Target Retail
New
For Sale
$18,720,000
8900 S Sepulveda Boulevard, Los Angeles, CA 90045
Single-tenant retail asset with a long-term NNN lease and community commercial zoning.
Property Size25,400 SF
Price / SF$737.01
Days on Market3
Property Features for 8900 S Sepulveda Boulevard
General Information
Standard status
Active
Size
25,400 SF
Property subtype
Retail
Zoning
[Q]C2-2D-CDO: Community Commercial
Building Details
Building Size
25,400 SF
Year Built
1999
Listing Agency:
SRS Industrial - Newport Beach
(480) 221-4221
Listed By:
Patrick Luther · License #CA 01732226
(480) 221-4221
Source:
Srsre
Added: Aug 28
Changed: Aug 30
Last Checked: Aug 30 at 12:50PM
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 SRS Industrial - Newport Beach
Investment Insights
Based on property information with market context.
This 25,400-square-foot retail property was built in 1999 and is occupied by Target Corporation under a NNN lease. The offering includes fee simple ownership of the land and building, with the tenant responsible for taxes, utilities, routine maintenance, roof covering, and other operating expenses.
The initial lease term runs through January 2036 and includes four extension options. Contractual rent increases include a 10% adjustment in February 2031, with additional 10% increases at the start of each option period. The property is located at 8900 S. Sepulveda Boulevard in Los Angeles and carries [Q]C2-2D-CDO: Community Commercial zoning.
The initial lease term runs through January 2036 and includes four extension options. Contractual rent increases include a 10% adjustment in February 2031, with additional 10% increases at the start of each option period. The property is located at 8900 S. Sepulveda Boulevard in Los Angeles and carries [Q]C2-2D-CDO: Community Commercial zoning.
Key Highlights
- 25,400‑square‑foot retail property built in 1999
- Target Corporation is the NNN lease tenant
- Initial lease term extends through January 2036
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
$589,462
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
3.15%
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%
$11,789,240
$11.8M
Cap Rate 7%
$8,420,886
$8.4M
Cap Rate 9%
$6,549,578
$6.5M
Market Conditions
NOI Build-Up for 25,400 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
$938.8K $36.96/SF
− Vacancy
−$96.7K −$3.81/SF
EGI
$842.1K $33.15/SF
− OpEx
−$252.6K −$9.95/SF
NOI
$589.5K $23.21/SF
Area
Los Angeles, CA
Vacancy
10.30%
Lease Rate
$36.96 /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%
$11,789,240
Cap Rate 7%
$8,420,886
Cap Rate 9%
$6,549,578
Alternative Uses
Best Use
Retail
$8.42M
$7.37M – $9.82M
NOI $589,462 @ 7.0% cap · market cap 3.15%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$514.59M
$450.27M – $600.35M
NOI $36,021,212 @ 7.0% cap · market cap 192.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,010
Businesses Nearby
Explore this area
Business Placement
Demographics for 90045, CA
41,035
Population
17,981
Households
2.3
Avg Household Size
36
Median Age
64%
College-Educated
96%
High-School Grad
10.8 sq mi
ZIP Area
3,800
Density / Sq Mi
$132,577
Median Household Income
$68,684
Median Earnings
$2,909
Median Rent
$1,322,700
Median Home Value
Market
Vacancy Rate% for Retail in Los Angeles, CA
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Single-tenant retail asset with a long-term NNN lease and community commercial zoning.
Where is this retail space located?
The property is located at 8900 S Sepulveda Boulevard Los Angeles, CA.
What is the asking price?
The asking price for this property is $18,720,000.
What are key features of this property?
This property features: 25,400‑square‑foot retail property built in 1999; Target Corporation is the NNN lease tenant; Initial lease term extends through January 2036
