Lake Effect Diner Restaurant
For Sale
$1,200,000
3165 Main Street, Buffalo, NY 14214
CommercialSale, Buffalo, NY
Property Size4,305 SF
Lot Size0.63 Acres
Price / SF$278.75
Days on Market222
Property Features for 3165 Main Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
N-3C
Zoning description
Business
Rooms
Basement
Parking
15
Parking features
Paved or Surfaced
Lot features
Irregular Lot
Elementary school district
Buffalo
Middle school district
Buffalo
High school district
Buffalo
Subdivision
Buffalo City-140200
Standard status
Active
APN
140200-079-620-0002-024-000
Size
4,305 SF
Lot size
0.63 Acres
Taxes and HOA fees
Tax Annual Amount
6513
Utilities
Sewer type
Public Sewer
Heating system
Natural Gas, Forced Air
Cooling system
Central Air
Building Details
Year built
1954
Floors in Building
2
Number of units
2
Flooring type
Concrete
Building materials
BlownInInsulation, Brick, Block, Masonry, Concrete, SprayFoamInsulation
Roof type
Membrane, Rubber, Asphalt
Listing Agency:
Gurney Becker & Bourne
(716) 849-1234
Listed By:
Carmelo A Parlato · License #10401209029
(716) 335-2227
Added: Jan 12
Changed: Aug 19
Last Checked: Aug 22 at 2:06PM
MLS# B1657761
Copyright © 2026 New York State Alliance of MLSs, LLC. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
The Lake Effect Diner property at 3165 Main Street includes a 4,305-square-foot restaurant building on 0.6265 acres. Its dining room incorporates a 1952 Mountain View Diner transported from Wayne, Pennsylvania, while a later structure provides a large commercial kitchen, full basement, and two stories of cooking, preparation, and baking areas. The facility has capacity for 50 guests, with design plans and blueprints for an addition accommodating an additional 80.
Located in Buffalo’s University District, the property is approximately a half mile from UB South Campus. Building features include central air, forced-air natural gas heating, public sewer, paved parking, and a membrane, rubber, and asphalt roof. The restaurant has been featured twice on Food Network’s “Diners, Drive-Ins and Dives,” including in 2025, and the improvements are described as newly updated, fully equipped, and maintained for ongoing restaurant operations.
Located in Buffalo’s University District, the property is approximately a half mile from UB South Campus. Building features include central air, forced-air natural gas heating, public sewer, paved parking, and a membrane, rubber, and asphalt roof. The restaurant has been featured twice on Food Network’s “Diners, Drive-Ins and Dives,” including in 2025, and the improvements are described as newly updated, fully equipped, and maintained for ongoing restaurant operations.
Key Highlights
- 4,305‑square‑foot restaurant building on 0.6265 acres
- 1952 Mountain View Diner incorporated into the dining room
- Large kitchen, full basement, and two stories of cooking and preparation space
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
$49,361
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
4.11%
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%
$987,220
$987.2K
Cap Rate 7%
$705,157
$705.2K
Cap Rate 9%
$548,456
$548.5K
Market Conditions
NOI Build-Up for 4,305 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
$72.3K $16.80/SF
− Vacancy
−$6.5K −$1.51/SF
EGI
$65.8K $15.29/SF
− OpEx
−$16.5K −$3.82/SF
NOI
$49.4K $11.47/SF
Area
Buffalo, NY
Vacancy
9.00%
Lease Rate
$16.80 /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%
$987,220
Cap Rate 7%
$705,157
Cap Rate 9%
$548,456
Alternative Uses
Best Use
Specialty Retail
$705.2K
$617.0K – $822.7K
NOI $49,361 @ 7.0% cap · market cap 4.11%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.04M
$905.9K – $1.21M
NOI $72,469 @ 7.0% cap · market cap 6.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,009
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 14214, NY
20,732
Population
9,280
Households
2.2
Avg Household Size
32
Median Age
46%
College-Educated
90%
High-School Grad
3.3 sq mi
ZIP Area
6,282
Density / Sq Mi
$56,573
Median Household Income
$29,928
Median Earnings
$1,072
Median Rent
$234,600
Median Home Value
Market
Vacancy Rate% for Retail in Buffalo, NY
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Breakfast & diner - Restaurant property near UB South Campus with a vintage diner dining room and expanded kitchen facilities.
Where is this breakfast & diner located?
The property is located at 3165 Main Street Buffalo, NY.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: 4,305‑square‑foot restaurant building on 0.6265 acres; 1952 Mountain View Diner incorporated into the dining room; Large kitchen, full basement, and two stories of cooking and preparation space
