Tempe Retail Showroom For
For Sale
Contact for pricing
9959 S Priest Dr, Tempe, AZ
Retail showroom with truckwell and ample parking in Tempe, AZ.
Property Size24,888 SF
Lot Size1.52 Acres
Price / SF$200.90
Days on Market384
Property Features for 9959 S Priest Dr
General Information
Standard status
Active
Size
24,888 SF
Lot size
1.52 Acres
Property subtype
RETAIL
Listing Agency:
Lee & Associates | Phoenix
(602) 956-7777
Listed By:
Thomas Boyle
(602) 954-3753
Source:
Moodyscre
Added: Aug 26, 2025
Changed: Sep 2
Last Checked: Sep 12 at 10:27AM
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 Lee & Associates | Phoenix
Investment Insights
Based on property information with market context.
This retail showroom property, built in 2000, features 24,888 square feet of space with full air conditioning. The lot size is 66,042 square feet. It includes a truckwell and 47 parking stalls. The property is zoned PCC-2 under the City of Tempe.
Key Highlights
- Large Lot Size: 66,042 SF
- Retail Showroom: 100% AC
- Ample Parking: 47 Stalls
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
$290,070
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
5.80%
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%
$5,801,400
$5.8M
Cap Rate 7%
$4,143,857
$4.1M
Cap Rate 9%
$3,223,000
$3.2M
Market Conditions
NOI Build-Up for 24,888 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
$448.0K $18.00/SF
− Vacancy
−$33.6K −$1.35/SF
EGI
$414.4K $16.65/SF
− OpEx
−$124.3K −$5.00/SF
NOI
$290.1K $11.66/SF
Area
Tempe, AZ
Vacancy
7.50%
Lease Rate
$18.00 /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%
$5,801,400
Cap Rate 7%
$4,143,857
Cap Rate 9%
$3,223,000
Alternative Uses
Best Use
Retail
$4.14M
$3.63M – $4.83M
NOI $290,070 @ 7.0% cap · market cap 5.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$7.83M
$6.85M – $9.13M
NOI $547,845 @ 7.0% cap · market cap 10.96%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
601
Businesses Nearby
188k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 68%
Shops & Services 18%
Home Improvements & Furnishings 14%
In-N-Out Burger
Dining
63,299 visits/mo
0.1 miles
BJ's Restaurant and Brewhouse
Dining
29,783 visits/mo
0.2 miles
Lowe's
Home Improvements & Furnishings
26,162 visits/mo
0.1 miles
McDonald's
Dining
21,182 visits/mo
0.0 miles
Circle K
Shops & Services
16,134 visits/mo
0.1 miles
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Showroom - Retail showroom with truckwell and ample parking in Tempe, AZ.
Where is this showroom located?
The property is located at 9959 S Priest Dr Tempe, AZ.
What is the asking price?
The asking price for this property is $5,000,000.
What are key features of this property?
This property features: Large Lot Size: 66,042 SF; Retail Showroom: 100% AC; Ample Parking: 47 Stalls
