Freestanding Restaurant with Pylon
For Sale
$2,500,000
2552 Riva Road, Annapolis, MD 21401
Standalone restaurant with substantial dining capacity, liquor licensing, and prominent roadside signage.
Property Size4,679 SF
Price / SF$534.30
Days on Market150
Property Features for 2552 Riva Road
General Information
Standard status
Active
Size
4,679 SF
Property subtype
Retail
Zoning
C2 (Commercial)
Site & Location
Pylon Signage
Yes
Traffic Count
26,091 vehicles/day
Highway Access
Yes
Restaurant
Seating Capacity
134
Liquor License
Yes
Building Details
Building Size
4,679 SF
Listing Agency:
MacKenzie Commercial Real Estate - Corporate
(410) 974-9003
Listed By:
Trish Farrell · License #MD 636644
(410) 974-9003
Source:
Mackenziecommercial
Added: Apr 3
Changed: Aug 29
Last Checked: Aug 29 at 9:05PM
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 MacKenzie Commercial Real Estate - Corporate
Investment Insights
Based on property information with market context.
This freestanding restaurant contains 4,679± SF and includes a dining room arranged for approximately 134 guests. The property conveys with a Class “H” BWL Liquor License, supporting continued food-and-beverage operations. C2 (Commercial) zoning is in place.
A large pylon sign serves the property along Riva Road, which carries approximately 26,091± vehicles daily. The site provides access to Route 50 and I-97 and is located minutes from Downtown Annapolis and its waterfront.
A large pylon sign serves the property along Riva Road, which carries approximately 26,091± vehicles daily. The site provides access to Route 50 and I-97 and is located minutes from Downtown Annapolis and its waterfront.
Key Highlights
- 4,679± SF freestanding restaurant
- Dining area accommodates approximately 134 guests
- Class “H” BWL Liquor License conveys with the property
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
$74,366
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
2.97%
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%
$1,487,320
$1.5M
Cap Rate 7%
$1,062,371
$1.1M
Cap Rate 9%
$826,289
$826.3K
Market Conditions
NOI Build-Up for 4,679 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
$102.8K $21.96/SF
− Vacancy
−$3.6K −$0.77/SF
EGI
$99.2K $21.19/SF
− OpEx
−$24.8K −$5.30/SF
NOI
$74.4K $15.89/SF
Area
Anne Arundel County, MD
Vacancy
3.50%
Lease Rate
$21.96 /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%
$1,487,320
Cap Rate 7%
$1,062,371
Cap Rate 9%
$826,289
Alternative Uses
Best Use
Specialty Retail
$1.06M
$929.6K – $1.24M
NOI $74,366 @ 7.0% cap · market cap 2.97%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.37M
$1.20M – $1.60M
NOI $95,811 @ 7.0% cap · market cap 3.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
26,091 VPD
Traffic count
Yes
Highway access
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
2,628
Businesses Nearby
131k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Home Improvements & Furnishings 38%
Apparel 33%
Dining 15%
Hotels & Casinos 9%
The Home Depot
Home Improvements & Furnishings
49,831 visits/mo
0.5 miles
Nordstrom Rack
Apparel
37,493 visits/mo
0.5 miles
Dunkin' Donuts
Dining
17,353 visits/mo
0.1 miles
Jos. A. Bank Clothiers Inc.
Apparel
3,740 visits/mo
0.4 miles
Bath & Body Works
Beauty & Spa
3,598 visits/mo
0.4 miles
Demographics for 21401, MD
39,308
Population
19,293
Households
2
Avg Household Size
44
Median Age
61%
College-Educated
96%
High-School Grad
19.9 sq mi
ZIP Area
1,975
Density / Sq Mi
$119,296
Median Household Income
$67,845
Median Earnings
$2,106
Median Rent
$580,600
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?
Conventional restaurant - Standalone restaurant with substantial dining capacity, liquor licensing, and prominent roadside signage.
Where is this conventional restaurant located?
The property is located at 2552 Riva Road Annapolis, MD.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: 4,679± SF freestanding restaurant; Dining area accommodates approximately 134 guests; Class “H” BWL Liquor License conveys with the property
