Freestanding Light-Manufacturing
New
For Sale
$2,350,000
9540 Stewart And Gray Rd, Downey, CA 90241
Industrial facility combining office, production, warehouse, storage, and a fenced rear yard for flexible operations.
Property Size6,312 SF
Lot Size0.39 Acres
Price / SF$372.31
Days on Market1
Property Features for 9540 Stewart And Gray Rd
General Information
Standard status
Active
Size
6,312 SF
Lot size
0.39 Acres
Property subtype
Industrial
Zoning
DOM1
Site & Location
Highway Access
Yes
Fenced Yard
Yes
Outdoor Storage
Yes
Building Details
Building Size
6,312 SF
Year Built
1981
Buildings
1
Listing Agency:
Century 21 A Better Service
Listed By:
George Valencia · License #02083024
(562) 250-7151
Source:
Elliman
Added: Sep 15
Last Checked: Sep 15 at 2:31PM
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 Century 21 A Better Service
Investment Insights
Based on property information with market context.
This freestanding light-manufacturing property contains 6,312 SF of office, production, warehouse, and storage space on an approximately 16,815 SF, 0.39-acre lot. The front office area includes a lobby and reception space, conference room, private offices, and restroom. Industrial improvements include exposed wood-truss ceilings, skylights, radiant heating, grade-level roll-up doors, mezzanine storage, and open workspace. A fenced rear yard adds secure exterior space for storage, staging, equipment, or vehicles.
Built in 1981 and zoned DOM1* for light manufacturing, the property is positioned near the I-605/Firestone Boulevard interchange. Access to the I-605, I-5, I-105, and I-710 freeways connects the facility with Los Angeles and Orange Counties. The property has been occupied by the same business operation since 1982, providing a long record of continuous use at the site.
Built in 1981 and zoned DOM1* for light manufacturing, the property is positioned near the I-605/Firestone Boulevard interchange. Access to the I-605, I-5, I-105, and I-710 freeways connects the facility with Los Angeles and Orange Counties. The property has been occupied by the same business operation since 1982, providing a long record of continuous use at the site.
Key Highlights
- 6,312 SF freestanding light‑manufacturing building
- Approximately 16,815 SF (0.39‑acre) lot
- Office, production, warehouse, and storage areas
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
$95,214
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
4.05%
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%
$1,904,280
$1.9M
Cap Rate 7%
$1,360,200
$1.4M
Cap Rate 9%
$1,057,933
$1.1M
Market Conditions
NOI Build-Up for 6,312 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
$119.7K $18.96/SF
− Vacancy
−$7.7K −$1.21/SF
EGI
$112.0K $17.75/SF
− OpEx
−$16.8K −$2.66/SF
NOI
$95.2K $15.08/SF
Area
Downey, CA
Vacancy
6.40%
Lease Rate
$18.96 /SF/Yr
Expense Ratio
15.00%
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%
$1,904,280
Cap Rate 7%
$1,360,200
Cap Rate 9%
$1,057,933
Alternative Uses
Best Use
Warehouse
$1.36M
$1.19M – $1.59M
NOI $95,214 @ 7.0% cap · market cap 4.05%
Second Best
Industrial
$1.12M
$980.1K – $1.31M
NOI $78,411 @ 7.0% cap · market cap 3.34%
Theoretical Best
Office A
$2.58M
$2.25M – $3.00M
NOI $180,271 @ 7.0% cap · market cap 7.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Fenced yard
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,216
Businesses Nearby
Explore this area
Business Placement
Demographics for 90241, CA
44,921
Population
15,100
Households
3
Avg Household Size
37
Median Age
25%
College-Educated
81%
High-School Grad
4.9 sq mi
ZIP Area
9,168
Density / Sq Mi
$84,375
Median Household Income
$43,319
Median Earnings
$1,884
Median Rent
$770,100
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 Industrial in West region
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Frequently Asked Questions
What type of property is this?
Manufacturing property - Industrial facility combining office, production, warehouse, storage, and a fenced rear yard for flexible operations.
Where is this manufacturing property located?
The property is located at 9540 Stewart And Gray Rd Downey, CA.
What is the asking price?
The asking price for this property is $2,350,000.
What are key features of this property?
This property features: 6,312 SF freestanding light‑manufacturing building; Approximately 16,815 SF (0.39‑acre) lot; Office, production, warehouse, and storage areas
