Sonoma Mixed-Use Commercial
For Sale
$2,850,000
75 Fremont Dr., Sonoma, CA 95476
Unique mixed-use property near Sonoma's wine country with commercial potential.
Property Size6,350 SF
Price / SF$448.82
Days on Market443
Property Features for 75 Fremont Dr.
General Information
Standard status
Active
Size
6,350 SF
Building Details
Year Built
1946
Listing Agency:
EASTSIDE WEST
Listed By:
AMY AHLERS
Source:
Corcoran
Added: Jun 19, 2025
Changed: Mar 16
Last Checked: Apr 12 at 7:51PM
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 EASTSIDE WEST
Investment Insights
Based on property information with market context.
Located at the gateway to Sonoma’s wine country, approximately 45 minutes from the Golden Gate, this mixed-use property offers over 6,350 square feet of space. Situated at the intersection of Highway 116 and 121, the property benefits from high traffic, with over 22,000 cars passing daily. Zoned Limited Commercial, the property has been used as a residence, vacation rental, retreat center, and gallery. It is suitable for a boutique service business, such as a wellness center, retreat or wedding venue, tasting room, or live/work compound with urban farming. The restored Craftsman-style building features three bedrooms and three bathrooms, Douglas Fir floors, and custom tilework. A detached studio includes a fireplace and views. The commercial space spans over 4,400 square feet and includes open layouts, an event-ready room, an ADA-compliant restroom, and four private offices. Over $500,000 in upgrades have been invested, including a new roof, updated well and septic systems, 1GB fiber internet, and an 8-foot concrete stucco perimeter wall. The fully fenced garden features fruit trees, raised beds, a hobby vineyard, an event deck, and redwoods. Skylights provide natural light. The property has the potential for four or more rental units, six bathrooms, and three kitchens.
Key Highlights
- High‑traffic location at the intersection of Hwy 116 & 121 with 22,000+ cars passing daily, ideal for commercial use.
- Versatile mixed‑use property zoned Limited Commercial, suitable for residence, vacation rental, retreat center, gallery, or boutique service business.
- Extensive upgrades totaling over $500K including a new roof, updated well/septic, 1GB fiber internet, and an 8‑ft concrete stucco perimeter wall.
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
$83,820
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
2.94%
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%
$1,676,400
$1.7M
Cap Rate 7%
$1,197,429
$1.2M
Cap Rate 9%
$931,333
$931.3K
Market Conditions
NOI Build-Up for 6,350 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
$152.4K $24.00/SF
− Vacancy
−$18.3K −$2.88/SF
EGI
$134.1K $21.12/SF
− OpEx
−$50.3K −$7.92/SF
NOI
$83.8K $13.20/SF
Area
Sonoma County, CA
Vacancy
12.00%
Lease Rate
$24.00 /SF/Yr
Expense Ratio
37.50%
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%
$1,676,400
Cap Rate 7%
$1,197,429
Cap Rate 9%
$931,333
Alternative Uses
Best Use
Mixed Use
$1.20M
$1.05M – $1.40M
NOI $83,820 @ 7.0% cap · market cap 2.94%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.72M
$1.51M – $2.01M
NOI $120,449 @ 7.0% cap · market cap 4.23%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
61
Businesses Nearby
Explore this area
Business Placement
Demographics for 95476, CA
34,575
Population
16,974
Households
2
Avg Household Size
50
Median Age
41%
College-Educated
90%
High-School Grad
107.8 sq mi
ZIP Area
321
Density / Sq Mi
$108,322
Median Household Income
$52,530
Median Earnings
$2,127
Median Rent
$882,300
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Unique mixed-use property near Sonoma's wine country with commercial potential.
Where is this mixed-use property located?
The property is located at 75 Fremont Dr. Sonoma, CA.
What is the asking price?
The asking price for this property is $2,850,000.
What are key features of this property?
This property features: High‑traffic location at the intersection of Hwy 116 & 121 with 22,000+ cars passing daily, ideal for commercial use.; Versatile mixed‑use property zoned Limited Commercial, suitable for residence, vacation rental, retreat center, gallery, or boutique service business.; Extensive upgrades totaling over $500K including a new roof, updated well/septic, 1GB fiber internet, and an 8‑ft concrete stucco perimeter wall.
