Turnkey Mixed-Use Income
For Sale
$1,450,000
502 W Main St, New Castle, CO 81647
Turnkey mixed-use building with seven residential units and a ground-floor salon lease, plus retained restaurant venting.
Property Size7,474 SF
Days on Market70
Property Features for 502 W Main St
General Information
Standard status
Active
Size
7,474 SF
Property subtype
Commercial
Financials
Cap Rate
9.2%
Business Included
Yes
Restaurant
Commercial Hood
Yes
Grease Trap
Yes
Additional Details
Multifamily Units
7
Taxes and HOA fees
Annual Taxes
$7,309
Building Details
Building Size
7,474 SF
Year Built
1898
Tenancy
Multi
Listing Agency:
Douglas Elliman Real Estate-Hyman Ave
(970) 366-0379
Listed By:
Gabe Molnar · License #FA100095642
(970) 366-0379
Source:
Elliman
Added: Jun 23
Changed: Aug 22
Last Checked: Aug 30 at 6:39PM
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 Douglas Elliman Real Estate-Hyman Ave
Investment Insights
Based on property information with market context.
This turnkey mixed-use property is offered in excellent condition and combines lodging operations with residential and retail/commercial income. The building includes seven residential units and a ground-floor commercial space that is currently leased to a salon. For future food-and-beverage flexibility, the property retains a restaurant hood vent and grease trap, supporting potential restaurant or related concepts without removing that key infrastructure.
The property is located directly on Main Street in New Castle, Colorado, and sits within the Main Street revitalization context described in the remarks. Walking and biking are limited, with a walk score of 13 (car-dependent) and a bike score of 18 (somewhat bikeable), which can be relevant for tenant and guest access patterns.
From an operator or investor standpoint, the asset’s current setup is tied to active lodging operations, with the remarks describing an established short-term rental presence across major platforms. A buyer can step into the existing, revenue-producing operation, or pursue a different operating model based on the building’s existing mix of residential units and the restaurant vent/grease trap infrastructure. Per the seller, the property is now offered at a 9.2% cap rate.
The property is located directly on Main Street in New Castle, Colorado, and sits within the Main Street revitalization context described in the remarks. Walking and biking are limited, with a walk score of 13 (car-dependent) and a bike score of 18 (somewhat bikeable), which can be relevant for tenant and guest access patterns.
From an operator or investor standpoint, the asset’s current setup is tied to active lodging operations, with the remarks describing an established short-term rental presence across major platforms. A buyer can step into the existing, revenue-producing operation, or pursue a different operating model based on the building’s existing mix of residential units and the restaurant vent/grease trap infrastructure. Per the seller, the property is now offered at a 9.2% cap rate.
Key Highlights
- Turnkey mixed‑use building (1898) on Main Street with 7 residential units plus ground‑floor commercial space
- Ground‑floor salon space is currently leased; retained restaurant hood vent and grease trap preserve future food/beverage potential
- New pricing: offered at a 9.2% cap rate based on current lodging operations
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
$91,391
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
6.30%
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%
$1,827,820
$1.8M
Cap Rate 7%
$1,305,586
$1.3M
Cap Rate 9%
$1,015,456
$1.0M
Market Conditions
NOI Build-Up for 7,474 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
$174.0K $23.28/SF
− Vacancy
−$7.8K −$1.05/SF
EGI
$166.2K $22.23/SF
− OpEx
−$74.8K −$10.00/SF
NOI
$91.4K $12.23/SF
Area
Garfield County, CO
Vacancy
4.50%
Lease Rate
$23.28 /SF/Yr
Expense Ratio
45.00%
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%
$1,827,820
Cap Rate 7%
$1,305,586
Cap Rate 9%
$1,015,456
Alternative Uses
Best Use
Apartment 5plus
$1.31M
$1.14M – $1.52M
NOI $91,391 @ 7.0% cap · market cap 6.30%
Second Best
Mixed Use
$1.10M
$965.9K – $1.29M
NOI $77,272 @ 7.0% cap · market cap 5.33%
Theoretical Best
Office A
$1.96M
$1.71M – $2.28M
NOI $137,015 @ 7.0% cap · market cap 9.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
7
Residential units
Multi-tenant
Tenancy
Turnkey business
Opportunity
Yes
Commercial hood
Yes
Grease trap
Location Intelligence
Trade Area within ½ mile
201
Businesses Nearby
Explore this area
Business Placement
Demographics for 81647, CO
7,445
Population
2,808
Households
2.7
Avg Household Size
37
Median Age
31%
College-Educated
95%
High-School Grad
284.9 sq mi
ZIP Area
26
Density / Sq Mi
$80,139
Median Household Income
$48,493
Median Earnings
$1,581
Median Rent
$470,000
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Turnkey mixed-use building with seven residential units and a ground-floor salon lease, plus retained restaurant venting.
Where is this mixed-use property located?
The property is located at 502 W Main St New Castle, CO.
What is the asking price?
The asking price for this property is $1,450,000.
What are key features of this property?
This property features: Turnkey mixed‑use building (1898) on Main Street with 7 residential units plus ground‑floor commercial space; Ground‑floor salon space is currently leased; retained restaurant hood vent and grease trap preserve future food/beverage potential; New pricing: offered at a 9.2% cap rate based on current lodging operations
