Fully Renovated Office
For Sale
$249,900
158 Penobscot Avenue, Millinocket, ME 04462
COMMERCIAL - Millinocket, ME
Property Size1,533 SF
Lot Size0.05 Acres
Price / SF$163.01
Days on Market91
Property Features for 158 Penobscot Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
R4
Parking features
Off Street, Other
Lot features
Business District, Near Shopping
Standard status
Active
Size
1,533 SF
Lot size
0.05 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
1185
Utilities
Sewer type
Public Sewer
Heating system
Electric (Heating), Heat Pump (Heating), Baseboard
Cooling system
Heat Pump
Water source
Public
Building Details
Year built
1925
Number of units
1
Flooring type
Tile, Tile - Ceramic
Building materials
Masonry, Block
Roof type
Flat
Listing Agency:
ERA Dawson-Bradford Co. · ERA Real Estate
(207) 947-6788
Listed By:
Bruce Bragdon · License #BA913570
(207) 947-3363
Added: May 8
Changed: Aug 4
Last Checked: Aug 6 at 12:06PM
MLS# 1644421
Copyright © 2026 Maine Listings. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Fully renovated office building in the downtown Millinocket business district. The interior layout includes a welcoming reception area, three private offices, and a kitchen area, supported by six heat pumps for climate control. Flooring includes tile and ceramic tile, and heating is provided by heat pumps (heating), electric heating, and baseboard units. The building features masonry and block construction and a flat roof.
The property is located on Penobscot Avenue with steady vehicle and pedestrian activity. Convenient public parking is available directly adjacent to the building, and the parking is owned by the Town of Millinocket. It is currently occupied under a month-to-month triple-net lease, with the tenant intending to vacate in mid-2026, creating an opportunity for a new tenant or an owner-occupied business.
Served by public water and public sewer, the building offers an efficient setup for professional uses and a flexible transition timeline following the mid-2026 move-out.
The property is located on Penobscot Avenue with steady vehicle and pedestrian activity. Convenient public parking is available directly adjacent to the building, and the parking is owned by the Town of Millinocket. It is currently occupied under a month-to-month triple-net lease, with the tenant intending to vacate in mid-2026, creating an opportunity for a new tenant or an owner-occupied business.
Served by public water and public sewer, the building offers an efficient setup for professional uses and a flexible transition timeline following the mid-2026 move-out.
Key Highlights
- 1,533 SF fully renovated office building
- Six heat pumps for climate control
- Reception area plus three private offices and kitchen area
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
$21,671
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
8.67%
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%
$433,420
$433.4K
Cap Rate 7%
$309,586
$309.6K
Cap Rate 9%
$240,789
$240.8K
Market Conditions
NOI Build-Up for 1,533 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
$33.1K $21.60/SF
− Vacancy
−$4.2K −$2.75/SF
EGI
$28.9K $18.85/SF
− OpEx
−$7.2K −$4.71/SF
NOI
$21.7K $14.14/SF
Area
Penobscot County, ME
Vacancy
12.74%
Lease Rate
$21.60 /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%
$433,420
Cap Rate 7%
$309,586
Cap Rate 9%
$240,789
Alternative Uses
Best Use
Office B
$309.6K
$270.9K – $361.2K
NOI $21,671 @ 7.0% cap · market cap 8.67%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$495.1K
$433.2K – $577.6K
NOI $34,658 @ 7.0% cap · market cap 13.87%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
294
Businesses Nearby
Explore this area
Business Placement
Demographics for 04462, ME
4,411
Population
3,302
Households
1.3
Avg Household Size
56
Median Age
20%
College-Educated
96%
High-School Grad
702.8 sq mi
ZIP Area
6
Density / Sq Mi
$44,167
Median Household Income
$23,295
Median Earnings
$553
Median Rent
$89,700
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - R4-zoned, fully renovated office with reception, three offices, and six heat pumps, plus off-street parking.
Where is this office building located?
The property is located at 158 Penobscot Avenue Millinocket, ME.
What is the asking price?
The asking price for this property is $249,900.
What are key features of this property?
This property features: 1,533 SF fully renovated office building; Six heat pumps for climate control; Reception area plus three private offices and kitchen area
