Listing Agency: Kona Coast Realty Corporation r**@konacoastrealty.com Show Phone

Listed By: Susan S. Aronson Show Phone

Source: Exprealty

Added: Aug 27, 2025 Changed: Aug 21 Last Checked: Sep 11 at 2:58PM

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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 Kona Coast Realty Corporation

Investment Insights

Based on property information with market context.

This vacant former American Savings Bank building offers flexibility for a variety of business uses. The property includes an upgraded septic system and lots of paved parking to support on-site operations.

The building is located at 81-6644 Mamalahoa Hwy in Kealakekua, HI and is presented for sale. With on-site parking and updated septic infrastructure, the space may be appropriate for buyers seeking an adaptable commercial facility.

For showings and to review potential use cases, contact the listing broker from the call list.

Key Highlights

• Vacant former American Savings Bank building in Kealakekua
• Upgraded septic system
• Lots of paved parking

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

$47,015

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

5.53%

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%

$940,300 $940.3K

Cap Rate 7%

$671,643 $671.6K

Cap Rate 9%

$522,389 $522.4K

Market Conditions

NOI Build-Up for 1,968 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

$66.1K $33.60/SF

− Vacancy

−$3.4K −$1.75/SF

EGI

$62.7K $31.85/SF

− OpEx

−$15.7K −$7.96/SF

NOI

$47.0K $23.89/SF

Area

Hawaii County, HI

Vacancy

5.20%

Lease Rate

$33.60 /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%

$940,300

Cap Rate 7%

$671,643

Cap Rate 9%

$522,389

Alternative Uses

Best Use

Specialty Retail

$671.6K

$587.7K – $783.6K (±1% cap)

NOI $47,015 @ 7.0% cap · market cap 5.53%

Second Best

Retail

$607.2K

$531.3K – $708.4K (±1% cap)

NOI $42,506 @ 7.0% cap · market cap 5.00%

Theoretical Best

—

—

same as Best Use

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

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Current Use

Banks

Location Intelligence

Demographics for 96750, HI

3,806

Population

1,220

Households

3.1

Avg Household Size

47

Median Age

28%

College-Educated

89%

High-School Grad

19.8 sq mi

ZIP Area

192

Density / Sq Mi

$86,293

Median Household Income

$42,024

Median Earnings

$1,076

Median Rent

$613,800

Median Home Value

Market

Vacancy Rate% for Retail in West region

7% 2020

6.3% 2021

5.5% 2022

5.3% 2023

5.5% 2024

5.8% 2025

Questions? Ask Rey

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What type of property is this? Where is this banks located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Bank - Vacant former American Savings Bank building with upgraded septic system and lots of paved parking.

Where is this bank located?

The property is located at 81-6644 Mamalahoa Hwy Kealakekua, HI.

What is the asking price?

The asking price for this property is $850,000.

What are key features of this property?

This property features: Vacant former American Savings Bank building in Kealakekua; Upgraded septic system; Lots of paved parking