Bed And Breakfast With
For Sale
$675,000
222 Main Street, Dayton, VA 22821
Operating inn and restaurant with furnishings, fixtures, and equipment included.
Property Size8,244 SF
Days on Market193
Property Features for 222 Main Street
General Information
Standard status
Active
Size
8,244 SF
Property subtype
Other Hospitality
Additional Details
Furnished
Yes
Business Included
Yes
Equipment Included
Yes
Building Details
Building Size
8,244 SF
Year Built
1818
Listing Agency:
Cottonwood Commercial
(540) 383-6071
Listed By:
Ashley Swartz · License ##0225103133
(540) 383-6071
Source:
Thebrokerlist
Added: Feb 18
Changed: Aug 30
Last Checked: Aug 30 at 5:47AM
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 Cottonwood Commercial
Investment Insights
Based on property information with market context.
The Thomas House combines an operating bed-and-breakfast with an established restaurant in a historic downtown setting. The inn includes 5 bedrooms, 4 baths, and a separate 1-bed, 1-bath apartment. An unfinished basement has a private entrance and bathroom rough-in and was formerly configured as a second apartment.
The restaurant provides ample seating and also uses private rooms within the home for group dining and parties. Furniture, fixtures, and equipment are included, supporting continued operation of both components. The property has housed the Thomas House restaurant since the 1960s and includes the original dwelling, a later addition, and a restaurant addition.
The restaurant provides ample seating and also uses private rooms within the home for group dining and parties. Furniture, fixtures, and equipment are included, supporting continued operation of both components. The property has housed the Thomas House restaurant since the 1960s and includes the original dwelling, a later addition, and a restaurant addition.
Key Highlights
- Operating bed‑and‑breakfast with 5 bedrooms and 4 baths
- Separate 1‑bed, 1‑bath apartment
- Restaurant with ample seating and private dining rooms
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
$49,928
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
7.40%
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%
$998,560
$998.6K
Cap Rate 7%
$713,257
$713.3K
Cap Rate 9%
$554,756
$554.8K
Market Conditions
NOI Build-Up for 8,244 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
$123.7K $15.00/SF
− Vacancy
−$18.5K −$2.25/SF
EGI
$105.1K $12.75/SF
− OpEx
−$55.2K −$6.69/SF
NOI
$49.9K $6.06/SF
Area
Rockingham County, VA
Vacancy
15.00%
Lease Rate
$15.00 /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%
$998,560
Cap Rate 7%
$713,257
Cap Rate 9%
$554,756
Alternative Uses
Best Use
Specialty Retail
$1.37M
$1.20M – $1.60M
NOI $95,720 @ 7.0% cap · market cap 14.18%
Second Best
Hotel Hospitality
$713.3K
$624.1K – $832.1K
NOI $49,928 @ 7.0% cap · market cap 7.40%
Theoretical Best
Office A
$2.48M
$2.17M – $2.90M
NOI $173,915 @ 7.0% cap · market cap 25.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
171
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 22821, VA
5,848
Population
2,493
Households
2.3
Avg Household Size
39
Median Age
23%
College-Educated
78%
High-School Grad
72.5 sq mi
ZIP Area
81
Density / Sq Mi
$81,667
Median Household Income
$38,424
Median Earnings
$979
Median Rent
$252,000
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Bed & breakfast - Operating inn and restaurant with furnishings, fixtures, and equipment included.
Where is this bed & breakfast located?
The property is located at 222 Main Street Dayton, VA.
What is the asking price?
The asking price for this property is $675,000.
What are key features of this property?
This property features: Operating bed‑and‑breakfast with 5 bedrooms and 4 baths; Separate 1‑bed, 1‑bath apartment; Restaurant with ample seating and private dining rooms
