Mixed-Use Property with
For Sale
$949,000
307 State Road 26, Melrose, FL 32666
Includes eleven office spaces, gallery areas, and indoor and outdoor dining.
Property Size5,664 SF
Days on Market42
Property Features for 307 State Road 26
General Information
Standard status
Active
Size
5,664 SF
Property subtype
Other
Building Details
Building Size
5,664 SF
Year Built
2011
Listing Agency:
Coldwell Banker M.M. Parrish Realtors
Listed By:
Perry Pursell · License #0518980
(352) 335-4999
Source:
Commercialcafe
Added: Jul 26
Changed: Aug 31
Last Checked: Sep 4 at 2:08AM
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 Coldwell Banker M.M. Parrish Realtors
Investment Insights
Based on property information with market context.
The Melrose Center is a mixed-use commercial property comprising two buildings, including a front structure with eleven offices used by health care providers, artist studios, and a multi-room art gallery. The property also operates as a licensed fifty-seat full-service restaurant with interior and exterior dining areas. Indoor and outdoor stages support weekly musical performances, while the interior hall displays local artwork. The kitchen underwent a full renovation in 2021, with much of its equipment upgraded to brand new condition.
Located at 307 State Road 26 in Melrose, the property fronts Hwy 26, a roadway connecting Gainesville and Putnam Hall. The site lies between I-75 and I-95 and reportedly receives 8,000–10,000 cars daily. The Welcome and Information Center is certified by Visit Florida and serves the broader Lake Area Region, including Gainesville, Ocala, Palatka, St. Augustine, and Jacksonville. The buildings were constructed in 2011.
Located at 307 State Road 26 in Melrose, the property fronts Hwy 26, a roadway connecting Gainesville and Putnam Hall. The site lies between I-75 and I-95 and reportedly receives 8,000–10,000 cars daily. The Welcome and Information Center is certified by Visit Florida and serves the broader Lake Area Region, including Gainesville, Ocala, Palatka, St. Augustine, and Jacksonville. The buildings were constructed in 2011.
Key Highlights
- Mixed‑use property with eleven offices, a multi‑room art gallery, and restaurant operations
- Licensed fifty‑seat full‑service restaurant with indoor and outdoor dining areas
- Kitchen fully renovated in 2021 with much equipment upgraded to brand new condition
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
$73,696
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
7.77%
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%
$1,473,920
$1.5M
Cap Rate 7%
$1,052,800
$1.1M
Cap Rate 9%
$818,844
$818.8K
Market Conditions
NOI Build-Up for 5,664 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
$124.4K $21.96/SF
− Vacancy
−$26.1K −$4.61/SF
EGI
$98.3K $17.35/SF
− OpEx
−$24.6K −$4.34/SF
NOI
$73.7K $13.01/SF
Area
Putnam County, FL
Vacancy
21.00%
Lease Rate
$21.96 /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%
$1,473,920
Cap Rate 7%
$1,052,800
Cap Rate 9%
$818,844
Alternative Uses
Best Use
Office B
$1.05M
$921.2K – $1.23M
NOI $73,696 @ 7.0% cap · market cap 7.77%
Second Best
Specialty Retail
$897.5K
$785.3K – $1.05M
NOI $62,823 @ 7.0% cap · market cap 6.62%
Theoretical Best
Office A
$1.48M
$1.29M – $1.72M
NOI $103,254 @ 7.0% cap · market cap 10.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
173
Businesses Nearby
Explore this area
Business Placement
Demographics for 32666, FL
5,961
Population
3,398
Households
1.8
Avg Household Size
51
Median Age
30%
College-Educated
97%
High-School Grad
56.8 sq mi
ZIP Area
105
Density / Sq Mi
$66,540
Median Household Income
$35,669
Median Earnings
$519
Median Rent
$206,000
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Includes eleven office spaces, gallery areas, and indoor and outdoor dining.
Where is this mixed-use property located?
The property is located at 307 State Road 26 Melrose, FL.
What is the asking price?
The asking price for this property is $949,000.
What are key features of this property?
This property features: Mixed‑use property with eleven offices, a multi‑room art gallery, and restaurant operations; Licensed fifty‑seat full‑service restaurant with indoor and outdoor dining areas; Kitchen fully renovated in 2021 with much equipment upgraded to brand new condition
