Restaurant and Barbershop
For Sale
$799,000
194-196 LAKE Avenue #1 & 2, Manchester, NH 03103
Buy a remodeled restaurant-ready storefront plus a long-term barbershop tenant with parking in front.
Property Size3,750 SF
Price / SF$213.07
Days on Market72
Property Features for 194-196 LAKE Avenue #1 & 2
General Information
Standard status
Active
Size
3,750 SF
Zoning
commercial
Additional Details
Business Included
Yes
Commercial Hood
Yes
Taxes and HOA fees
Annual Taxes
$7,255
Building Details
Year Built
1958
Tenancy
Multi
Listing Agency:
BHHS Verani Londonderry
(603) 540-5104
Listed By:
Joan Blais · License #NH 005229
Source:
Laerrealty
Added: Jun 11
Changed: Aug 14
Last Checked: Aug 21 at 4:26AM
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 BHHS Verani Londonderry
Investment Insights
Based on property information with market context.
This offering includes a two-unit commercial building and an operating restaurant business in Unit #1, along with a long-term barbershop in Unit #2. Unit #1 is a mainly hot chicken take-out and delivery-focused restaurant configured to seat 45, with brand new restaurant equipment and a remodeled interior. The kitchen includes new stainless-steel equipment and a state-of-the-art exhaust fan. Unit #2 is leased to a barber with rent collected as part of the overall income stream.
The property is located at 194-196 Lake Avenue in Manchester, NH, with parking available in front. The sale can be structured either as a full building, land, and business purchase, or as the restaurant business only with the buyer leasing the building for $3,000 per month and retaining an option to buy later.
For the right operator, this setup supports a food business that wants a turn-key kitchen and a layout built around take-out and delivery, with the benefit of an additional tenant in the second unit. Alternatively, buyers seeking a stabilized commercial asset may consider purchasing the entire building to own both units, the restaurant buildout in Unit #1, and the long-term barber lease in Unit #2.
The property is located at 194-196 Lake Avenue in Manchester, NH, with parking available in front. The sale can be structured either as a full building, land, and business purchase, or as the restaurant business only with the buyer leasing the building for $3,000 per month and retaining an option to buy later.
For the right operator, this setup supports a food business that wants a turn-key kitchen and a layout built around take-out and delivery, with the benefit of an additional tenant in the second unit. Alternatively, buyers seeking a stabilized commercial asset may consider purchasing the entire building to own both units, the restaurant buildout in Unit #1, and the long-term barber lease in Unit #2.
Key Highlights
- 1958‑built 3,750 SF building includes a remodeled restaurant‑ready Unit #1 and a long‑term barbershop tenant in Unit #2
- Unit #1 restaurant seats 45 and offers take‑out and delivery business
- New restaurant equipment and a brand new stainless‑steel kitchen, including a state‑of‑the‑art exhaust fan
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
$64,463
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
8.07%
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%
$1,289,260
$1.3M
Cap Rate 7%
$920,900
$920.9K
Cap Rate 9%
$716,256
$716.3K
Market Conditions
NOI Build-Up for 3,750 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
$90.0K $24.00/SF
− Vacancy
−$4.1K −$1.08/SF
EGI
$86.0K $22.92/SF
− OpEx
−$21.5K −$5.73/SF
NOI
$64.5K $17.19/SF
Area
Manchester, NH
Vacancy
4.50%
Lease Rate
$24.00 /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%
$1,289,260
Cap Rate 7%
$920,900
Cap Rate 9%
$716,256
Alternative Uses
Best Use
Specialty Retail
$920.9K
$805.8K – $1.07M
NOI $64,463 @ 7.0% cap · market cap 8.07%
Second Best
Retail
$769.5K
$673.3K – $897.8K
NOI $53,865 @ 7.0% cap · market cap 6.74%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Multi-tenant
Tenancy
Turnkey business
Opportunity
Yes
Commercial hood
Location Intelligence
Trade Area within ½ mile
175
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 03103, NH
38,039
Population
16,166
Households
2.4
Avg Household Size
36
Median Age
24%
College-Educated
82%
High-School Grad
9.2 sq mi
ZIP Area
4,135
Density / Sq Mi
$70,049
Median Household Income
$41,243
Median Earnings
$1,322
Median Rent
$313,500
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?
Conventional restaurant - Buy a remodeled restaurant-ready storefront plus a long-term barbershop tenant with parking in front.
Where is this conventional restaurant located?
The property is located at 194-196 LAKE Avenue #1 & 2 Manchester, NH.
What is the asking price?
The asking price for this property is $799,000.
What are key features of this property?
This property features: 1958‑built 3,750 SF building includes a remodeled restaurant‑ready Unit #1 and a long‑term barbershop tenant in Unit #2; Unit #1 restaurant seats 45 and offers take‑out and delivery business; New restaurant equipment and a brand new stainless‑steel kitchen, including a state‑of‑the‑art exhaust fan
