Palm Springs, CA
Commercial Real Estate Market Trends & Data

$296 Avg asking sale price
$259 Avg asking lease rate
25,048 SF Avg unit lease size
75,309 SF Avg building size for sale
5.98% Average cap rate

Palm Springs's Demographic Profile

Palm Springs has 35,943 households and a median income of $69,911, providing context for rent absorption and tenant demand across retail and multifamily assets. A +13% five-year population trend is a key signal for evaluating long-term demand in this market.

Key Demographic Metric Value
Population 67,335
# Households 35,943
Median age 58
Median household income $69,911
Avg household size 2.0
Renter-occupied housing units 13,500
5-year population change +13%

{{marketTabHeadings[activeMarketTab]}} Market Metrics Near Palm Springs, CA

↻ Updated Monthly

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Nearby Office Markets Avg Cost/SF Typical Size Cap Max
Palm Springs $345 15,166 SF 7.23%
Cathedral City $252 16,665 SF 7.23%
Rancho Mirage $329 9,782 SF 6.00%
North Palm Springs $297 2,974 SF 6.86%
Nearby Industrial Markets Avg Cost/SF Typical Size Cap Max
Palm Springs $203 137,727 SF 7.23%
Cathedral City $237 19,546 SF 7.23%
North Palm Springs $176 242,293 SF 6.86%
Nearby Retail Markets Avg Cost/SF Typical Size
Palm Springs $301 43,726 SF
Cathedral City $368 54,601 SF
Rancho Mirage $444 17,112 SF
Pinyon Pines $292 5,784 SF
Mountain Center $292 5,784 SF
Nearby Multifamily Markets Avg Cost/SF Typical Size Cap Max
Palm Springs $305 11,772 SF 8.38%
Cathedral City $289 8,990 SF 6.00%
Rancho Mirage $255 9,490 SF 6.00%
Palm Desert $370 3,986 SF 8.95%
Desert Hot Springs $315 3,781 SF 5.03%

Commercial Properties For Sale in Palm Springs

The listings below reflect how current market pricing and building scale translate into active opportunities available today.
For Sale

3535 N Anza Rd

Palm Springs, CA 92262

  • 23,000 SF Industrial Building
  • $3,657,000
For Sale

The Alexander Hotel-Boutique Hotel Renovation

Palm Springs, CA 92262

  • 7,500 SF Hospitality
  • $1,850,000
For Sale

17100 Indian Canyon Dr

North Palm Springs, CA 92258

  • 3,000 SF Office Building
  • 6.86% Cap Rate
  • $1,049,000
For Sale

37250 Bankside Dr

Cathedral City, CA 92234

  • 6,680 SF Multifamily
  • 4.45% Cap Rate
  • $1,800,000
For Sale

Sunset Palms Apartments

Palm Springs, CA

  • 5.50% Cap Rate
  • $3,500,000
For Sale

Lot 37

North Palm Springs, CA 92258

  • 5,180 SF Industrial Building
  • 4.93% Cap Rate
  • $1,200,000

Average Price For Sale

↻ Updated Monthly

Average Price For Lease

↻ Updated Monthly

Number of Listings

↻ Updated Monthly

Cap Rate

↻ Updated Monthly

How Investors Evaluate Commercial Real Estate Markets

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Single Tenant Triple Net Lease Investing
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Modified Gross Lease Explained for CRE Investors
Modified Gross Lease Explained for CRE Investors
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Duplex vs. Triplex vs. Fourplex Comparison for Real Estate Investors
Duplex vs. Triplex vs. Fourplex Comparison for Real Estate Investors
Compare financing options, management requirements, and risk factors across 2-4 unit properties to choose the right investment for your goals
Land Entitlement
Land Entitlement
Identifying Risks and Mitigation Strategies for Unentitled Land
Land Loan Calculator
Land Loan Calculator
Use this calculator to estimate monthly payments, interest, and total financing costs for raw, unimproved, or improved land purchases.
Multifamily Financing Options & Rates
Multifamily Financing Options & Rates
A comprehensive overview of multifamily loan programs, current market rates, and essential requirements for successful financing in today's market
What are Reciprocal Easement Agreements in CRE?
What are Reciprocal Easement Agreements in CRE?
REAs In Commercial Real Estate Generally Apply to Retail, Office and Mixed-Use Projects

Nearby Commercial Markets

Comparing nearby markets helps investors see whether Palm Springs pricing and building scale sit above, below, or in line with surrounding areas.

Commercial Markets Avg Cost/SF Average Size
Palm Springs $296 75,309 SF
Cathedral City $299 54,244 SF
Rancho Mirage $377 15,452 SF
Pinyon Pines $292 5,784 SF
Mountain Center $292 5,784 SF

Regional Demographic Comparison

This comparison places Palm Springs alongside nearby cities to show how population size, household counts, and income levels differ across the region. Viewing these markets side by side helps investors understand whether local demand and income characteristics are concentrated in Palm Springs or distributed across surrounding areas.

City Population # Households Age Median Household Income Avg Household Size Renter Occupied Housing Units Five Yr Pop Growth %
Palm Springs 67,335 35,943 58 $69,911 2 13,500 13%
Cathedral City 56,318 20,113 42 $61,469 3 7,327 7%
Rancho Mirage 27,618 13,994 66 $101,327 2 2,569 14%
Pinyon Pines 1,847 774 51 $79,849 2 138 3%

Disclaimer: The figures on this page reflect LoopNet's active commercial listings in Palm Springs, CA and update as inventory changes. Averages can shift between periods or vary across property types depending on the mix of listings available at a given time, so individual metrics may not reflect broader market trends. These figures are best used as directional benchmarks for early market evaluation. For comprehensive commercial real estate data and analytics, subscribe to CoStar.

FAQs About Commercial Investing in Palm Springs

View All Commercial Real Estate For Sale in Palm Springs
Is Palm Springs a good market for a first-time commercial real estate investor?

Palm Springs offers commercial properties across a wide range of sizes and price points. By reviewing the market data and benchmarks on this page, first-time investors can better understand what a typical commercial property looks like before committing capital and narrowing in on specific listings.

How can this market data help me decide whether to buy commercial property for my business in Palm Springs?

The pricing and size metrics on this page help business owners compare the cost of ownership against leasing in Palm Springs. Typical building sizes and asking prices provide a starting point for evaluating space needs, budget fit, and long term occupancy costs before engaging lenders or brokers.

What should conservative investors focus on when evaluating commercial properties in Palm Springs?

Conservative investors often prioritize manageable deal sizes, stable pricing ranges, and cap rate benchmarks shown for Palm Springs. These metrics help assess whether current market conditions support steady income potential without relying on aggressive assumptions.

How does Palm Springs compare to nearby commercial real estate markets?

Nearby market comparisons highlight differences in pricing, building scale, and cap rate ranges relative to Palm Springs. Reviewing these side by side helps experienced investors identify relative value, pricing premiums, or alternative markets that may better align with return targets.

How can this page support early-stage deal screening for Palm Springs acquisitions?

This page provides high-level benchmarks for pricing, deal size, and observed cap rates in Palm Springs, which are useful for initial market filtering. Institutional and data-driven investors often use these signals to prioritize listings that meet size, pricing, and return thresholds before deeper underwriting.

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