Two-Unit Retail
New
For Sale
$375,000
3524 Millington Rd, Clayton, DE 19938
Recently renovated commercial space with two interior-connected storefronts and upgraded HVAC systems.
Property Size2,304 SF
Price / SF$162.76
Days on Market6
Property Features for 3524 Millington Rd
General Information
Standard status
Active
Size
2,304 SF
Property subtype
Commercial
Building Details
Year Built
1978
Tenancy
Multi
Listing Agency:
(302) 727-3013
Listed By:
Jeffrey Fowler Group
(302) 727-3013
Source:
Jeffreyfowler
Added: Aug 26
Changed: Aug 28
Last Checked: Aug 30 at 4:39PM
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 Jeffrey Fowler Group
Investment Insights
Based on property information with market context.
This retail property contains two separate storefront units connected through the interior. Each unit measures approximately 828+/- SF, while the right-hand side includes an additional 391+/- SF rear room. The interior has been comprehensively refreshed with new electrical work, 2x4 framing, insulation, drywall, flooring, trim, and paint. Exterior improvements include a replacement roof, fresh paint, and updated porch ceiling and posts, along with HVAC upgrades.
Built in 1978, the property is located at 3524 Millington Rd in Clayton, Delaware, serving the Clayton and Middletown area with access to surrounding communities and major transportation routes. The location previously held a liquor license and remains eligible for a new one, adding a specific use-related consideration for qualified operators.
Built in 1978, the property is located at 3524 Millington Rd in Clayton, Delaware, serving the Clayton and Middletown area with access to surrounding communities and major transportation routes. The location previously held a liquor license and remains eligible for a new one, adding a specific use-related consideration for qualified operators.
Key Highlights
- Two separate retail units with interior access between them
- Each retail side is approximately 828+/- SF
- Right‑side unit includes an additional 391+/- SF rear room
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
$20,945
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
5.59%
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%
$418,900
$418.9K
Cap Rate 7%
$299,214
$299.2K
Cap Rate 9%
$232,722
$232.7K
Market Conditions
NOI Build-Up for 2,304 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
$32.3K $14.04/SF
− Vacancy
−$2.4K −$1.05/SF
EGI
$29.9K $12.99/SF
− OpEx
−$9.0K −$3.90/SF
NOI
$20.9K $9.09/SF
Area
Kent County, DE
Vacancy
7.50%
Lease Rate
$14.04 /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%
$418,900
Cap Rate 7%
$299,214
Cap Rate 9%
$232,722
Alternative Uses
Best Use
Retail
$299.2K
$261.8K – $349.1K
NOI $20,945 @ 7.0% cap · market cap 5.59%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$580.2K
$507.6K – $676.9K
NOI $40,611 @ 7.0% cap · market cap 10.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
4
Businesses Nearby
Explore this area
Business Placement
Demographics for 19938, DE
10,131
Population
3,246
Households
3.1
Avg Household Size
39
Median Age
23%
College-Educated
91%
High-School Grad
48.2 sq mi
ZIP Area
210
Density / Sq Mi
$96,338
Median Household Income
$47,487
Median Earnings
$1,624
Median Rent
$335,800
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Recently renovated commercial space with two interior-connected storefronts and upgraded HVAC systems.
Where is this retail space located?
The property is located at 3524 Millington Rd Clayton, DE.
What is the asking price?
The asking price for this property is $375,000.
What are key features of this property?
This property features: Two separate retail units with interior access between them; Each retail side is approximately 828+/- SF; Right‑side unit includes an additional 391+/- SF rear room
