Kroger Shadow-Anchored Shopping
For Sale
$3,520,000
1241 Frederick Blvd, Portsmouth, VA 23707
Built in 2014, the center combines daily-needs retail with a tenant mix that includes national operators.
Property Size12,866 SF
Price / SF$273.59
Days on Market70
Property Features for 1241 Frederick Blvd
General Information
Standard status
Active
Size
12,866 SF
Property subtype
Shopping Strip
Amenities
KROGER SHADOW ANCHORED CENTER | HAMPTON ROADS MSA
DAILY NEEDS TENANT LINEUP | BUILT-IN GROCERY TRAFFIC
DENSE INFILL LOCATION | 226K 5-MILE POP
HAMPTON ROADS TRADE AREA
Building Details
Building Size
12,866 SF
Year Built
2014
Listing Agency:
Atlanta Office
(678) 808-2746
Listed By:
Eric Abbott · License #License(s): GA: 407938
(678) 808-2746
Source:
Marcusmillichap
Added: Jun 22
Changed: Aug 30
Last Checked: Aug 30 at 12:57PM
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 Atlanta Office
Investment Insights
Based on property information with market context.
Midtown Marketplace is a 12,866-square-foot shopping center built in 2014 in Portsmouth, Virginia. The property is shadow-anchored by Kroger and includes outparcel retail strips. National tenants represent 50% of the tenancy, while 50% of the gross leasable area has operated at the location for more than 10 years. The center’s tenant mix includes daily-needs retail and service uses.
The property serves an established infill trade area with 80,000 residents within 3 miles and 226,000 residents within 5 miles. Nearby national retailers include Walmart, Wawa, Lowe’s, 7 Brew, and Kroger. Midtown Marketplace is located within the Hampton Roads MSA, a regional employment base supported by military, port, shipbuilding, logistics, healthcare, and government activity. The address is 1241 Frederick Blvd, Portsmouth, VA 23707.
The property serves an established infill trade area with 80,000 residents within 3 miles and 226,000 residents within 5 miles. Nearby national retailers include Walmart, Wawa, Lowe’s, 7 Brew, and Kroger. Midtown Marketplace is located within the Hampton Roads MSA, a regional employment base supported by military, port, shipbuilding, logistics, healthcare, and government activity. The address is 1241 Frederick Blvd, Portsmouth, VA 23707.
Key Highlights
- 12,866 SF shopping center at 1241 Frederick Blvd, Portsmouth, VA 23707
- Shadow‑anchored by Kroger
- 50% national tenancy, including multiple operators with 10+ years at the property
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
$169,763
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
4.82%
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%
$3,395,260
$3.4M
Cap Rate 7%
$2,425,186
$2.4M
Cap Rate 9%
$1,886,256
$1.9M
Market Conditions
NOI Build-Up for 12,866 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
$254.7K $19.80/SF
− Vacancy
−$12.2K −$0.95/SF
EGI
$242.5K $18.85/SF
− OpEx
−$72.8K −$5.65/SF
NOI
$169.8K $13.19/SF
Area
Portsmouth County, VA
Vacancy
4.80%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
30.00%
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%
$3,395,260
Cap Rate 7%
$2,425,186
Cap Rate 9%
$1,886,256
Alternative Uses
Best Use
Retail
$2.43M
$2.12M – $2.83M
NOI $169,763 @ 7.0% cap · market cap 4.82%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.10M
$3.58M – $4.78M
NOI $286,724 @ 7.0% cap · market cap 8.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
922
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 23707, VA
14,316
Population
7,216
Households
2
Avg Household Size
36
Median Age
26%
College-Educated
87%
High-School Grad
3.9 sq mi
ZIP Area
3,671
Density / Sq Mi
$51,070
Median Household Income
$37,932
Median Earnings
$1,076
Median Rent
$222,100
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Similar Off Market Nearby
- Coinstar Kiosk | Bitcoin ATM — Food Lion, Airline Blvd Greenway Dr, Portsmouth, VA 23701
- Coinstar Kiosk | Bitcoin ATM — Kroger - Mid Atlantic, 1301 Frederick Blvd, Portsmouth, VA 23707
Frequently Asked Questions
What type of property is this?
Shopping center - Built in 2014, the center combines daily-needs retail with a tenant mix that includes national operators.
Where is this shopping center located?
The property is located at 1241 Frederick Blvd Portsmouth, VA.
What is the asking price?
The asking price for this property is $3,520,000.
What are key features of this property?
This property features: 12,866 SF shopping center at 1241 Frederick Blvd, Portsmouth, VA 23707; Shadow‑anchored by Kroger; 50% national tenancy, including multiple operators with 10+ years at the property
