Freestanding Flex/Industrial/Retail San Jose
For Sale
$3,000,000
San Jose, CA 95126, San Jose, CA 95126
Single-story flex/industrial/retail property in a rapidly transforming San Jose neighborhood.
Property Size8,568 SF
Price / SF$350.14
Days on Market270
Property Features
General Information
Standard status
Active
Size
8,568 SF
Property subtype
Industrial
Building Details
Building Size
8,568 SF
Year Built
1920
Listing Agency:
TRI Commercial | Walnut Creek
(408) 207-8906
Listed By:
Martin A. Morici · License #CalDRE #00990974
(408) 207-8906
Source:
Corfac
Added: Nov 25, 2025
Changed: Aug 22
Last Checked: Aug 22 at 4:26AM
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 TRI Commercial | Walnut Creek
Investment Insights
Based on property information with market context.
This single-story, freestanding flex/industrial/retail property is located in downtown San Jose on San Carlos Street/Stevens Creek Blvd, a major thoroughfare. Situated in a rapidly transforming neighborhood, the property is surrounded by numerous residential redevelopment projects expected to significantly boost local activity. It benefits from close proximity to many restaurants and retail amenities, as well as immediate access to I-280 and Highway 87. The property, built in 1920, has a total land size of approximately 21,345 square feet and includes extra space in the basement, which is not included in the total building size of 8,568 square feet. The property is vacant and features two grade-level doors. The zoning is Transit Residential, and buyers should verify zoning and approved uses. SBA financing opportunities may be available. Power specifications are to be determined and verified by the buyer.
Key Highlights
- Prime location in rapidly transforming downtown San Jose neighborhood with residential redevelopment projects.
- Immediate access to I‑280 and Highway 87.
- Rare freestanding single‑story flex/industrial/retail property.
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
$231,434
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
7.71%
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%
$4,628,680
$4.6M
Cap Rate 7%
$3,306,200
$3.3M
Cap Rate 9%
$2,571,489
$2.6M
Market Conditions
NOI Build-Up for 8,568 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
$346.5K $40.44/SF
− Vacancy
−$15.9K −$1.85/SF
EGI
$330.6K $38.59/SF
− OpEx
−$99.2K −$11.58/SF
NOI
$231.4K $27.01/SF
Area
San Jose, CA
Vacancy
4.58%
Lease Rate
$40.44 /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%
$4,628,680
Cap Rate 7%
$3,306,200
Cap Rate 9%
$2,571,489
Alternative Uses
Best Use
Retail
$3.31M
$2.89M – $3.86M
NOI $231,434 @ 7.0% cap · market cap 7.71%
Second Best
Flex RnD
$2.28M
$1.99M – $2.66M
NOI $159,523 @ 7.0% cap · market cap 5.32%
Theoretical Best
Office A
$5.17M
$4.53M – $6.04M
NOI $362,213 @ 7.0% cap · market cap 12.07%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,987
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 95126, CA
37,372
Population
16,936
Households
2.2
Avg Household Size
36
Median Age
55%
College-Educated
89%
High-School Grad
3.3 sq mi
ZIP Area
11,325
Density / Sq Mi
$127,297
Median Household Income
$72,722
Median Earnings
$2,544
Median Rent
$1,195,700
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Buddy's Batch — 355 Meridian Ave, San Jose, CA 95126
- Carroll's Catering — San Jose, CA 95126
- My Hero Kitchen — 355 Meridian Ave, San Jose, CA 95126
- My Green Lunch — 355 Meridian Ave, San Jose, CA 95126
- Golden State Ice Cream — 330 Race St, San Jose, CA 95126
Frequently Asked Questions
What type of property is this?
Flex space - Single-story flex/industrial/retail property in a rapidly transforming San Jose neighborhood.
Where is this flex space located?
The property is located at San Jose, CA.
What is the asking price?
The asking price for this property is $3,000,000.
What are key features of this property?
This property features: Prime location in rapidly transforming downtown San Jose neighborhood with residential redevelopment projects.; Immediate access to I‑280 and Highway 87.; Rare freestanding single‑story flex/industrial/retail property.
