Building Details

Year Built 2007

Listing Agency: North Woods Real Estate, LLC j***@gmail.com Show Phone

Listed By: James Plourde Show Phone

Source: Compass

Added: Sep 8, 2025 Changed: Aug 30 Last Checked: Aug 30 at 5:12PM

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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 North Woods Real Estate, LLC

Investment Insights

Based on property information with market context.

Located at 2149 Medway Road in Medway, ME 04460, this mixed-use commercial property combines an operating restaurant and bar with two new 1-bedroom efficiency apartments. The interior has been renovated and includes modern equipment, storage, tile and concrete surfaces, and a slab foundation. Five pool tables and nightly pool leagues are part of the existing business setup.

The property carries Commercial zoning and was built in 2007. Mechanical improvements include two newer boilers and three new heat pumps, supported by additional heating features including baseboard heat and a pellet stove. The current owner is willing to remain temporarily to assist with training and the ownership transition.

Key Highlights

• Restaurant and bar with five pool tables and nightly pool leagues
• Two new 1‑bedroom efficiency apartments
• Renovated interior with modern restaurant equipment

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

$41,564

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

8.48%

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%

$831,280 $831.3K

Cap Rate 7%

$593,771 $593.8K

Cap Rate 9%

$461,822 $461.8K

Market Conditions

NOI Build-Up for 5,800 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

$73.1K $12.60/SF

− Vacancy

−$6.6K −$1.13/SF

EGI

$66.5K $11.47/SF

− OpEx

−$24.9K −$4.30/SF

NOI

$41.6K $7.17/SF

Area

Penobscot County, ME

Vacancy

9.00%

Lease Rate

$12.60 /SF/Yr

Expense Ratio

37.50%

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%

$831,280

Cap Rate 7%

$593,771

Cap Rate 9%

$461,822

Alternative Uses

Best Use

Specialty Retail

$1.13M

$987.7K – $1.32M (±1% cap)

NOI $79,012 @ 7.0% cap · market cap 16.13%

Second Best

Mixed Use

$593.8K

$519.6K – $692.7K (±1% cap)

NOI $41,564 @ 7.0% cap · market cap 8.48%

Theoretical Best

Office A

$1.87M

$1.64M – $2.19M (±1% cap)

NOI $131,126 @ 7.0% cap · market cap 26.77%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

83 North Bar ... Bar & Pub

Suggested Use

Top Pick Electrical Service Auto Parts Store (Bike/Boat/Book/etc) Store Barber Shop Real Estate Agency Grocery & Convenience Store

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

Turnkey business

Opportunity

Location Intelligence

Trade Area within ½ mile

50

Businesses Nearby

4k

Monthly Visits Nearby

Explore this area Business Placement

Foot Traffic Nearby

Shops & Services 100%

Citgo Shops & Services

3,720 visits/mo 0.2 miles

Demographics for 04460, ME

1,236

Population

654

Households

1.9

Avg Household Size

53

Median Age

8%

College-Educated

88%

High-School Grad

76.7 sq mi

ZIP Area

16

Density / Sq Mi

$46,125

Median Household Income

$28,200

Median Earnings

$766

Median Rent

$84,500

Median Home Value

Market

Vacancy Rate% for Retail in Northeast region

6% 2019

7.1% 2020

6.5% 2021

6% 2022

5.7% 2023

5.6% 2024

6% 2025

Questions? Ask Rey

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What type of property is this? Where is this mixed-use properties located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Mixed-use property - Restaurant and bar property with two efficiency apartments, updated interiors, commercial zoning, and upgraded mechanical systems.

Where is this mixed-use property located?

The property is located at 2149 Medway Road Medway, ME.

What is the asking price?

The asking price for this property is $489,900.

What are key features of this property?

This property features: Restaurant and bar with five pool tables and nightly pool leagues; Two new 1‑bedroom efficiency apartments; Renovated interior with modern restaurant equipment