Turnkey Family Restaurant with Full
For Sale
$595,000
2575 Academy Street, Ransomville, NY 14131
Turnkey restaurant with full bar seating, walk-in cooler/freezer, and a 2BR apartment above, plus a 14-space parking lot.
Property Size4,604 SF
Days on Market165
Property Features for 2575 Academy Street
General Information
Standard status
Active
Size
4,604 SF
Total Parking Spaces
14
Property subtype
Commercial
Zoning
CMU
Additional Details
Business Included
Yes
Taxes and HOA fees
Annual Taxes
$6,575
Building Details
Building Size
4,604 SF
Year Built
1920
Buildings
2
Stories
2
Listing Agency:
HUNT Real Estate Corporation
(716) 434-6266
Listed By:
Louis J Faery
(716) 434-6266
Source:
Homeprocny
Added: Mar 12
Changed: Aug 23
Last Checked: Aug 22 at 9:56AM
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 HUNT Real Estate Corporation
Investment Insights
Based on property information with market context.
Johnstons Family Restaurant is a fully operational, turnkey restaurant purchase that includes the restaurant, business, furnishings, and all equipment on premise. The dining area features a full bar with seating for 12 and a dining room with seating for 60. The kitchen is fully equipped and includes a walk-in cooler and freezer. An additional 2BR apartment is located on the second floor, and there is also a detached garage for extra storage.
The property provides a parking lot lined with 14 spaces, with additional street parking reportedly used as well. The restaurant is currently open Tuesday through Saturday from 2:00 PM to 9:00 PM.
This is a ready-to-operate foodservice property with established in-house amenities for both dining and bar service, supported by on-site kitchen refrigeration and substantial on-site storage.
The property provides a parking lot lined with 14 spaces, with additional street parking reportedly used as well. The restaurant is currently open Tuesday through Saturday from 2:00 PM to 9:00 PM.
This is a ready-to-operate foodservice property with established in-house amenities for both dining and bar service, supported by on-site kitchen refrigeration and substantial on-site storage.
Key Highlights
- Well‑established, fully operational family restaurant (Johnstons Family Restaurant) with sale including restaurant, business, furnishings and all equipment.
- Restaurant layout includes full bar with seating for 12 and a dining room with seating for 60.
- Fully equipped kitchen with walk‑in cooler and walk‑in freezer.
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
$46,392
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
7.80%
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%
$927,840
$927.8K
Cap Rate 7%
$662,743
$662.7K
Cap Rate 9%
$515,467
$515.5K
Market Conditions
NOI Build-Up for 4,604 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
$66.3K $14.40/SF
− Vacancy
−$4.4K −$0.96/SF
EGI
$61.9K $13.44/SF
− OpEx
−$15.5K −$3.36/SF
NOI
$46.4K $10.08/SF
Area
Niagara County, NY
Vacancy
6.70%
Lease Rate
$14.40 /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%
$927,840
Cap Rate 7%
$662,743
Cap Rate 9%
$515,467
Alternative Uses
Best Use
Specialty Retail
$662.7K
$579.9K – $773.2K
NOI $46,392 @ 7.0% cap · market cap 7.80%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$3.91M
$3.42M – $4.56M
NOI $273,840 @ 7.0% cap · market cap 46.02%
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
73
Businesses Nearby
11k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 80%
Home Improvements & Furnishings 20%
Dollar General
Shops & Services
6,393 visits/mo
0.1 miles
KeyBank
Shops & Services
2,605 visits/mo
0.2 miles
True Value Hardware
Home Improvements & Furnishings
2,289 visits/mo
0.2 miles
Demographics for 14131, NY
5,207
Population
2,198
Households
2.4
Avg Household Size
50
Median Age
21%
College-Educated
95%
High-School Grad
41.9 sq mi
ZIP Area
124
Density / Sq Mi
$91,424
Median Household Income
$42,371
Median Earnings
$856
Median Rent
$204,800
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Turnkey restaurant with full bar seating, walk-in cooler/freezer, and a 2BR apartment above, plus a 14-space parking lot.
Where is this conventional restaurant located?
The property is located at 2575 Academy Street Ransomville, NY.
What is the asking price?
The asking price for this property is $595,000.
What are key features of this property?
This property features: Well‑established, fully operational family restaurant (Johnstons Family Restaurant) with sale including restaurant, business, furnishings and all equipment.; Restaurant layout includes full bar with seating for 12 and a dining room with seating for 60.; Fully equipped kitchen with walk‑in cooler and walk‑in freezer.
