Mixed-Use Property with Medical
New
For Sale
$1,499,000
164 Main Street, Gorham, ME 04038
Office, residential, and apartment components support multiple occupancy arrangements at a centrally located Main Street property.
Property Size4,515 SF
Price / SF$332
Days on Market6
Property Features for 164 Main Street
General Information
Standard status
Active
Size
4,515 SF
Property subtype
Multi-family
Zoning
Office Residential
Units
Unit Mix
1 x 4/5BR/2BA, 1 x 1BR
Multifamily Units
2
Office Units
1
Additional Details
Road Access
Yes
Building Details
Year Built
1905
Tenancy
Single
Owner Occupied
No
Listing Agency:
Maine Real Estate Experts
Listed By:
Christy Arnett
(603) 866-2942
Source:
Profoundrealestate
Added: Aug 10
Changed: Aug 15
Last Checked: Aug 15 at 5:40AM
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 Maine Real Estate Experts
Investment Insights
Based on property information with market context.
Built in 1905, this mixed-use property combines a primary residence, professional office space, and a separate apartment within one well-maintained asset. The residence contains approximately 3,118 square feet of finished living area across two floors, with 4/5 bedrooms, 2 full baths, and an attached 2-car garage. The rear professional office comprises approximately 826 square feet and includes a waiting area, office and exam rooms, storage, a bathroom, ADA access, and dedicated parking. It is currently leased for medical office use.
An additional approximately 644-square-foot, one-bedroom apartment is located above the garage and is currently rented. The property is zoned Office Residential and may support expanded units, additional development, a possible backlot, or other uses subject to municipal approvals, applicable zoning, and buyer due diligence. Its address at 164 Main Street places it near Gorham’s walkable downtown, including local businesses, restaurants, services, and area amenities.
An additional approximately 644-square-foot, one-bedroom apartment is located above the garage and is currently rented. The property is zoned Office Residential and may support expanded units, additional development, a possible backlot, or other uses subject to municipal approvals, applicable zoning, and buyer due diligence. Its address at 164 Main Street places it near Gorham’s walkable downtown, including local businesses, restaurants, services, and area amenities.
Key Highlights
- Approximately 3,118 SF residence with 4/5 bedrooms, 2 full baths, and an attached 2‑car garage
- Approximately 826 SF professional office currently leased for medical office use
- Office includes waiting area, exam rooms, storage, bathroom, ADA access, and dedicated parking
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
$74,229
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
4.95%
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%
$1,484,580
$1.5M
Cap Rate 7%
$1,060,414
$1.1M
Cap Rate 9%
$824,767
$824.8K
Market Conditions
NOI Build-Up for 4,515 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
$143.6K $31.80/SF
− Vacancy
−$8.6K −$1.91/SF
EGI
$135.0K $29.89/SF
− OpEx
−$60.7K −$13.45/SF
NOI
$74.2K $16.44/SF
Area
Cumberland County, ME
Vacancy
6.00%
Lease Rate
$31.80 /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%
$1,484,580
Cap Rate 7%
$1,060,414
Cap Rate 9%
$824,767
Alternative Uses
Best Use
Apartment 5plus
$1.06M
$927.9K – $1.24M
NOI $74,229 @ 7.0% cap · market cap 4.95%
Second Best
Healthcare Medical
$939.5K
$822.0K – $1.10M
NOI $65,763 @ 7.0% cap · market cap 4.39%
Theoretical Best
Office A
$1.24M
$1.09M – $1.45M
NOI $86,867 @ 7.0% cap · market cap 5.79%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Office units
2
Residential units
Single-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
408
Businesses Nearby
Explore this area
Business Placement
Demographics for 04038, ME
18,336
Population
6,527
Households
2.8
Avg Household Size
39
Median Age
46%
College-Educated
97%
High-School Grad
50.6 sq mi
ZIP Area
362
Density / Sq Mi
$110,181
Median Household Income
$53,122
Median Earnings
$1,567
Median Rent
$426,300
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Office, residential, and apartment components support multiple occupancy arrangements at a centrally located Main Street property.
Where is this mixed-use property located?
The property is located at 164 Main Street Gorham, ME.
What is the asking price?
The asking price for this property is $1,499,000.
What are key features of this property?
This property features: Approximately 3,118 SF residence with 4/5 bedrooms, 2 full baths, and an attached 2‑car garage; Approximately 826 SF professional office currently leased for medical office use; Office includes waiting area, exam rooms, storage, bathroom, ADA access, and dedicated parking
