Killington Retail Building on Route
For Sale
$675,000
3471 US Route 4 Highway, Killington, VT 05751
Renovated retail building on a commercially zoned acre.
Property Size2,971 SF
Lot Size1.00 Acre
Price / SF$227.20
Days on Market900
Property Features for 3471 US Route 4 Highway
General Information
Standard status
Active
Size
2,971 SF
Lot size
1.00 Acre
Property subtype
Commercial/Industrial
Taxes and HOA fees
Annual Taxes
$8,608
Building Details
Year Built
1958
Listing Agency:
Killington Valley Real Estate
(802) 345-3797
Listed By:
Cathy Quaglia · License #0810001479
(802) 345-3797
Source:
Exitrealty
Added: Feb 23, 2024
Changed: Aug 8
Last Checked: Aug 8 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 Killington Valley Real Estate
Investment Insights
Based on property information with market context.
Located on Route 4, a major east-west state highway known as "The Gateway to Killington", this 2,971 square foot building was renovated in 2022. It is currently leased to Luce Farm Wellness at $2,800 per month through March 14, 2025. The property is situated on a 1-acre commercially zoned parcel. The building features a retail area, half bath, lab, commercial kitchen, offices, and storage areas. Town and State permits were obtained by Luce Farm Wellness for CBD manufacturing, internet sales, and retail. The site was formerly the original Aspen East Ski Shop & Surf the Earth Snowboards retail location, with shipping and office facilities. It is located minutes from the Killington Skyeship base, Bear Mountain lifts and trails, and the nightlife and restaurants along Killington Access Road. The property is also convenient to town for shopping, services, and the Rutland Regional Medical Center. The location offers opportunities for mountain biking and access to two golf courses. The area is experiencing growth, with $72 million in progress for a rebuilt Killington Road, a municipal water system, town center offices on Route 4, workforce housing, and the Six Peaks Village on over 1,000 acres. A new Bear Mountain Lodge is planned, along with upgrades to all lifts.
Key Highlights
- Excellent location on Route 4, "The Gateway to Killington," with high traffic counts.
- Leased to Luce Farm Wellness at $2,800 per month through March 14, 2025.
- Commercially zoned 1‑acre parcel suitable for retail, manufacturing, and internet sales.
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
$24,158
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
3.58%
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%
$483,160
$483.2K
Cap Rate 7%
$345,114
$345.1K
Cap Rate 9%
$268,422
$268.4K
Market Conditions
NOI Build-Up for 2,971 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
$39.2K $13.20/SF
− Vacancy
−$4.7K −$1.58/SF
EGI
$34.5K $11.62/SF
− OpEx
−$10.4K −$3.48/SF
NOI
$24.2K $8.13/SF
Area
Rutland County, VT
Vacancy
12.00%
Lease Rate
$13.20 /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%
$483,160
Cap Rate 7%
$345,114
Cap Rate 9%
$268,422
Alternative Uses
Best Use
Retail
$345.1K
$302.0K – $402.6K
NOI $24,158 @ 7.0% cap · market cap 3.58%
Second Best
—
—
no second resolved use
Theoretical Best
Healthcare Medical
$517.3K
$452.6K – $603.5K
NOI $36,210 @ 7.0% cap · market cap 5.36%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
89
Businesses Nearby
Explore this area
Business Placement
Demographics for 05751, VT
1,415
Population
2,759
Households
0.5
Avg Household Size
46
Median Age
48%
College-Educated
100%
High-School Grad
46.7 sq mi
ZIP Area
30
Density / Sq Mi
$71,538
Median Household Income
$45,781
Median Earnings
$1,125
Median Rent
$477,500
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Retail space - Renovated retail building on a commercially zoned acre.
Where is this retail space located?
The property is located at 3471 US Route 4 Highway Killington, VT.
What is the asking price?
The asking price for this property is $675,000.
What are key features of this property?
This property features: Excellent location on Route 4, "The Gateway to Killington," with high traffic counts.; Leased to Luce Farm Wellness at $2,800 per month through March 14, 2025.; Commercially zoned 1‑acre parcel suitable for retail, manufacturing, and internet sales.
