Building Details

Building Size 8,712 SF

Year Built 1960

Listing Agency: Berkshire Hathaway HomeServices PenFed Realty

Listed By: Thomas F. McKay · License ##5015207 Show Phone

Source: Barnesrealestatecompany

Added: Mar 27 Changed: Sep 26 Last Checked: Sep 26 at 12:26PM

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Investment Insights

Based on property information with market context.

This iconic waterfront restaurant and marina in Charles County presents a rare opportunity to acquire a well-established, family-owned business with over 65 years of heritage and a loyal clientele. Located directly on Neal Sound, off the Wicomico and Potomac rivers, the property features a large full-service commercial kitchen and bar, spacious dining rooms, and inviting outdoor seating with water views. The venue includes a versatile event space and meeting room to accommodate private functions. A carry-out convenience store enhances the restaurant’s offerings, supported by an on-sale and off-sale beer, wine, and spirits license, along with Maryland Lottery sales. The business benefits from a dedicated, long-term staff. Additional revenue streams come from fuel sales for both land vehicles and watercraft. The marina boasts over 40 slips available for daily or overnight rental, many equipped with electric and water hookups, attracting boaters. Revenues have fully rebounded following the COVID period, demonstrating strong market resilience and significant growth potential. The property is near Washington, D.C., and Northern Virginia, and enjoys consistent marina traffic, seasonal tourism, and a devoted customer base.

Key Highlights

• Iconic waterfront restaurant with 65+ years of established business and loyal clientele.
• Direct waterfront location on Neal Sound with stunning water views and marina with 40+ slips.
• Benefit from a full‑service commercial kitchen, bar, spacious dining rooms, and versatile event space.

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

$167,156

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

4.79%

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%

$3,343,120 $3.3M

Cap Rate 7%

$2,387,943 $2.4M

Cap Rate 9%

$1,857,289 $1.9M

Market Conditions

NOI Build-Up for 8,712 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

$233.1K $26.76/SF

− Vacancy

−$10.3K −$1.18/SF

EGI

$222.9K $25.58/SF

− OpEx

−$55.7K −$6.40/SF

NOI

$167.2K $19.19/SF

Area

Charles County, MD

Vacancy

4.40%

Lease Rate

$26.76 /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%

$3,343,120

Cap Rate 7%

$2,387,943

Cap Rate 9%

$1,857,289

Alternative Uses

Best Use

Specialty Retail

$2.39M

$2.09M – $2.79M (±1% cap)

NOI $167,156 @ 7.0% cap · market cap 4.79%

Second Best

—

—

no second resolved use

Theoretical Best

Multifamily LT 5

$122.33M

$107.04M – $142.72M (±1% cap)

NOI $8,563,109 @ 7.0% cap · market cap 245.36%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

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Current Use

Captain John’s Crab ... Restaurant

Suggested Use

Top Pick Building Supply Auto Repair Shop Cafe & Coffee Shop Law Firm Wine and Liquor Store Real Estate Agency

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

Location Intelligence

Trade Area within ½ mile

40

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 20664, MD

2,940

Population

1,524

Households

1.9

Avg Household Size

43

Median Age

21%

College-Educated

94%

High-School Grad

40.9 sq mi

ZIP Area

72

Density / Sq Mi

$82,083

Median Household Income

$68,631

Median Earnings

$1,660

Median Rent

$433,100

Median Home Value

Market

Vacancy Rate% for Retail in South region

7% 2020

6.2% 2021

5.1% 2022

4.8% 2023

4.9% 2024

5.4% 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 conventional restaurants 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?

Conventional restaurant - Established waterfront restaurant and marina with strong revenue and growth potential.

Where is this conventional restaurant located?

The property is located at 16215 COBB ISLAND ROAD Newburg, MD.

What is the asking price?

The asking price for this property is $3,490,000.

What are key features of this property?

This property features: Iconic waterfront restaurant with 65+ years of established business and loyal clientele.; Direct waterfront location on Neal Sound with stunning water views and marina with 40+ slips.; Benefit from a full‑service commercial kitchen, bar, spacious dining rooms, and versatile event space.