Historic Flex Space with
For Sale
$575,000
11 Mechanic Street, Freeport, ME 04032
Two-level commercial property with VC1 zoning in downtown Freeport near L.L. Bean.
Property Size2,143 SF
Days on Market415
Property Features for 11 Mechanic Street
General Information
Standard status
Active
Size
2,143 SF
Property subtype
Commercial
Zoning
VC1
Taxes and HOA fees
Annual Taxes
$4,663
Building Details
Building Size
2,143 SF
Year Built
1850
Buildings
1
Listing Agency:
Keller Williams Realty
(207) 553-2668
Listed By:
Amy Cartmell
(207) 553-2668
Source:
Startpoint
Added: Jun 27, 2025
Changed: Aug 14
Last Checked: Aug 15 at 1:04PM
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 Keller Williams Realty
Investment Insights
Based on property information with market context.
Built in 1850, this two-level flex property offers a varied commercial layout in downtown Freeport. The first floor combines a customer-facing area with mahogany built-ins, an office, a compact workshop, and a bathroom. The upper level adds multiple offices, a large workshop with high ceilings, a full bathroom, and a kitchenette.
The property is located at 11 Mechanic Street, approximately one block from L.L. Bean. VC1 zoning supports a broad range of stated uses, including office and professional services, restaurant, bar, bakery, artisanal food and beverage, mixed-use, and retail operations.
The property is located at 11 Mechanic Street, approximately one block from L.L. Bean. VC1 zoning supports a broad range of stated uses, including office and professional services, restaurant, bar, bakery, artisanal food and beverage, mixed-use, and retail operations.
Key Highlights
- Built in 1850 with a two‑level commercial configuration
- First‑floor space includes mahogany shelving, cabinetry, crown molding, office, workshop, and bathroom
- Upper level features several offices and a large workshop with high ceilings
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
$30,679
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
5.34%
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%
$613,580
$613.6K
Cap Rate 7%
$438,271
$438.3K
Cap Rate 9%
$340,878
$340.9K
Market Conditions
NOI Build-Up for 2,143 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
$46.8K $21.84/SF
− Vacancy
−$5.9K −$2.75/SF
EGI
$40.9K $19.09/SF
− OpEx
−$10.2K −$4.77/SF
NOI
$30.7K $14.32/SF
Area
Cumberland County, ME
Vacancy
12.60%
Lease Rate
$21.84 /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%
$613,580
Cap Rate 7%
$438,271
Cap Rate 9%
$340,878
Alternative Uses
Best Use
Office B
$438.3K
$383.5K – $511.3K
NOI $30,679 @ 7.0% cap · market cap 5.34%
Second Best
Retail
$320.2K
$280.1K – $373.5K
NOI $22,411 @ 7.0% cap · market cap 3.90%
Theoretical Best
Office A
$589.0K
$515.4K – $687.2K
NOI $41,230 @ 7.0% cap · market cap 7.17%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
531
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 04032, ME
8,737
Population
4,133
Households
2.1
Avg Household Size
47
Median Age
57%
College-Educated
94%
High-School Grad
34.7 sq mi
ZIP Area
252
Density / Sq Mi
$108,864
Median Household Income
$48,222
Median Earnings
$1,436
Median Rent
$445,800
Median Home Value
Market
Vacancy Rate% for Office 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?
Flex space - Two-level commercial property with VC1 zoning in downtown Freeport near L.L. Bean.
Where is this flex space located?
The property is located at 11 Mechanic Street Freeport, ME.
What is the asking price?
The asking price for this property is $575,000.
What are key features of this property?
This property features: Built in 1850 with a two‑level commercial configuration; First‑floor space includes mahogany shelving, cabinetry, crown molding, office, workshop, and bathroom; Upper level features several offices and a large workshop with high ceilings
