28-Unit Motel with
For Sale
$1,200,000
205 Saco Avenue, Old Orchard Beach, ME 04064
Motel property with kitchenette-equipped units and two residential apartments.
Property Size5,817 SF
Price / SF$206.29
Days on Market297
Property Features for 205 Saco Avenue
General Information
Standard status
Active
Size
5,817 SF
Property subtype
Commercial / Multi Family
Zoning
GB-1
Units
Unit Mix
28 x efficiency, 1 x 3BR/1BA, 1 x 1BR/1BA
Multifamily Units
30
Additional Details
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$10,220
Amenities
Forced Air
Crawl Space
Laminate, Carpet
No
Yes
Concrete Perimeter, Slab
.00
Shingle
Wood Siding, Wood Frame
Building Details
Year Built
1900
Listing Agency:
On Point Realty
(207) 569-8873
Listed By:
Bethany Warde
(207) 569-8873
Source:
Compass
Added: Nov 6, 2025
Changed: Aug 29
Last Checked: Aug 29 at 3:12PM
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 On Point Realty
Investment Insights
Based on property information with market context.
This 5,817-square-foot motel property, built in 1900, includes 28 efficiency-style units, with kitchenettes in most units. The property also contains two residential apartments: one with 3 bedrooms and 1 bath, and another with 1 bedroom and 1 bath. Interior features include forced-air heating, crawl space areas, laminate and carpet flooring, and concrete perimeter and slab construction. The exterior combines shingle and wood siding with a wood-frame structure.
Located at 205 Saco Avenue in Old Orchard Beach, the property has road frontage on two sides and includes an additional rear lot. Its GB-1 zoning allows up to six total residential units. The existing building footprint is grandfathered for reconstruction within current setbacks, supporting a full rebuild of the existing structure subject to applicable approvals.
Located at 205 Saco Avenue in Old Orchard Beach, the property has road frontage on two sides and includes an additional rear lot. Its GB-1 zoning allows up to six total residential units. The existing building footprint is grandfathered for reconstruction within current setbacks, supporting a full rebuild of the existing structure subject to applicable approvals.
Key Highlights
- 28 efficiency‑style motel units, with kitchenettes in most units
- Two apartments: 3 bedrooms and 1 bath, plus 1 bedroom and 1 bath
- 5,817 square feet on an additional rear lot
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
$70,458
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
5.87%
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%
$1,409,160
$1.4M
Cap Rate 7%
$1,006,543
$1.0M
Cap Rate 9%
$782,867
$782.9K
Market Conditions
NOI Build-Up for 5,817 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
$174.5K $30.00/SF
− Vacancy
−$26.2K −$4.50/SF
EGI
$148.3K $25.50/SF
− OpEx
−$77.9K −$13.39/SF
NOI
$70.5K $12.11/SF
Area
York County, ME
Vacancy
15.00%
Lease Rate
$30.00 /SF/Yr
Expense Ratio
52.50%
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%
$1,409,160
Cap Rate 7%
$1,006,543
Cap Rate 9%
$782,867
Alternative Uses
Best Use
Hotel Hospitality
$1.01M
$880.7K – $1.17M
NOI $70,458 @ 7.0% cap · market cap 5.87%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.84M
$1.61M – $2.15M
NOI $129,077 @ 7.0% cap · market cap 10.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
30
Residential units
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
138
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 04064, ME
8,452
Population
6,783
Households
1.2
Avg Household Size
53
Median Age
40%
College-Educated
96%
High-School Grad
6.7 sq mi
ZIP Area
1,261
Density / Sq Mi
$66,689
Median Household Income
$42,532
Median Earnings
$1,142
Median Rent
$312,700
Median Home Value
Questions? Ask Rey
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- Norman's Motel. We're no longer open for business thank you to all our regular customers we will miss you!! — 205 Saco Ave, Old Orchard Beach, ME 04064
Frequently Asked Questions
What type of property is this?
Motel - Motel property with kitchenette-equipped units and two residential apartments.
Where is this motel located?
The property is located at 205 Saco Avenue Old Orchard Beach, ME.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: 28 efficiency‑style motel units, with kitchenettes in most units; Two apartments: 3 bedrooms and 1 bath, plus 1 bedroom and 1 bath; 5,817 square feet on an additional rear lot
