Restaurant with Business and Real
For Sale
$874,000
924 Redwood Drive, Garberville, CA 95542
Includes the business, equipment, land, building, plates, glasses, and utensils.
Property Size2,668 SF
Price / SF$327.59
Days on Market295
Property Features for 924 Redwood Drive
General Information
Standard status
Active
Size
2,668 SF
Property subtype
Commercial
Restaurant
Seating Capacity
50
Equipment Included
Yes
Additional Details
Business Included
Yes
Highway Access
Yes
Amenities
Concrete Flooring
Propane Heating
Tile Flooring
Listing Agency:
SHELTER COVE REALTY
(707) 499-2831
Listed By:
VERN BONHAM III · License #00883393
Source:
Corcoran
Added: Nov 9, 2025
Changed: Aug 30
Last Checked: Aug 30 at 5:51PM
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 SHELTER COVE REALTY
Investment Insights
Based on property information with market context.
This restaurant property combines the business operation with the underlying land and building. The sale includes restaurant equipment, plates, glasses, utensils, and other items needed to support continued food-service use.
The dining room accommodates up to 50 guests, with a menu centered on Hispanic and American cuisine. Located just off U.S. 101 at 924 Redwood Drive in Garberville, the property offers an established restaurant setting in Southern Humboldt.
The dining room accommodates up to 50 guests, with a menu centered on Hispanic and American cuisine. Located just off U.S. 101 at 924 Redwood Drive in Garberville, the property offers an established restaurant setting in Southern Humboldt.
Key Highlights
- Business, equipment, land, and building included in the sale
- Restaurant seating for up to 50 guests
- Sale includes plates, glasses, and utensils
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
$66,770
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
7.64%
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%
$1,335,400
$1.3M
Cap Rate 7%
$953,857
$953.9K
Cap Rate 9%
$741,889
$741.9K
Market Conditions
NOI Build-Up for 2,668 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
$99.2K $37.20/SF
− Vacancy
−$10.2K −$3.83/SF
EGI
$89.0K $33.37/SF
− OpEx
−$22.3K −$8.34/SF
NOI
$66.8K $25.03/SF
Area
Humboldt County, CA
Vacancy
10.30%
Lease Rate
$37.20 /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%
$1,335,400
Cap Rate 7%
$953,857
Cap Rate 9%
$741,889
Alternative Uses
Best Use
Specialty Retail
$953.9K
$834.6K – $1.11M
NOI $66,770 @ 7.0% cap · market cap 7.64%
Second Best
—
—
no second resolved use
Theoretical Best
Flex RnD
$1.01M
$881.6K – $1.18M
NOI $70,529 @ 7.0% cap · market cap 8.07%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
304
Businesses Nearby
22k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 58%
Groceries 30%
Hotels & Casinos 12%
Ray's Food Place
Groceries
6,512 visits/mo
0.1 miles
Chevron
Shops & Services
6,165 visits/mo
0.1 miles
Shell
Shops & Services
4,878 visits/mo
0.1 miles
Best Western Plus Humboldt House Inn
Hotels & Casinos
2,622 visits/mo
0.3 miles
Umpqua Bank
Shops & Services
1,571 visits/mo
0.1 miles
Demographics for 95542, CA
2,519
Population
1,429
Households
1.8
Avg Household Size
46
Median Age
21%
College-Educated
84%
High-School Grad
219.5 sq mi
ZIP Area
11
Density / Sq Mi
$45,049
Median Household Income
$31,250
Median Earnings
$1,442
Median Rent
$413,800
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Includes the business, equipment, land, building, plates, glasses, and utensils.
Where is this conventional restaurant located?
The property is located at 924 Redwood Drive Garberville, CA.
What is the asking price?
The asking price for this property is $874,000.
What are key features of this property?
This property features: Business, equipment, land, and building included in the sale; Restaurant seating for up to 50 guests; Sale includes plates, glasses, and utensils
