Two-Story NNN Office
For Sale
$3,238,000
891 ULULANI ST, Hilo, HI 96720
Commercial Sale, Hilo, HI
Property Size11,996 SF
Lot Size0.57 Acres
Price / SF$269.92
Days on Market476
Property Features for 891 ULULANI ST
General Information
Property type
Residential
Property subtype
Office
Zoning
CG-7.5
Parking features
Assigned, Covered
Window features
Blinds
Fencing
Chain Link
Subdivision
KUKUAU - 1ST
Lot features
Cleared, Interior Lot
Standard status
Active
APN
3240250070000
Size
11,996 SF
Lot size
0.57 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
34066
Utilities
Utilities
Cable Available
Heating system
Zoned
Cooling system
Varies by Unit, Zoned
Water source
Public
Amenities
conference rooms
central reception areas
showers
laundry room
Building Details
Year built
1995
Floors in Building
2
Number of units
1
Flooring type
Carpet, Vinyl
Listing Agency:
Pacific Image Properties
(808) 870-1009
Listed By:
Tony Wang
(808) 386-5548
Added: Jun 17, 2025
Changed: Sep 30
Last Checked: Oct 5 at 9:06AM
MLS# 721953
Copyright © 2026 Hawaii Information Service. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 11,996-square-foot office building was constructed in 1995 and includes two floors of ADA-compliant space. The layout provides private offices, conference rooms, reception areas, restrooms on both levels, ground-floor showers, an elevator, and a laundry room with washer and dryer hookups. A zoned air-conditioning system was installed in 2024. Vinyl and carpet flooring are installed throughout, with covered and assigned parking available.
The property is located at 891 Ululani St in Hilo, directly across from the Hilo Police Department and outside the Tsunami Evacuation Zone. Its True Triple Net lease places property taxes and maintenance costs with the tenant, and scheduled increases are tied to the Honolulu annual CPI. The current annual cap rate is 6.78%. The site encompasses 0.5693 acres and carries CG-7.5 zoning. Tenant access requires authorization, and site visits are not permitted.
The property is located at 891 Ululani St in Hilo, directly across from the Hilo Police Department and outside the Tsunami Evacuation Zone. Its True Triple Net lease places property taxes and maintenance costs with the tenant, and scheduled increases are tied to the Honolulu annual CPI. The current annual cap rate is 6.78%. The site encompasses 0.5693 acres and carries CG-7.5 zoning. Tenant access requires authorization, and site visits are not permitted.
Key Highlights
- 11,996 square feet of ADA‑compliant office space across two floors
- True Triple Net lease with one tenant and scheduled Honolulu annual CPI increases
- Current annual cap rate of 6.78%
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
$170,772
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
5.27%
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%
$3,415,440
$3.4M
Cap Rate 7%
$2,439,600
$2.4M
Cap Rate 9%
$1,897,467
$1.9M
Market Conditions
NOI Build-Up for 11,996 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
$266.3K $22.20/SF
− Vacancy
−$38.6K −$3.22/SF
EGI
$227.7K $18.98/SF
− OpEx
−$56.9K −$4.75/SF
NOI
$170.8K $14.24/SF
Area
Hawaii County, HI
Vacancy
14.50%
Lease Rate
$22.20 /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%
$3,415,440
Cap Rate 7%
$2,439,600
Cap Rate 9%
$1,897,467
Alternative Uses
Best Use
Office B
$2.44M
$2.13M – $2.85M
NOI $170,772 @ 7.0% cap · market cap 5.27%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$4.09M
$3.58M – $4.78M
NOI $286,580 @ 7.0% cap · market cap 8.85%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Single-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Demographics for 96720, HI
46,615
Population
19,826
Households
2.4
Avg Household Size
43
Median Age
34%
College-Educated
95%
High-School Grad
287.8 sq mi
ZIP Area
162
Density / Sq Mi
$78,537
Median Household Income
$41,268
Median Earnings
$1,346
Median Rent
$458,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - ADA-compliant commercial offices leased to one tenant under a long-term True Triple Net agreement.
Where is this office building located?
The property is located at 891 ULULANI ST Hilo, HI.
What is the asking price?
The asking price for this property is $3,238,000.
What are key features of this property?
This property features: 11,996 square feet of ADA‑compliant office space across two floors; True Triple Net lease with one tenant and scheduled Honolulu annual CPI increases; Current annual cap rate of 6.78%
