Historic 11-Room Inn and
New
For Sale
Contact for pricing
411 E FRONT AVE, Chester, AR 72934
Operating lodging property with event, retail, and dining improvements.
Property Size9,600 SF
Lot Size0.69 Acres
Price / SF$93.65
Days on Market6
Property Features for 411 E FRONT AVE
General Information
Standard status
Active
Size
9,600 SF
Lot size
0.69 Acres
Property subtype
Hospitality
Financials
Asking Price
$899,000
Business Included
Yes
Amenities
historic dining hall
staged convention space
undeveloped outdoor ground
Building Details
Year Built
1887
Buildings
1
Stories
2
Units
11
Tenancy
Single
Listing Agency:
Keller Williams Platinum Realty
Listed By:
Randy Pendergraft · License #SA00090560
Source:
Crexi
Added: Aug 28
Changed: Sep 1
Last Checked: Sep 1 at 10:15PM
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 Keller Williams Platinum Realty
Investment Insights
Based on property information with market context.
Built in 1887, this 9,600-square-foot property operates as an eleven-room inn with two luxury suites and an integrated event venue. The improvements include a historic dining hall, staged convention space, on-site mercantile and apothecary areas, nine toilets, and seven showers. A five-year restoration retained more than forty original 1887 windows and original merchandise shelving.
The property occupies 0.69 acres at 411 E Front Ave in Chester, Arkansas, including a quarter-acre section of undeveloped outdoor ground. It is positioned on the Fort Smith–Northwest Arkansas corridor, approximately thirty minutes from Fayetteville and the University of Arkansas. The building is listed on the National Register of Historic Places.
The property occupies 0.69 acres at 411 E Front Ave in Chester, Arkansas, including a quarter-acre section of undeveloped outdoor ground. It is positioned on the Fort Smith–Northwest Arkansas corridor, approximately thirty minutes from Fayetteville and the University of Arkansas. The building is listed on the National Register of Historic Places.
Key Highlights
- 11‑room inn with 2 luxury suites
- 9,600 SF building on 0.69 acres
- Integrated event venue with dining hall and staged convention space
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
$60,192
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
6.70%
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%
$1,203,840
$1.2M
Cap Rate 7%
$859,886
$859.9K
Cap Rate 9%
$668,800
$668.8K
Market Conditions
NOI Build-Up for 9,600 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
$144.0K $15.00/SF
− Vacancy
−$17.3K −$1.80/SF
EGI
$126.7K $13.20/SF
− OpEx
−$66.5K −$6.93/SF
NOI
$60.2K $6.27/SF
Area
Crawford County, AR
Vacancy
12.00%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
52.50%
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%
$1,203,840
Cap Rate 7%
$859,886
Cap Rate 9%
$668,800
Alternative Uses
Best Use
Retail
$1.18M
$1.04M – $1.38M
NOI $82,850 @ 7.0% cap · market cap 9.22%
Second Best
Hotel Hospitality
$859.9K
$752.4K – $1.00M
NOI $60,192 @ 7.0% cap · market cap 6.70%
Theoretical Best
Office A
$1.84M
$1.61M – $2.15M
NOI $128,840 @ 7.0% cap · market cap 14.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
21
Businesses Nearby
Explore this area
Business Placement
Demographics for 72934, AR
942
Population
379
Households
2.5
Avg Household Size
40
Median Age
18%
College-Educated
57%
High-School Grad
71.0 sq mi
ZIP Area
13
Density / Sq Mi
$71,009
Median Earnings
$636
Median Rent
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Operating lodging property with event, retail, and dining improvements.
Where is this hotel located?
The property is located at 411 E FRONT AVE Chester, AR.
What is the asking price?
The asking price for this property is $899,000.
What are key features of this property?
This property features: 11‑room inn with 2 luxury suites; 9,600 SF building on 0.69 acres; Integrated event venue with dining hall and staged convention space
