Mixed-Use Building with On-Site
For Sale
$725,000
1001 Central Avenue, Hot Springs, AR 71901
Commercial / Industrial, Hot Springs, AR
Property Size3,915 SF
Lot Size0.24 Acres
Price / SF$185.19
Days on Market158
Property Features for 1001 Central Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Central Business
Parking
14
Subdivision
HSR BLK
Directions
From HSBOR go to Central. Take a left on Central. 1001 is one block down on right.
Standard status
Active
Size
3,915 SF
Lot size
0.24 Acres
Taxes and HOA fees
Tax Description
BLK 56 LOT PT 6
Tax Annual Amount
5798
Legal Description
BLK 56 LOT PT 6
Amenities
two commercial kitchen areas
four total restrooms
separate utility systems
Building Details
Year built
1932
Floors in Building
1
Listing Agency:
McGraw Realtors - HS
(501) 881-3331
Listed By:
Susan Bariola
(501) 350-6562
Added: May 1
Changed: Oct 5
Last Checked: Oct 5 at 11:06AM
MLS# 26017773
Copyright © 2026 Cooperative Arkansas Realtors Multiple Listing Service. 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 3,915-square-foot mixed-use building, constructed in 1932, is configured as two commercial spaces. The property includes two commercial kitchen areas and four restrooms. Each side has its own utility systems, including central heat and air, an alarm system, and a hot water tank. The 0.24-acre site provides 14 dedicated parking spaces, and the building fronts Central Avenue at 1001 Central Avenue in downtown Hot Springs.
The property is near downtown shopping and dining, Bathhouse Row, and Oaklawn. A hotel under construction on Central Avenue is also nearby. The two-space layout and separate systems are supported by the property's existing physical configuration.
The property is near downtown shopping and dining, Bathhouse Row, and Oaklawn. A hotel under construction on Central Avenue is also nearby. The two-space layout and separate systems are supported by the property's existing physical configuration.
Key Highlights
- 3,915‑square‑foot building on a 0.24‑acre site
- 14 dedicated on‑site parking spaces
- Two commercial spaces, each with separate utility systems
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
$41,401
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
5.71%
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%
$828,020
$828.0K
Cap Rate 7%
$591,443
$591.4K
Cap Rate 9%
$460,011
$460.0K
Market Conditions
NOI Build-Up for 3,915 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
$58.7K $15.00/SF
− Vacancy
−$3.5K −$0.90/SF
EGI
$55.2K $14.10/SF
− OpEx
−$13.8K −$3.53/SF
NOI
$41.4K $10.58/SF
Area
Garland County, AR
Vacancy
6.00%
Lease Rate
$15.00 /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%
$828,020
Cap Rate 7%
$591,443
Cap Rate 9%
$460,011
Alternative Uses
Best Use
Specialty Retail
$591.4K
$517.5K – $690.0K
NOI $41,401 @ 7.0% cap · market cap 5.71%
Second Best
Retail
$441.6K
$386.4K – $515.2K
NOI $30,913 @ 7.0% cap · market cap 4.26%
Theoretical Best
Office A
$716.0K
$626.5K – $835.3K
NOI $50,118 @ 7.0% cap · market cap 6.91%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
1,665
Businesses Nearby
75k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 53%
Shops & Services 27%
Hotels & Casinos 11%
Groceries 6%
McDonald's
Dining
18,055 visits/mo
0.5 miles
Burger King
Dining
9,887 visits/mo
0.2 miles
Embassy Suites By Hilton Hot Springs Hotel & Spa
Hotels & Casinos
7,888 visits/mo
0.4 miles
Popeyes Louisiana Kitchen
Dining
7,854 visits/mo
0.4 miles
Valero Energy
Shops & Services
5,905 visits/mo
0.2 miles
Demographics for 71901, AR
29,363
Population
14,952
Households
2
Avg Household Size
43
Median Age
26%
College-Educated
88%
High-School Grad
101.9 sq mi
ZIP Area
288
Density / Sq Mi
$52,410
Median Household Income
$35,604
Median Earnings
$797
Median Rent
$173,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in South region
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Two commercial spaces have separate utility systems and dedicated on-site parking.
Where is this mixed-use property located?
The property is located at 1001 Central Avenue Hot Springs, AR.
What is the asking price?
The asking price for this property is $725,000.
What are key features of this property?
This property features: 3,915‑square‑foot building on a 0.24‑acre site; 14 dedicated on‑site parking spaces; Two commercial spaces, each with separate utility systems
