Building Details

Year Built 1900

Buildings 1

Construction Victorian

Tenancy Multi

Owner Occupied No

Listing Agency: REMAX Executive Realty Show Phone

Listed By: Chris Bernier Show Phone

Source: Churchillprop

Added: Aug 26, 2024 Changed: Sep 14 Last Checked: Sep 15 at 4:54AM

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Investment Insights

Based on property information with market context.

This live-work style mixed-use property in downtown South Berwick combines commercial office space with a residential apartment. The building currently has two offices with established businesses on the main level, including private offices and reception areas. Each office has its own exterior entrance, supporting independent access for occupants and visitors. A second-floor two-bedroom apartment provides residential space above the offices.

The building has been well maintained with replacement windows, an updated heating system, and central air conditioning. Separate electrical services are in place, which can support operational independence between the commercial and residential portions. Off-street parking is available for businesses and tenants.

The property was built in 1900 and sits on a 0.27 lot. It totals 3,120 square feet and includes existing leases for all units.

Key Highlights

• Two main‑level offices with private offices plus reception areas
• Second‑floor two‑bedroom apartment
• Own exterior entrance for each office

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

$51,106

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

9.05%

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%

$1,022,120 $1.0M

Cap Rate 7%

$730,086 $730.1K

Cap Rate 9%

$567,844 $567.8K

Market Conditions

NOI Build-Up for 3,120 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

$77.9K $24.96/SF

− Vacancy

−$9.7K −$3.12/SF

EGI

$68.1K $21.84/SF

− OpEx

−$17.0K −$5.46/SF

NOI

$51.1K $16.38/SF

Area

York County, ME

Vacancy

12.50%

Lease Rate

$24.96 /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%

$1,022,120

Cap Rate 7%

$730,086

Cap Rate 9%

$567,844

Alternative Uses

Best Use

Office B

$730.1K

$638.8K – $851.8K (±1% cap)

NOI $51,106 @ 7.0% cap · market cap 9.05%

Second Best

Mixed Use

$553.6K

$484.4K – $645.8K (±1% cap)

NOI $38,750 @ 7.0% cap · market cap 6.86%

Theoretical Best

Office A

$989.0K

$865.4K – $1.15M (±1% cap)

NOI $69,232 @ 7.0% cap · market cap 12.25%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

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Current Use

Ham insurance Insurance Agency

Suggested Use

Top Pick Real Estate Agency Building Supply Plumbing Service (Bike/Boat/Book/etc) Store Parking Lot & Garage Bakery

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

2

Office units

100%

Occupancy

Multi-tenant

Tenancy

Location Intelligence

Trade Area within ½ mile

397

Businesses Nearby

Explore this area Business Placement

Demographics for 03908, ME

7,468

Population

3,169

Households

2.4

Avg Household Size

41

Median Age

39%

College-Educated

98%

High-School Grad

31.9 sq mi

ZIP Area

234

Density / Sq Mi

$97,927

Median Household Income

$52,008

Median Earnings

$1,535

Median Rent

$385,000

Median Home Value

Market

Vacancy Rate% for Office in Northeast region

13.1% 2019

15.4% 2020

17.6% 2021

19.1% 2022

20.2% 2023

20.9% 2024

19.9% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this live-work space located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Live-work space - Well-maintained live-work building with two office suites and a second-floor two-bedroom apartment plus off-street parking.

Where is this live-work space located?

The property is located at 49 Portland Street South Berwick, ME.

What is the asking price?

The asking price for this property is $565,000.

What are key features of this property?

This property features: Two main‑level offices with private offices plus reception areas; Second‑floor two‑bedroom apartment; Own exterior entrance for each office