Mixed-Use Property with Retail
New
For Sale
$549,000
8721 SE Foster Rd, Portland, OR 97266
Residential quarters sit alongside a retail storefront, with the established specialty business, equipment, and inventory included.
Property Size1,694 SF
Price / SF$324.09
Days on Market5
Property Features for 8721 SE Foster Rd
General Information
Standard status
Active
Size
1,694 SF
Additional Details
Business Included
Yes
Highway Access
Yes
Building Details
Year Built
1908
Tenancy
Single
Listing Agency:
Li Lanz Properties, LLC
(503) 936-4154
Listed By:
Li Lanz · License #200308290
Source:
Kingdomreal
Added: Aug 25
Changed: Aug 28
Last Checked: Aug 28 at 11:25AM
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 Li Lanz Properties, LLC
Investment Insights
Based on property information with market context.
This mixed-use property combines a 914-square-foot residence with two bedrooms and 1.5 bathrooms and a 780-square-foot retail storefront. The commercial portion offers display space and inventory storage, while the residential component is positioned steps from the business. Total property size is 1,694 square feet, and the building dates to 1908.
The sale includes the established koi and water-garden business, along with equipment and inventory. Included merchandise consists of koi, goldfish, water-garden plants, pond filtration systems, water treatments, and maintenance accessories. Off-street parking is located behind the building, and the property has frontage along Foster Rd with access to I-205. The business has operated for 24 years.
The sale includes the established koi and water-garden business, along with equipment and inventory. Included merchandise consists of koi, goldfish, water-garden plants, pond filtration systems, water treatments, and maintenance accessories. Off-street parking is located behind the building, and the property has frontage along Foster Rd with access to I-205. The business has operated for 24 years.
Key Highlights
- 1,694‑square‑foot mixed‑use property with a 914‑square‑foot residence and 780‑square‑foot retail storefront
- Residence includes 2 bedrooms and 1.5 bathrooms
- Sale includes the established business, equipment, and inventory
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
$22,869
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
4.17%
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%
$457,380
$457.4K
Cap Rate 7%
$326,700
$326.7K
Cap Rate 9%
$254,100
$254.1K
Market Conditions
NOI Build-Up for 1,694 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
$40.7K $24.00/SF
− Vacancy
−$4.1K −$2.40/SF
EGI
$36.6K $21.60/SF
− OpEx
−$13.7K −$8.10/SF
NOI
$22.9K $13.50/SF
Area
Portland, OR
Vacancy
10.00%
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%
$457,380
Cap Rate 7%
$326,700
Cap Rate 9%
$254,100
Alternative Uses
Best Use
Mixed Use
$326.7K
$285.9K – $381.2K
NOI $22,869 @ 7.0% cap · market cap 4.17%
Second Best
Office B
$313.3K
$274.1K – $365.5K
NOI $21,928 @ 7.0% cap · market cap 3.99%
Theoretical Best
Office A
$475.7K
$416.3K – $555.0K
NOI $33,300 @ 7.0% cap · market cap 6.07%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Turnkey business
Opportunity
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
788
Businesses Nearby
Explore this area
Business Placement
Demographics for 97266, OR
36,095
Population
13,863
Households
2.6
Avg Household Size
37
Median Age
29%
College-Educated
85%
High-School Grad
6.1 sq mi
ZIP Area
5,917
Density / Sq Mi
$71,791
Median Household Income
$39,856
Median Earnings
$1,532
Median Rent
$420,800
Median Home Value
Market
Vacancy Rate% for Office in Portland, OR
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Residential quarters sit alongside a retail storefront, with the established specialty business, equipment, and inventory included.
Where is this mixed-use property located?
The property is located at 8721 SE Foster Rd Portland, OR.
What is the asking price?
The asking price for this property is $549,000.
What are key features of this property?
This property features: 1,694‑square‑foot mixed‑use property with a 914‑square‑foot residence and 780‑square‑foot retail storefront; Residence includes 2 bedrooms and 1.5 bathrooms; Sale includes the established business, equipment, and inventory
