Historic Restaurant in North
For Sale
$2,750,000
8032 4th St Nw, Los Ranchos, NM 87114
Established New Mexican restaurant with expansive dining and patio space.
Property Size8,591 SF
Lot Size2.04 Acres
Price / SF$320.10
Days on Market195
Property Features for 8032 4th St Nw
General Information
Standard status
Active
Size
8,591 SF
Lot size
2.04 Acres
Taxes and HOA fees
Annual Taxes
$14,198
Listing Agency:
Berkshire Hathaway NM Prop
(505) 220-1669
Listed By:
724 Real Estate
(505) 220-1669
Source:
Exprealty
Added: Jan 26
Changed: Aug 8
Last Checked: Aug 8 at 6:03AM
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 Berkshire Hathaway NM Prop
Investment Insights
Based on property information with market context.
This historic New Mexican restaurant, located in the North Valley, has operated for over 50 years. The restaurant features 8591 square feet of dining and serving space. Sprawling patios include koi fish ponds and gardens. A full-service bar offers custom drinks and cocktails. The interior provides seating for both small and large groups. The property includes full-service kitchens and two large walk-in freezers.
Key Highlights
- Established restaurant with 50+ years of operation and a strong reputation for authentic New Mexican cuisine.
- Expansive 8,591 sq ft dining and serving space suitable for various events.
- Sprawling patios with koi ponds and gardens create an inviting atmosphere.
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
$83,137
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
3.02%
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%
$1,662,740
$1.7M
Cap Rate 7%
$1,187,671
$1.2M
Cap Rate 9%
$923,744
$923.7K
Market Conditions
NOI Build-Up for 8,591 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
$118.6K $13.80/SF
− Vacancy
−$7.7K −$0.90/SF
EGI
$110.8K $12.90/SF
− OpEx
−$27.7K −$3.23/SF
NOI
$83.1K $9.68/SF
Area
ZIP 87114
Vacancy
6.50%
Lease Rate
$13.80 /SF/Yr
Expense Ratio
25.00%
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%
$1,662,740
Cap Rate 7%
$1,187,671
Cap Rate 9%
$923,744
Alternative Uses
Best Use
Specialty Retail
$1.19M
$1.04M – $1.39M
NOI $83,137 @ 7.0% cap · market cap 3.02%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.78M
$1.55M – $2.07M
NOI $124,350 @ 7.0% cap · market cap 4.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
310
Businesses Nearby
30k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Home Improvements & Furnishings 78%
Dining 22%
Tractor Supply Co.
Home Improvements & Furnishings
23,540 visits/mo
0.5 miles
Blake's LotaBurger
Dining
6,647 visits/mo
0.2 miles
Demographics for 87114, NM
69,402
Population
28,038
Households
2.5
Avg Household Size
37
Median Age
39%
College-Educated
95%
High-School Grad
20.9 sq mi
ZIP Area
3,321
Density / Sq Mi
$81,768
Median Household Income
$48,127
Median Earnings
$1,321
Median Rent
$296,200
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.
Similar Off Market Nearby
- Stay in Your Lane — 8025 Edith Blvd NE, Albuquerque, NM 87113
Frequently Asked Questions
What type of property is this?
Restaurant - Established New Mexican restaurant with expansive dining and patio space.
Where is this restaurant located?
The property is located at 8032 4th St Nw Los Ranchos, NM.
What is the asking price?
The asking price for this property is $2,750,000.
What are key features of this property?
This property features: Established restaurant with 50+ years of operation and a strong reputation for authentic New Mexican cuisine.; Expansive 8,591 sq ft dining and serving space suitable for various events.; Sprawling patios with koi ponds and gardens create an inviting atmosphere.
