Fully Occupied Retail
For Sale
Contact for pricing
681 E Chestnut Hill Rd, Newark, DE
Multi-tenant retail center with stable cash flow and NNN leases.
Property Size14,000 SF
Lot Size5.88 Acres
Price / SF$396.27
Days on Market630
Property Features for 681 E Chestnut Hill Rd
General Information
Standard status
Active
Size
14,000 SF
Lot size
5.88 Acres
Property subtype
RETAIL
Listing Agency:
Real Capital Investments
(214) 380-3675
Listed By:
Dylan O’Hara
(918) 208-1565
Source:
Moodyscre
Added: Dec 11, 2024
Changed: Aug 19
Last Checked: Sep 2 at 12:43AM
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 Real Capital Investments
Investment Insights
Based on property information with market context.
This fully occupied multi-tenant retail center offers a stable cash flow asset with zero landlord responsibilities due to NNN leases. The property features multiple options to renew, with rental increases throughout the initial terms and option periods, providing a strong hedge against inflation. Anchored by 7-Eleven, a globally diversified tenant and leader in the convenience store and gas station industry with over 78,000 locations in 19 countries, it is the world’s largest convenience retailer. The large format strip center spans 14,000 square feet on a 5.14-acre parcel, containing 80 parking spaces, providing each tenant with the ability to effectively handle high customer volume. The location experiences high traffic, with more than 30,000 vehicles per day on E. Chestnut Hill Rd, over 19,000 vehicles per day on Salem Church Rd, and an additional 129,788 vehicles per day on the nearby Delaware Turnpike (I-95).
Key Highlights
- Anchored by 7‑Eleven, a globally recognized brand.
- Stable cash flow asset with zero landlord responsibilities due to NNN leases.
- Large 14,000 sq ft retail center on a 5.14‑acre parcel with ample parking (80 spaces).
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
$179,739
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
3.24%
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%
$3,594,780
$3.6M
Cap Rate 7%
$2,567,700
$2.6M
Cap Rate 9%
$1,997,100
$2.0M
Market Conditions
NOI Build-Up for 14,000 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
$252.0K $18.00/SF
− Vacancy
−$12.3K −$0.88/SF
EGI
$239.7K $17.12/SF
− OpEx
−$59.9K −$4.28/SF
NOI
$179.7K $12.84/SF
Area
New Castle County, DE
Vacancy
4.90%
Lease Rate
$18.00 /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%
$3,594,780
Cap Rate 7%
$2,567,700
Cap Rate 9%
$1,997,100
Alternative Uses
Best Use
Specialty Retail
$2.57M
$2.25M – $3.00M
NOI $179,739 @ 7.0% cap · market cap 3.24%
Second Best
Retail
$1.94M
$1.69M – $2.26M
NOI $135,534 @ 7.0% cap · market cap 2.44%
Theoretical Best
Office A
$3.35M
$2.93M – $3.91M
NOI $234,407 @ 7.0% cap · market cap 4.23%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
470
Businesses Nearby
Explore this area
Business Placement
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Strip mall - Multi-tenant retail center with stable cash flow and NNN leases.
Where is this strip mall located?
The property is located at 681 E Chestnut Hill Rd Newark, DE.
What is the asking price?
The asking price for this property is $5,547,847.
What are key features of this property?
This property features: Anchored by **7‑Eleven**, a globally recognized brand.; Stable cash flow asset with **zero landlord responsibilities** due to NNN leases.; Large 14,000 sq ft retail center on a 5.14‑acre parcel with ample parking (80 spaces).
