High-Visibility Income-Producing Commercial
For Sale
Contact for pricing
508-512 Main St, Wilmington, DE
Prime location with high traffic and income-generating tenants.
Property Size8,000 SF
Lot Size0.66 Acres
Price / SF$237.50
Days on Market1030
Property Features for 508-512 Main St
General Information
Standard status
Active
Size
8,000 SF
Lot size
0.66 Acres
Property subtype
OFFICE
Listing Agency:
LMT Commercial Realty / CORFAC International
(302) 530-1233
Listed By:
Joe Latina · License #RS-0025429
(302) 530-1233
Source:
Moodyscre
Added: Oct 13, 2023
Changed: Jul 10
Last Checked: Aug 6 at 5:08AM
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 LMT Commercial Realty / CORFAC International
Investment Insights
Based on property information with market context.
This commercial property comprises three combined parcels totaling 0.66 acres. It features outstanding visibility at the intersection of Route 7 (Limestone Road) and Route 4, with traffic counts exceeding 56,000 vehicles per day. The property benefits from full movement access from both Eastbound and Westbound Route 7. The property is income-producing, with an accounting firm occupying 3,840 square feet and a liquor store/food mart plus one apartment occupying 4,160 square feet. The owner occupies the 508-510 Main Street portion of the property. There are Deldot right-aways at each end of the 508 and 512 properties.
Key Highlights
- Income‑producing property featuring an accounting firm (3,840 SF) and a liquor store/food mart + 1 apartment (4,160 SF).
- Outstanding visibility** at the intersection of Route 7 (Limestone Road) & Route 4 with high traffic counts (56,000 +/- vehicles per day).
- Full movement access from both Eastbound & Westbound Route 7.
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
$108,965
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
5.73%
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%
$2,179,300
$2.2M
Cap Rate 7%
$1,556,643
$1.6M
Cap Rate 9%
$1,210,722
$1.2M
Market Conditions
NOI Build-Up for 8,000 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
$180.5K $22.56/SF
− Vacancy
−$35.2K −$4.40/SF
EGI
$145.3K $18.16/SF
− OpEx
−$36.3K −$4.54/SF
NOI
$109.0K $13.62/SF
Area
New Castle County, DE
Vacancy
19.50%
Lease Rate
$22.56 /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%
$2,179,300
Cap Rate 7%
$1,556,643
Cap Rate 9%
$1,210,722
Alternative Uses
Best Use
Office B
$1.56M
$1.36M – $1.82M
NOI $108,965 @ 7.0% cap · market cap 5.73%
Second Best
Specialty Retail
$1.47M
$1.28M – $1.71M
NOI $102,708 @ 7.0% cap · market cap 5.41%
Theoretical Best
Office A
$1.91M
$1.67M – $2.23M
NOI $133,947 @ 7.0% cap · market cap 7.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,353
Businesses Nearby
Explore this area
Business Placement
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Prime location with high traffic and income-generating tenants.
Where is this office units located?
The property is located at 508-512 Main St Wilmington, DE.
What is the asking price?
The asking price for this property is $1,900,000.
What are key features of this property?
This property features: Income‑producing property featuring an accounting firm (3,840 SF) and a liquor store/food mart + 1 apartment (4,160 SF).; Outstanding visibility** at the intersection of Route 7 (Limestone Road) & Route 4 with high traffic counts (56,000 +/- vehicles per day).; Full movement access from both Eastbound & Westbound Route 7.
