Building Details

Year Built 1889

Buildings 1

Listing Agency: The Agency Bainbridge Island b***@theagencyre.com Show Phone

Listed By: Bror Elmquist Show Phone

Source: Moodyscre

Added: Aug 26 Changed: Aug 30 Last Checked: Aug 30 at 1:23AM

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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 The Agency Bainbridge Island

Investment Insights

Based on property information with market context.

Originally constructed in 1889, this restored hotel property contains approximately 2,400 square feet arranged with a commercial kitchen, lobby, dining room, lounge and bar. The current layout also includes 3 bedrooms and 2 bathrooms, supported by multiple decks, covered porches, and a garden patio for outdoor dining, events, or guest use.

The property occupies a rare triple-lot setting in downtown Kingston with substantial on-site parking. Its position provides visibility from the ferry, proximity to local shops, dining, and village amenities, along with expansive views toward Puget Sound and Mt. Rainier. Established gardens, including work attributed to horticulturist Dan Hinkley, reinforce the property's historic character. The existing improvements support hospitality, dining, or gathering uses, while other concepts remain subject to applicable zoning and approvals.

Key Highlights

• 2,400‑square‑foot restored hotel property built in 1889
• Rare triple‑lot footprint in downtown Kingston
• Commercial kitchen, lobby, dining area, lounge and bar

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

$56,020

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

2.96%

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%

$1,120,400 $1.1M

Cap Rate 7%

$800,286 $800.3K

Cap Rate 9%

$622,444 $622.4K

Market Conditions

NOI Build-Up for 2,400 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

$78.6K $32.76/SF

− Vacancy

−$3.9K −$1.64/SF

EGI

$74.7K $31.12/SF

− OpEx

−$18.7K −$7.78/SF

NOI

$56.0K $23.34/SF

Area

Kitsap County, WA

Vacancy

5.00%

Lease Rate

$32.76 /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%

$1,120,400

Cap Rate 7%

$800,286

Cap Rate 9%

$622,444

Alternative Uses

Best Use

Specialty Retail

$800.3K

$700.3K – $933.7K (±1% cap)

NOI $56,020 @ 7.0% cap · market cap 2.96%

Second Best

Hotel Hospitality

$249.2K

$218.0K – $290.7K (±1% cap)

NOI $17,442 @ 7.0% cap · market cap 0.92%

Theoretical Best

—

—

same as Best Use

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Hotels

Suggested Use

Top Pick Auto Repair Shop Pharmacy Plumbing Service (Bike/Boat/Book/etc) Store Auto Parts Store Dental Office

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

356

Businesses Nearby

36k

Monthly Visits Nearby

Explore this area Business Placement

Foot Traffic Nearby

Dining 45% Shops & Services 27% Groceries 27%

McDonald's Dining

14,521 visits/mo 0.3 miles

Grocery Outlet Bargain Market Groceries

9,861 visits/mo 0.4 miles

ARCO Shops & Services

8,542 visits/mo 0.4 miles

Westside Pizza Dining

1,866 visits/mo 0.1 miles

FedEx Office Print & Ship Center Shops & Services

1,384 visits/mo 0.1 miles

Demographics for 98346, WA

10,402

Population

4,259

Households

2.4

Avg Household Size

46

Median Age

46%

College-Educated

94%

High-School Grad

29.1 sq mi

ZIP Area

357

Density / Sq Mi

$110,946

Median Household Income

$51,711

Median Earnings

$1,550

Median Rent

$561,300

Median Home Value

Market

Vacancy Rate% for Retail in West region

7% 2020

6.3% 2021

5.5% 2022

5.3% 2023

5.5% 2024

5.8% 2025

Questions? Ask Rey

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Frequently Asked Questions

What type of property is this?

Hotel - Restored historic property with commercial kitchen, guest rooms, outdoor gathering areas, and established gardens.

Where is this hotel located?

The property is located at 25931 Washington Blvd NE Kingston, WA.

What is the asking price?

The asking price for this property is $1,895,000.

What are key features of this property?

This property features: 2,400‑square‑foot restored hotel property built in 1889; Rare triple‑lot footprint in downtown Kingston; Commercial kitchen, lobby, dining area, lounge and bar