Established Restaurant on High-Traffic
For Sale
Contact for pricing
0000 Warwick AV Warwick Avenue, Warwick, RI 02888
Well-established restaurant with positive cash flow, building and business included.
Property Size9,000 SF
Price / SF$333.33
Days on Market912
Property Features for 0000 Warwick AV Warwick Avenue
General Information
Standard status
Active
Size
9,000 SF
Total Parking Spaces
50
Property subtype
Retail
Building Details
Year Built
1940
Buildings
2
Listing Agency:
Residential Properties Ltd.
(401) 439-7705
Listed By:
Jessica Lavoie
Source:
Crexi
Added: Feb 22, 2024
Changed: Aug 8
Last Checked: Aug 18 at 10:45AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Residential Properties Ltd.
Investment Insights
Based on property information with market context.
This offering includes a well-established restaurant situated on a high-traffic corner in Warwick. The sale encompasses both the business and the building, which generates steady positive cash flow. The property features two commercial buildings totaling approximately 9,000 square feet. The restaurant space includes two dining rooms, a large wrap-around bar with 20 seats, and an oversized commercial kitchen. A private parking lot provides space for over 40 vehicles. An unused space in the second building presents an opportunity for a takeout location, a second restaurant, or expansion of the current restaurant. The loft space may be suitable as a residential rental unit.
Key Highlights
- Established restaurant business and real estate included in sale.
- High‑traffic corner location in Warwick with steady positive cash flow.
- Two commercial buildings totaling 9000 +\/- sq ft with multiple revenue streams.
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
$157,788
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
5.26%
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%
$3,155,760
$3.2M
Cap Rate 7%
$2,254,114
$2.3M
Cap Rate 9%
$1,753,200
$1.8M
Market Conditions
NOI Build-Up for 9,000 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
$216.0K $24.00/SF
− Vacancy
−$5.6K −$0.62/SF
EGI
$210.4K $23.38/SF
− OpEx
−$52.6K −$5.84/SF
NOI
$157.8K $17.53/SF
Area
Kent County, RI
Vacancy
2.60%
Lease Rate
$24.00 /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%
$3,155,760
Cap Rate 7%
$2,254,114
Cap Rate 9%
$1,753,200
Alternative Uses
Best Use
Specialty Retail
$2.25M
$1.97M – $2.63M
NOI $157,788 @ 7.0% cap · market cap 5.26%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
554
Businesses Nearby
144k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Superstores 62%
Dining 23%
Shops & Services 15%
Walmart
Superstores
89,272 visits/mo
0.3 miles
McDonald's
Dining
23,278 visits/mo
0.4 miles
Ocean State Job Lot
Shops & Services
15,447 visits/mo
0.3 miles
Dunkin' Donuts
Dining
9,891 visits/mo
0.3 miles
Family Dollar
Shops & Services
4,743 visits/mo
0.4 miles
Demographics for 02888, RI
19,578
Population
9,117
Households
2.1
Avg Household Size
46
Median Age
32%
College-Educated
96%
High-School Grad
5.9 sq mi
ZIP Area
3,318
Density / Sq Mi
$88,750
Median Household Income
$55,561
Median Earnings
$1,218
Median Rent
$318,100
Median Home Value
Market
Vacancy Rate% for Retail 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?
Conventional restaurant - Well-established restaurant with positive cash flow, building and business included.
Where is this conventional restaurant located?
The property is located at 0000 Warwick AV Warwick Avenue Warwick, RI.
What is the asking price?
The asking price for this property is $3,000,000.
What are key features of this property?
This property features: Established restaurant business and real estate included in sale.; High‑traffic corner location in Warwick with steady positive cash flow.; Two commercial buildings totaling 9000 +\/- sq ft with multiple revenue streams.
