Mixed-Use Apartment and Retail
For Sale
$1,130,000
261 Union Avenue, Laconia, NH 03264
Nine-unit mixed-use property with eight 1-bedroom apartments and a 928 SF commercial space.
Property Size5,338 SF
Price / SF$211.69
Days on Market110
Property Features for 261 Union Avenue
General Information
Standard status
Active
Size
5,338 SF
Total Parking Spaces
6
Property subtype
Multi-family
Additional Details
Cap Rate
9.3%
Multifamily Units
8
Building Details
Year Built
1885
Listing Agency:
Gray Property Group,LLC
(603) 770-1738
Listed By:
Nick Gray
(603) 745-8300
Source:
Nhrecprop
Added: May 6
Changed: Aug 23
Last Checked: Aug 22 at 9:23AM
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 Gray Property Group,LLC
Investment Insights
Based on property information with market context.
This nine-unit mixed-use building features eight 1-bedroom apartments plus a 928 SF commercial space. The property has undergone updates to several apartments and common areas, and the roof was replaced in 2021. All eight apartments are currently occupied.
Located on Union Ave in central Laconia, the building benefits from ample street parking nearby and includes six off-street parking spaces. The landlord pays for heat, hot water, cold water, and electricity.
The commercial space offers an additional income component alongside the residential units, with the property currently generating approximately $155,000 in pro forma gross revenue and about $105,000 in NOI based on the information provided.
Located on Union Ave in central Laconia, the building benefits from ample street parking nearby and includes six off-street parking spaces. The landlord pays for heat, hot water, cold water, and electricity.
The commercial space offers an additional income component alongside the residential units, with the property currently generating approximately $155,000 in pro forma gross revenue and about $105,000 in NOI based on the information provided.
Key Highlights
- 9‑unit mixed‑use property (1885) with eight 1‑bedroom apartments plus a 928 SF commercial space
- Roof replaced in 2021; updates to several apartments and common areas
- All 8 apartments are occupied; average residential rent is $1,432 per unit per month
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
$71,617
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
6.34%
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%
$1,432,340
$1.4M
Cap Rate 7%
$1,023,100
$1.0M
Cap Rate 9%
$795,744
$795.7K
Market Conditions
NOI Build-Up for 5,338 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
$134.5K $25.20/SF
− Vacancy
−$4.3K −$0.81/SF
EGI
$130.2K $24.39/SF
− OpEx
−$58.6K −$10.98/SF
NOI
$71.6K $13.42/SF
Area
Belknap County, NH
Vacancy
3.20%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
45.00%
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%
$1,432,340
Cap Rate 7%
$1,023,100
Cap Rate 9%
$795,744
Alternative Uses
Best Use
Apartment 5plus
$1.02M
$895.2K – $1.19M
NOI $71,617 @ 7.0% cap · market cap 6.34%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.27M
$1.11M – $1.48M
NOI $88,858 @ 7.0% cap · market cap 7.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
8
Residential units
Location Intelligence
Trade Area within ½ mile
1,276
Businesses Nearby
Explore this area
Business Placement
Demographics for 03264, NH
7,054
Population
2,720
Households
2.6
Avg Household Size
28
Median Age
50%
College-Educated
97%
High-School Grad
36.5 sq mi
ZIP Area
193
Density / Sq Mi
$75,600
Median Household Income
$28,856
Median Earnings
$1,178
Median Rent
$273,300
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Nine-unit mixed-use property with eight 1-bedroom apartments and a 928 SF commercial space.
Where is this apartment building located?
The property is located at 261 Union Avenue Laconia, NH.
What is the asking price?
The asking price for this property is $1,130,000.
What are key features of this property?
This property features: 9‑unit mixed‑use property (1885) with eight 1‑bedroom apartments plus a 928 SF commercial space; Roof replaced in 2021; updates to several apartments and common areas; All 8 apartments are occupied; average residential rent is $1,432 per unit per month
