Mixed-Use Retail and Office
For Sale
$9,500,000
75-1000 Henry St, Kailua Kona, HI 96740
Two floors offer Class A office space, underground parking, elevator access, and a full-floor fitness facility.
Property Size33,598 SF
Price / SF$282.75
Days on Market517
Property Features for 75-1000 Henry St
General Information
Standard status
Active
Size
33,598 SF
Class
Class A
Elevators
Yes
Site & Location
Highway Access
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$89,584
Building Details
Buildings
1
Stories
2
Tenancy
Multi
Listing Agency:
Joel K. LaPinta
(808) 987-3544
Listed By:
Joel K. LaPinta · License #RB-14261
(808) 987-3544
Source:
Exprealty
Added: Apr 1, 2025
Changed: Aug 30
Last Checked: Jul 18 at 12:03AM
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 Joel K. LaPinta
Investment Insights
Based on property information with market context.
Located at 75-1000 Henry St in Kailua-Kona, this mixed-use commercial building combines retail and office components across two floors. The first floor is occupied entirely by Planet Fitness, while the second floor contains Class A office space. Underground parking is available through elevator access.
The property sits at a signalized corner with frontage along Queen Ka’ahumanu Highway, also designated State Highway 11. It is across from a Walmart-anchored shopping center on Henry Street and diagonally positioned from a Safeway-anchored shopping center.
Planet Fitness has more than seven years remaining on its lease, with a 12% rent increase every four years and three five-year renewal options. The ground lease has more than 33 years remaining, with terms extending through December 2059.
The property sits at a signalized corner with frontage along Queen Ka’ahumanu Highway, also designated State Highway 11. It is across from a Walmart-anchored shopping center on Henry Street and diagonally positioned from a Safeway-anchored shopping center.
Planet Fitness has more than seven years remaining on its lease, with a 12% rent increase every four years and three five-year renewal options. The ground lease has more than 33 years remaining, with terms extending through December 2059.
Key Highlights
- Two‑floor mixed‑use building with retail and office space
- Planet Fitness occupies the entire first floor
- Class A office space on the second floor
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
$725,666
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
7.64%
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%
$14,513,320
$14.5M
Cap Rate 7%
$10,366,657
$10.4M
Cap Rate 9%
$8,062,956
$8.1M
Market Conditions
NOI Build-Up for 33,598 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
$1.11M $33.00/SF
− Vacancy
−$72.1K −$2.15/SF
EGI
$1.04M $30.86/SF
− OpEx
−$311.0K −$9.26/SF
NOI
$725.7K $21.60/SF
Area
Hawaii County, HI
Vacancy
6.50%
Lease Rate
$33.00 /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%
$14,513,320
Cap Rate 7%
$10,366,657
Cap Rate 9%
$8,062,956
Alternative Uses
Best Use
Retail
$10.37M
$9.07M – $12.09M
NOI $725,666 @ 7.0% cap · market cap 7.64%
Second Best
Mixed Use
$9.06M
$7.93M – $10.57M
NOI $634,057 @ 7.0% cap · market cap 6.67%
Theoretical Best
Specialty Retail
$11.47M
$10.03M – $13.38M
NOI $802,643 @ 7.0% cap · market cap 8.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Highway access
Yes
Paved road access
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 Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Two floors offer Class A office space, underground parking, elevator access, and a full-floor fitness facility.
Where is this mixed-use property located?
The property is located at 75-1000 Henry St Kailua Kona, HI.
What is the asking price?
The asking price for this property is $9,500,000.
What are key features of this property?
This property features: Two‑floor mixed‑use building with retail and office space; Planet Fitness occupies the entire first floor; Class A office space on the second floor
