Sherwin-Williams NNN
For Sale
Contact for pricing
301 North Frederick Avenue, Gaithersburg, MD 20877
Retail property associated with Sherwin-Williams and structured as a net-lease asset.
Property Size6,100 SF
Price / SF$781.63
Days on Market15
Property Features for 301 North Frederick Avenue
General Information
Standard status
Active
Size
6,100 SF
Property subtype
Retail
Occupancy
100%
Lease Type
NNN
Net Operating Income
$262,236
Additional Details
Cap Rate
5.5%
Building Details
Year Built
1984
Tenancy
Single
Listing Agency:
Matthews
Listed By:
Ed Laycox · License #VA 0225094421
Source:
Crexi
Added: Aug 7
Changed: Aug 21
Last Checked: Aug 20 at 12:52PM
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 Matthews
Investment Insights
Based on property information with market context.
This 6,100-square-foot retail property is associated with Sherwin-Williams and was constructed in 1984. The asset is classified as an NNN property and carries a reported 5.50% cap rate.
Located at 301 North Frederick Avenue in Gaithersburg, Maryland, the property is identified within the Washington, D.C. metropolitan area. The listing presents the asset as a net-lease retail property available for sale.
Located at 301 North Frederick Avenue in Gaithersburg, Maryland, the property is identified within the Washington, D.C. metropolitan area. The listing presents the asset as a net-lease retail property available for sale.
Key Highlights
- Sherwin‑Williams retail property
- 6,100 square feet
- NNN property classification
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
$140,195
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
2.94%
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%
$2,803,900
$2.8M
Cap Rate 7%
$2,002,786
$2.0M
Cap Rate 9%
$1,557,722
$1.6M
Market Conditions
NOI Build-Up for 6,100 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
$213.7K $35.04/SF
− Vacancy
−$13.5K −$2.21/SF
EGI
$200.3K $32.83/SF
− OpEx
−$60.1K −$9.85/SF
NOI
$140.2K $22.98/SF
Area
Montgomery County, MD
Vacancy
6.30%
Lease Rate
$35.04 /SF/Yr
Expense Ratio
30.00%
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%
$2,803,900
Cap Rate 7%
$2,002,786
Cap Rate 9%
$1,557,722
Alternative Uses
Best Use
Retail
$2.00M
$1.75M – $2.34M
NOI $140,195 @ 7.0% cap · market cap 2.94%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$2.15M
$1.88M – $2.50M
NOI $150,209 @ 7.0% cap · market cap 3.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,576
Businesses Nearby
50k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 97%
Electronics 3%
Wawa
Shops & Services
32,658 visits/mo
0.2 miles
Shell
Shops & Services
12,290 visits/mo
0.2 miles
Public Storage
Shops & Services
3,049 visits/mo
0.5 miles
Metro by T-Mobile
Electronics
1,714 visits/mo
0.3 miles
Demographics for 20877, MD
37,577
Population
13,599
Households
2.8
Avg Household Size
36
Median Age
35%
College-Educated
76%
High-School Grad
5.6 sq mi
ZIP Area
6,710
Density / Sq Mi
$86,103
Median Household Income
$39,341
Median Earnings
$1,862
Median Rent
$462,500
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?
NNN property - Retail property associated with Sherwin-Williams and structured as a net-lease asset.
Where is this nnn property located?
The property is located at 301 North Frederick Avenue Gaithersburg, MD.
What is the asking price?
The asking price for this property is $4,767,940.
What are key features of this property?
This property features: Sherwin‑Williams retail property; 6,100 square feet; NNN property classification
