.19M – $9.59M
NOI $575,570 @ 7.0% cap · market cap 9.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Sprinkler system
Location Intelligence
Trade Area within ½ mile
1,079
Businesses Nearby
118k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 46%
Shops & Services 37%
Apparel 15%
Hotels & Casinos 1%
McDonald's
Dining
27,379 visits/mo
0.1 miles
Circle K
Shops & Services
24,976 visits/mo
0.4 miles
Goodwill
Apparel
17,951 visits/mo
0.2 miles
Starbucks
Dining
11,929 visits/mo
0.3 miles
Mister Car Wash
Shops & Services
9,661 visits/mo
0.4 miles
Demographics for 99336, WA
51,127
Population
20,915
Households
2.4
Avg Household Size
33
Median Age
21%
College-Educated
85%
High-School Grad
13.4 sq mi
ZIP Area
3,815
Density / Sq Mi
$63,308
Median Household Income
$38,211
Median Earnings
$1,155
Median Rent
$292,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - Updated freestanding retail building with major building systems replaced in 2025 and on-site parking.
Where is this storefront property located?
The property is located at 7425 West Clearwater Avenue Kennewick, WA.
What is the asking price?
The asking price for this property is $5,900,000.
What are key features of this property?
This property features: 29,645 SF freestanding retail building; Major building‑system improvements completed in 2025; New roof, sprinkler system, electrical, insulation, and lighting
