Historic Mixed-Use Corner
For Sale
$2,590,000
811 E 1ST St, Newberg, OR 97132
CommercialSale, Newberg, OR
Property Size7,210 SF
Lot Size0.17 Acres
Price / SF$359.22
Days on Market197
Property Features for 811 E 1ST St
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C3
View
Territorial
Directions
Cross Street: Meridian St
Subdivision
_156
Standard status
Active
APN
48914
Size
7,210 SF
Lot size
0.17 Acres
Taxes and HOA fees
Tax Description
LOT 8 & PT LOT 7 - BLOCK 15 IN DESKINS SECOND ADDITION
Tax Annual Amount
4000
Legal Description
LOT 8 & PT LOT 7 - BLOCK 15 IN DESKINS SECOND ADDITION
Utilities
Heating system
Zoned, Ductless (Heating)
Building Details
Year built
1888
Floors in Building
2
Building materials
Brick
Listing Agency:
Keller Williams Southern Oregon-Umpqua Valley · Keller Williams Realty
(541) 529-2320
Listed By:
Tammy Kenworthy · License #950300189
(541) 952-9340
Added: Feb 10
Changed: Aug 25
Last Checked: Aug 26 at 10:06AM
MLS# 588166607
Copyright © 2026 Regional Multiple Listing Services. 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.
Built in 1888, this brick corner property contains 7,210 square feet on a 0.17-acre parcel. The mixed-use layout places commercial space on the ground floor and two residential units above. The upper-level units are currently operated as short-term rentals, while the lower level is positioned for restaurant, tasting room, retail, or hospitality use. Zoned C3, the property also features zoned and ductless heating.
The building occupies the intersection of E 1st Street and Meridian Street in downtown Newberg. Its location within the city’s commercial core provides a walkable setting and prominent street presence. Original architectural details remain part of the property’s character, while the combination of commercial and residential components supports flexible owner-user or investment-oriented occupancy.
The building occupies the intersection of E 1st Street and Meridian Street in downtown Newberg. Its location within the city’s commercial core provides a walkable setting and prominent street presence. Original architectural details remain part of the property’s character, while the combination of commercial and residential components supports flexible owner-user or investment-oriented occupancy.
Key Highlights
- 7,210‑square‑foot mixed‑use building on 0.17 acres
- Built in 1888 with brick construction and original architectural details
- Ground‑floor commercial space suited to restaurant, tasting room, retail, or hospitality use
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
$93,442
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
3.61%
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%
$1,868,840
$1.9M
Cap Rate 7%
$1,334,886
$1.3M
Cap Rate 9%
$1,038,244
$1.0M
Market Conditions
NOI Build-Up for 7,210 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
$155.7K $21.60/SF
− Vacancy
−$6.2K −$0.86/SF
EGI
$149.5K $20.74/SF
− OpEx
−$56.1K −$7.78/SF
NOI
$93.4K $12.96/SF
Area
Yamhill County, OR
Vacancy
4.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
37.50%
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%
$1,868,840
Cap Rate 7%
$1,334,886
Cap Rate 9%
$1,038,244
Alternative Uses
Best Use
Mixed Use
$1.33M
$1.17M – $1.56M
NOI $93,442 @ 7.0% cap · market cap 3.61%
Second Best
Apartment 5plus
$1.32M
$1.16M – $1.54M
NOI $92,576 @ 7.0% cap · market cap 3.57%
Theoretical Best
Office A
$1.95M
$1.70M – $2.27M
NOI $136,231 @ 7.0% cap · market cap 5.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,109
Businesses Nearby
Explore this area
Business Placement
Demographics for 97132, OR
32,028
Population
12,411
Households
2.6
Avg Household Size
38
Median Age
39%
College-Educated
93%
High-School Grad
62.6 sq mi
ZIP Area
512
Density / Sq Mi
$95,150
Median Household Income
$46,005
Median Earnings
$1,567
Median Rent
$498,500
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Downtown property combines commercial space with two established short-term rental units.
Where is this mixed-use property located?
The property is located at 811 E 1ST St Newberg, OR.
What is the asking price?
The asking price for this property is $2,590,000.
What are key features of this property?
This property features: 7,210‑square‑foot mixed‑use building on 0.17 acres; Built in 1888 with brick construction and original architectural details; Ground‑floor commercial space suited to restaurant, tasting room, retail, or hospitality use
