La Palma Office/Flex
For Sale
Contact for pricing
20 Centerpointe Dr, La Palma, CA 90623
Stabilized office/flex property in a campus setting with cash flow.
Property Size56,175 SF
Price / SF$276.26
Days on Market954
Property Features for 20 Centerpointe Dr
General Information
Standard status
Active
Size
56,175 SF
Class
B
Total Parking Spaces
194
Property subtype
Office
Occupancy
84%
Investment Type
Stabilized
Building Details
Year Built
1988
Buildings
1
Stories
1
Tenancy
Multi
Listing Agency:
CBRE - Orange County
Listed By:
Anthony Delorenzo · License #CA 01706686
Source:
Crexi
Added: Jan 24, 2024
Changed: Aug 14
Last Checked: Sep 3 at 10:44AM
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 CBRE - Orange County
Investment Insights
Based on property information with market context.
This stabilized low-rise office/flex property is situated in a mid-counties campus environment. The property offers a high-image, campus-like setting within a dominant business region. The asset features lush landscaping, recent multimillion-dollar common-area upgrades, and an association lounge space. Convenient surface parking and excellent access to freeways are available. The property benefits from a high-traffic location with high-growth potential. The NNN leases provide ease of ownership. With 8,783 square feet of immediately available occupancy, the property presents an opportunity for an owner-user to occupy the vacancy and offset debt service while generating income from day one. The property contains a total of 56,175 square feet.
Key Highlights
- Strong In‑Place Cash Flow with User Potential.
- NNN leases provide ease of ownership and security.
- High‑Image, Campus‑Environment with lush landscaping and recent common‑area upgrades.
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
$1,104,669
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
7.12%
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%
$22,093,380
$22.1M
Cap Rate 7%
$15,780,986
$15.8M
Cap Rate 9%
$12,274,100
$12.3M
Market Conditions
NOI Build-Up for 56,175 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
$1.68M $29.88/SF
− Vacancy
−$205.6K −$3.66/SF
EGI
$1.47M $26.22/SF
− OpEx
−$368.2K −$6.55/SF
NOI
$1.10M $19.66/SF
Area
Orange County, CA
Vacancy
12.25%
Lease Rate
$29.88 /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%
$22,093,380
Cap Rate 7%
$15,780,986
Cap Rate 9%
$12,274,100
Alternative Uses
Best Use
Office B
$15.78M
$13.81M – $18.41M
NOI $1,104,669 @ 7.0% cap · market cap 7.12%
Second Best
Flex RnD
$14.60M
$12.78M – $17.03M
NOI $1,022,071 @ 7.0% cap · market cap 6.59%
Theoretical Best
Office A
$18.87M
$16.51M – $22.01M
NOI $1,320,764 @ 7.0% cap · market cap 8.51%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,126
Businesses Nearby
Explore this area
Business Placement
Demographics for 90623, CA
15,906
Population
5,191
Households
3.1
Avg Household Size
44
Median Age
49%
College-Educated
94%
High-School Grad
1.8 sq mi
ZIP Area
8,837
Density / Sq Mi
$112,366
Median Household Income
$59,061
Median Earnings
$2,224
Median Rent
$920,200
Median Home Value
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 - Stabilized office/flex property in a campus setting with cash flow.
Where is this office building located?
The property is located at 20 Centerpointe Dr La Palma, CA.
What is the asking price?
The asking price for this property is $15,519,000.
What are key features of this property?
This property features: Strong In‑Place Cash Flow with User Potential.; NNN leases provide ease of ownership and security.; High‑Image, Campus‑Environment with lush landscaping and recent common‑area upgrades.
