323-331 State St Augusta, ME

The property at 323 & 331 State Street in Augusta, Maine, presents a two-building office investment opportunity. The combined area of the buildings is approximately 15,224 square feet, featuring elevator access and ample paved parking. The property is well-leased with strong tenants and offers upside potential through rent adjustments and lease-up of a small vacancy. Maine Community College System occupies space under a 10-year lease through June 30, 2030, with a monthly rent of $13,150 and annual CPI-U increases. Constellation Health Services has a 5-year lease through December 31, 2027, with a monthly rent of $2,942 and annual increases to $3,091 by 2027. Maine Child Welfare Ombudsman, Lawson Property Management, and Maine Children’s Alliance (331 State) are tenants at will, paying monthly rents of $1,400, $1,000, and $1,600 respectively, which are below market rates. There is a vacancy of approximately 1,000 square feet, consisting of two offices, a conference room, and a reception area. The current net operating income (NOI) is $146,000, with a projected NOI of $182,000. The capitalization rate is 8.35% on current income. The price per square foot is approximately $115, below recent sales at $128 per square foot. This property offers an attractive combination of secure long-term tenancy and value-add upside through rent resets, vacancy lease-up, and potential stabilization above $2 million.