Office Building with
New
For Sale
$459,000
332 Water St, Hallowell, ME 04347
Flexible office layout includes a separate-entry studio, covered porch, solar panels, and landscaped grounds near downtown Hallowell.
Property Size2,120 SF
Lot Size0.30 Acres
Price / SF$216.51
Days on Market7
Property Features for 332 Water St
General Information
Standard status
Active
Size
2,120 SF
Lot size
0.30 Acres
Additional Details
Highway Access
Yes
Amenities
covered front porch
solar panels
landscaped gardens
Building Details
Year Built
1900
Listing Agency:
Hoang Realty
(207) 707-2919
Listed By:
Heidi Witham Hoa Hoang
Source:
Aroostookrealestate
Added: Aug 23
Changed: Aug 28
Last Checked: Aug 28 at 2:18PM
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 Hoang Realty
Investment Insights
Based on property information with market context.
Built in 1900, this office property occupies approximately 0.30 acres and includes parking, multiple rooms suitable for separate offices, and a spacious studio with its own entrance. The studio features a vaulted ceiling, bamboo flooring, radiant floor heat, and broad views toward the landscaped grounds and Kennebec River. Wood floors, distinctive light fixtures, and a covered front porch add further character.
The property is near downtown Hallowell, with access to restaurants, shops, cultural attractions, the Kennebec River Rail Trail, I-95, and I-295. Seasonal Kennebec River views complement the mature landscape surrounding the building. Solar panels are installed on the property, and a producing peach tree is located in the backyard.
The property is near downtown Hallowell, with access to restaurants, shops, cultural attractions, the Kennebec River Rail Trail, I-95, and I-295. Seasonal Kennebec River views complement the mature landscape surrounding the building. Solar panels are installed on the property, and a producing peach tree is located in the backyard.
Key Highlights
- Office property built in 1900 on approximately 0.30 acres
- Spacious studio with separate entrance, vaulted ceiling, and bamboo flooring
- Radiant floor heat and solar panels
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
$29,969
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
6.53%
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%
$599,380
$599.4K
Cap Rate 7%
$428,129
$428.1K
Cap Rate 9%
$332,989
$333.0K
Market Conditions
NOI Build-Up for 2,120 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
$45.8K $21.60/SF
− Vacancy
−$5.8K −$2.75/SF
EGI
$40.0K $18.85/SF
− OpEx
−$10.0K −$4.71/SF
NOI
$30.0K $14.14/SF
Area
Kennebec County, ME
Vacancy
12.74%
Lease Rate
$21.60 /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%
$599,380
Cap Rate 7%
$428,129
Cap Rate 9%
$332,989
Alternative Uses
Best Use
Office B
$428.1K
$374.6K – $499.5K
NOI $29,969 @ 7.0% cap · market cap 6.53%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$3.16M
$2.77M – $3.69M
NOI $221,398 @ 7.0% cap · market cap 48.23%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
91
Businesses Nearby
Explore this area
Business Placement
Demographics for 04347, ME
2,570
Population
1,436
Households
1.8
Avg Household Size
51
Median Age
46%
College-Educated
92%
High-School Grad
5.9 sq mi
ZIP Area
436
Density / Sq Mi
$58,811
Median Household Income
$37,027
Median Earnings
$830
Median Rent
$266,700
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Flexible office layout includes a separate-entry studio, covered porch, solar panels, and landscaped grounds near downtown Hallowell.
Where is this office building located?
The property is located at 332 Water St Hallowell, ME.
What is the asking price?
The asking price for this property is $459,000.
What are key features of this property?
This property features: Office property built in 1900 on approximately 0.30 acres; Spacious studio with separate entrance, vaulted ceiling, and bamboo flooring; Radiant floor heat and solar panels
