Multi-Tenant Office
For Sale
$740,000
9 Union Street, Hallowell, ME 04347
Commercial Sale, Hallowell, ME
Property Size3,604 SF
Lot Size0.13 Acres
Price / SF$205.33
Days on Market69
Property Features for 9 Union Street
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning
RB2
Rooms
Basement
Basement
Unfinished, Full, Sump Pump
Accessibility
Accessible Approach with Ramp
Lot features
Downtown, Historic District, Near Shopping
Standard status
Active
Size
3,604 SF
Lot size
0.13 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
13082
Utilities
Sewer type
Public Sewer
Heating system
Oil, Baseboard, Forced Air, Electric (Heating), Hot Water(Heating)
Cooling system
Central Air
Water source
Public
Amenities
wheelchair accessible ramp
Building Details
Year built
1900
Number of units
6
Flooring type
Vinyl, Hardwood, Carpet
Building materials
Wood Frame, Clapboard
Roof type
Shingle
Listing Agency:
LAER
(207) 622-2220
Listed By:
Christopher Vallee · License #DB900305
(207) 242-2041
Added: Jun 24
Changed: Aug 19
Last Checked: Aug 31 at 5:06AM
MLS# 1640742
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.
This 3,604-square-foot office building was constructed in 1900 and includes basement space. The property has wood-frame and clapboard construction, a shingle roof, cedar siding on two sides, vinyl, hardwood, and carpet flooring, plus central air conditioning. Heating systems include oil, baseboard, forced air, electric, and hot water service. A wheelchair-accessible ramp provides entry to the building.
The first floor is occupied by a family practice, while five additional tenants occupy the second and third floors. The site includes a 0.13-acre lot with a paved parking area offering 6+ spaces. Public water and public sewer serve the property. The building is zoned RB2 and is offered with a reported 7% cap rate.
The first floor is occupied by a family practice, while five additional tenants occupy the second and third floors. The site includes a 0.13-acre lot with a paved parking area offering 6+ spaces. Public water and public sewer serve the property. The building is zoned RB2 and is offered with a reported 7% cap rate.
Key Highlights
- 3,604‑square‑foot office building on a 0.13‑acre lot
- First‑floor family practice plus five tenants on the second and third floors
- Reported 7% cap rate
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
$50,947
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
6.88%
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%
$1,018,940
$1.0M
Cap Rate 7%
$727,814
$727.8K
Cap Rate 9%
$566,078
$566.1K
Market Conditions
NOI Build-Up for 3,604 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
$77.8K $21.60/SF
− Vacancy
−$9.9K −$2.75/SF
EGI
$67.9K $18.85/SF
− OpEx
−$17.0K −$4.71/SF
NOI
$50.9K $14.14/SF
Area
Kennebec 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%
$1,018,940
Cap Rate 7%
$727,814
Cap Rate 9%
$566,078
Alternative Uses
Best Use
Office B
$727.8K
$636.8K – $849.1K
NOI $50,947 @ 7.0% cap · market cap 6.88%
Second Best
Healthcare Medical
$696.7K
$609.6K – $812.8K
NOI $48,768 @ 7.0% cap · market cap 6.59%
Theoretical Best
Warehouse
$5.38M
$4.70M – $6.27M
NOI $376,377 @ 7.0% cap · market cap 50.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
318
Businesses Nearby
Explore this area
Business Placement
Demographics for 04347, ME
2,570
Population
1,436
Households
1.8
Avg Household Size
51
Median Age
46%
College-Educated
92%
High-School Grad
5.9 sq mi
ZIP Area
436
Density / Sq Mi
$58,811
Median Household Income
$37,027
Median Earnings
$830
Median Rent
$266,700
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Professionally maintained office property with multiple occupants, public utilities, central air, and ramp access.
Where is this office building located?
The property is located at 9 Union Street Hallowell, ME.
What is the asking price?
The asking price for this property is $740,000.
What are key features of this property?
This property features: 3,604‑square‑foot office building on a 0.13‑acre lot; First‑floor family practice plus five tenants on the second and third floors; Reported 7% cap rate
