Storefront Building with Ocean
For Sale
$565,000
727 NW 3rd Street, Newport, OR 97365
Commercial Sale, Newport, OR
Property Size2,606 SF
Lot Size0.13 Acres
Price / SF$216.81
Days on Market420
Property Features for 727 NW 3rd Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C-2 Tourist Commercial (N
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 1, Bathroom 2
Parking features
Off Street
Appliances
Water Heater, Refrigerator
Subdivision
Sea Home Blocks
Directions
Hwy 101 to NW 3rd to address
Standard status
Active
APN
111108BB-11500-00
Size
2,606 SF
Lot size
0.13 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
2972
Utilities
Utilities
Water Available
Sewer type
Public Sewer
Heating system
Electric (Heating)
Water source
Public
Building Details
Year built
1910
Floors in Building
2
Flooring type
Vinyl
Building materials
T1-11 Type
Roof type
Composition
Listing Agency:
Martek Real Estate
(541) 265-8785
Listed By:
Sonja S. Lovas · License #201104108
(541) 961-3866
Added: Jul 11, 2025
Changed: Aug 19
Last Checked: Sep 3 at 3:06AM
MLS# LC-104250
Copyright © 2026 Oregon Coast MLS. 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.
The property includes a 2,606-square-foot storefront building dating to 1910, along with an additional 0.13-acre lot to the west. Interior features include vinyl flooring, electric heat, two bathrooms, a refrigerator, and a water heater. Off-street parking is available. The building has operated as a bookstore and provides ocean views from most rooms.
Located at 727 NW 3rd Street in Newport’s Nye Beach area, the property sits a few blocks from beach access and near restaurants, boutiques, and the Performing Arts Center. Public water and public sewer serve the property, and the zoning is identified as C-2 Tourist Commercial.
Located at 727 NW 3rd Street in Newport’s Nye Beach area, the property sits a few blocks from beach access and near restaurants, boutiques, and the Performing Arts Center. Public water and public sewer serve the property, and the zoning is identified as C-2 Tourist Commercial.
Key Highlights
- 2,606‑square‑foot storefront building constructed in 1910
- Additional 0.13‑acre lot to the west included
- Ocean views from most rooms
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
$31,716
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
5.61%
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%
$634,320
$634.3K
Cap Rate 7%
$453,086
$453.1K
Cap Rate 9%
$352,400
$352.4K
Market Conditions
NOI Build-Up for 2,606 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
$46.9K $18.00/SF
− Vacancy
−$1.6K −$0.61/SF
EGI
$45.3K $17.39/SF
− OpEx
−$13.6K −$5.22/SF
NOI
$31.7K $12.17/SF
Area
Lincoln County, OR
Vacancy
3.41%
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%
$634,320
Cap Rate 7%
$453,086
Cap Rate 9%
$352,400
Alternative Uses
Best Use
Retail
$453.1K
$396.5K – $528.6K
NOI $31,716 @ 7.0% cap · market cap 5.61%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$679.7K
$594.8K – $793.0K
NOI $47,581 @ 7.0% cap · market cap 8.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,133
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 97365, OR
10,806
Population
6,026
Households
1.8
Avg Household Size
47
Median Age
31%
College-Educated
91%
High-School Grad
41.5 sq mi
ZIP Area
260
Density / Sq Mi
$60,736
Median Household Income
$30,963
Median Earnings
$1,155
Median Rent
$418,500
Median Home Value
Market
Vacancy Rate% for Retail in West 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?
Storefront property - A 1910 retail building includes a west-side lot, public utilities, and off-street parking near beach access.
Where is this storefront property located?
The property is located at 727 NW 3rd Street Newport, OR.
What is the asking price?
The asking price for this property is $565,000.
What are key features of this property?
This property features: 2,606‑square‑foot storefront building constructed in 1910; Additional 0.13‑acre lot to the west included; Ocean views from most rooms
