Restaurant/Grocery Location in Chehalis,
For Sale
Contact for pricing
576 W Main Street, Chehalis, WA 98532
Turnkey restaurant opportunity with real estate and business for sale.
Property Size12,267 SF
Price / SF$153.26
Days on Market506
Property Features for 576 W Main Street
General Information
Standard status
Active
Size
12,267 SF
Property subtype
Retail
Zoning
CG
Listing Agency:
Macadam Forbes
(503) 227-2500
Listed By:
Clayton Madey · License #OR 201727196
Source:
Crexi
Added: Apr 2, 2025
Changed: Aug 8
Last Checked: Aug 8 at 11:20AM
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 Macadam Forbes
Investment Insights
Based on property information with market context.
This prominent restaurant and grocery location features building upgrades and on-site parking. The seller is offering the real estate and the established business together, presenting a turnkey restaurant opportunity. Business financials are available upon request. All equipment, infrastructure, and staff may be available to a buyer/operator. Located in Chehalis, Washington, the property spans a full block and offers access and visibility to Interstate 5. Chehalis, in Lewis County, Washington, has transitioned from a logging and railroad town to focus on manufacturing and warehousing in the 21st century. The property is suitable for conventional restaurants, retail, grocery and convenience stores, and other commercial real estate ventures. The building size is 12,267 square feet.
Key Highlights
- Turnkey restaurant/grocery business opportunity with established brand (Jeremy's) and positive cash flow.
- Prime location with excellent access and visibility to Interstate 5 in Chehalis, Washington.
- Abundant on‑site 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
$158,575
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
8.43%
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%
$3,171,500
$3.2M
Cap Rate 7%
$2,265,357
$2.3M
Cap Rate 9%
$1,761,944
$1.8M
Market Conditions
NOI Build-Up for 12,267 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
$232.6K $18.96/SF
− Vacancy
−$6.0K −$0.49/SF
EGI
$226.5K $18.47/SF
− OpEx
−$68.0K −$5.54/SF
NOI
$158.6K $12.93/SF
Area
Lewis County, WA
Vacancy
2.60%
Lease Rate
$18.96 /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%
$3,171,500
Cap Rate 7%
$2,265,357
Cap Rate 9%
$1,761,944
Alternative Uses
Best Use
Retail
$2.27M
$1.98M – $2.64M
NOI $158,575 @ 7.0% cap · market cap 8.43%
Second Best
Specialty Retail
$1.84M
$1.61M – $2.15M
NOI $129,039 @ 7.0% cap · market cap 6.86%
Theoretical Best
Office A
$3.74M
$3.27M – $4.37M
NOI $261,905 @ 7.0% cap · market cap 13.93%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
796
Businesses Nearby
20k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 78%
Hotels & Casinos 17%
Home Improvements & Furnishings 4%
76
Shops & Services
8,020 visits/mo
0.1 miles
Holiday Inn Express & Suites Chehalis-Centralia
Hotels & Casinos
3,465 visits/mo
0.2 miles
Columbia Bank
Shops & Services
3,205 visits/mo
0.1 miles
Hallmark
Shops & Services
1,694 visits/mo
0.2 miles
Napa Auto Parts
Shops & Services
1,595 visits/mo
0.3 miles
Demographics for 98532, WA
25,572
Population
10,300
Households
2.5
Avg Household Size
41
Median Age
24%
College-Educated
93%
High-School Grad
311.6 sq mi
ZIP Area
82
Density / Sq Mi
$86,057
Median Household Income
$47,467
Median Earnings
$1,070
Median Rent
$381,700
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Turnkey restaurant opportunity with real estate and business for sale.
Where is this conventional restaurant located?
The property is located at 576 W Main Street Chehalis, WA.
What is the asking price?
The asking price for this property is $1,880,000.
What are key features of this property?
This property features: Turnkey restaurant/grocery business opportunity with established brand (Jeremy's) and positive cash flow.; Prime location with excellent access and visibility to Interstate 5 in Chehalis, Washington.; Abundant on‑site parking.
