Medical Office
For Sale
Contact for pricing
35 Wells St, Westerly, RI 02891
Medical office condominium next to Westerly Hospital, offered for sale with a long-term lease in place and options.
Property Size4,143 SF
Price / SF$229.30
Days on Market254
Property Features for 35 Wells St
General Information
Standard status
Active
Size
4,143 SF
Property subtype
OFFICE
Listing Agency:
Pequot Commercial
(860) 447-9570
Listed By:
John E Jensen · License #REB.0339523
(860) 460-0255
Source:
Moodyscre
Added: Jan 2
Changed: Sep 11
Last Checked: Sep 13 at 9:51AM
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 Pequot Commercial
Investment Insights
Based on property information with market context.
This medical office condominium is offered for sale as a managed, condominium-style space. The property is described as having a long-term lease in place, with options included.
The building is located next to Westerly Hospital, providing direct proximity to a healthcare setting.
As presented, the offering includes the existing leased occupancy through the long-term agreement and its stated options.
The building is located next to Westerly Hospital, providing direct proximity to a healthcare setting.
As presented, the offering includes the existing leased occupancy through the long-term agreement and its stated options.
Key Highlights
- Medical office condominium located next to Westerly Hospital
- Long‑term lease in place
- Lease includes options
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
$57,944
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
6.10%
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%
$1,158,880
$1.2M
Cap Rate 7%
$827,771
$827.8K
Cap Rate 9%
$643,822
$643.8K
Market Conditions
NOI Build-Up for 4,143 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
$104.4K $25.20/SF
− Vacancy
−$7.8K −$1.89/SF
EGI
$96.6K $23.31/SF
− OpEx
−$38.6K −$9.32/SF
NOI
$57.9K $13.99/SF
Area
Washington County, RI
Vacancy
7.50%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
40.00%
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%
$1,158,880
Cap Rate 7%
$827,771
Cap Rate 9%
$643,822
Alternative Uses
Best Use
Healthcare Medical
$827.8K
$724.3K – $965.7K
NOI $57,944 @ 7.0% cap · market cap 6.10%
Second Best
Office B
$685.0K
$599.3K – $799.1K
NOI $47,947 @ 7.0% cap · market cap 5.05%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
768
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 02891, RI
21,803
Population
12,660
Households
1.7
Avg Household Size
50
Median Age
41%
College-Educated
94%
High-School Grad
26.3 sq mi
ZIP Area
829
Density / Sq Mi
$90,435
Median Household Income
$49,448
Median Earnings
$1,249
Median Rent
$422,600
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Medical Office Space - Medical office condominium next to Westerly Hospital, offered for sale with a long-term lease in place and options.
Where is this medical office space located?
The property is located at 35 Wells St Westerly, RI.
What is the asking price?
The asking price for this property is $950,000.
What are key features of this property?
This property features: Medical office condominium located next to Westerly Hospital; Long‑term lease in place; Lease includes options
