Remodeled Restaurant/Bar with
For Sale
$949,900
2254 Main Street, Tewksbury, MA 01876
Remodeled restaurant/bar with existing tenant and parking.
Property Size3,260 SF
Price / SF$291.38
Days on Market756
Property Features for 2254 Main Street
General Information
Standard status
Active
Size
3,260 SF
Property subtype
Commercial
Building Details
Year Built
1948
Listing Agency:
Berkshire Hathaway HomeServices Commonwealth Real Estate
(781) 942-2199
Listed By:
Judy Mason
Source:
Stevebremis
Added: Jul 18, 2024
Changed: Aug 9
Last Checked: Aug 9 at 8:13PM
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 Berkshire Hathaway HomeServices Commonwealth Real Estate
Investment Insights
Based on property information with market context.
This is a free-standing building that was remodeled in 2024 with new natural gas heating and AC. The property is located near the Wilmington Line and offers high visibility. The building features a large, unfinished basement that could be finished for additional space and use. The existing business is a restaurant/bar. There is an existing tenant with a 5-year Triple Net Lease, paying $4,100 per month. The property has a lot of parking. The property size is 3260 square feet.
Key Highlights
- Existing tenant with a 5‑year Triple Net Lease generating $4,100 monthly income.
- Remodeled in 2024 with new natural gas heating and AC.
- Great location near the Wilmington line with lots of visibility.
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
$61,064
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
6.43%
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%
$1,221,280
$1.2M
Cap Rate 7%
$872,343
$872.3K
Cap Rate 9%
$678,489
$678.5K
Market Conditions
NOI Build-Up for 3,260 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
$88.0K $27.00/SF
− Vacancy
−$6.6K −$2.03/SF
EGI
$81.4K $24.98/SF
− OpEx
−$20.4K −$6.24/SF
NOI
$61.1K $18.73/SF
Area
Middlesex County, MA
Vacancy
7.50%
Lease Rate
$27.00 /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%
$1,221,280
Cap Rate 7%
$872,343
Cap Rate 9%
$678,489
Alternative Uses
Best Use
Specialty Retail
$872.3K
$763.3K – $1.02M
NOI $61,064 @ 7.0% cap · market cap 6.43%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.93M
$1.69M – $2.25M
NOI $135,094 @ 7.0% cap · market cap 14.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
233
Businesses Nearby
13k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
7-Eleven
Shops & Services
6,657 visits/mo
0.1 miles
TD Bank
Shops & Services
5,210 visits/mo
0.3 miles
H&R Block
Shops & Services
882 visits/mo
0.1 miles
Demographics for 01876, MA
31,105
Population
12,212
Households
2.5
Avg Household Size
46
Median Age
41%
College-Educated
93%
High-School Grad
20.8 sq mi
ZIP Area
1,495
Density / Sq Mi
$126,795
Median Household Income
$65,008
Median Earnings
$2,248
Median Rent
$546,600
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Bar & Pub - Remodeled restaurant/bar with existing tenant and parking.
Where is this bar & pub located?
The property is located at 2254 Main Street Tewksbury, MA.
What is the asking price?
The asking price for this property is $949,900.
What are key features of this property?
This property features: Existing tenant with a 5‑year Triple Net Lease generating $4,100 monthly income.; Remodeled in 2024 with new natural gas heating and AC.; Great location near the Wilmington line with lots of visibility.
