25-Unit Motel with Storage
For Sale
$2,000,000
4253 Hwy 101 N, Gearhart, OR 97138
CommercialSale, Gearhart, OR
Property Size15,939 SF
Lot Size5.49 Acres
Price / SF$125.48
Days on Market624
Property Features for 4253 Hwy 101 N
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C2
Directions
HWY 101 N TO GEARHART TO PROPERTY
Subdivision
_183
Standard status
Active
APN
Not Found
Size
15,939 SF
Lot size
5.49 Acres
Taxes and HOA fees
Tax Description
Parcel 1 of PARTITION PLAT NO. 1995-022; TRACT A, COTTONWOOD PARK
Tax Annual Amount
16310
Legal Description
Parcel 1 of PARTITION PLAT NO. 1995-022; TRACT A, COTTONWOOD PARK
Building Details
Year built
1985
Floors in Building
2
Building materials
CrawlSpace, ShakeSiding, WoodFrame
Roof type
Membrane, Flat
Listing Agency:
RE/MAX Equity Group · RE/MAX International
(503) 626-4600
Listed By:
Mona Kelly · License #200108115
(503) 970-1563
Added: Dec 10, 2024
Changed: Aug 25
Last Checked: Aug 26 at 3:06AM
MLS# 24430835
Copyright © 2026 Regional Multiple Listing Services. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 25-unit motel property includes five two-bedroom units and 20 one-bedroom units, each equipped with a kitchenette. Guests have access to an on-site coin-operated laundry, while the property also includes a 3,623-square-foot storage building. The improvements were constructed in 1985 and feature wood-frame construction, shake siding, crawl-space foundations, and flat membrane roofing.
The property encompasses 5.49 acres across two tax lots and provides 77 parking spaces. It has 217sf of frontage on Hwy 101 and is approximately 1/2 mile from the beach. C2 zoning permits Commercial / Residential use. Unit rentals are offered on nightly, weekly, bi-weekly, or monthly terms.
The property encompasses 5.49 acres across two tax lots and provides 77 parking spaces. It has 217sf of frontage on Hwy 101 and is approximately 1/2 mile from the beach. C2 zoning permits Commercial / Residential use. Unit rentals are offered on nightly, weekly, bi-weekly, or monthly terms.
Key Highlights
- 25 motel units: five 2‑bedroom units and 20 1‑bedroom units
- 5.49 acres across 2 tax lots
- 3,623sf storage building included
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
$109,740
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
5.49%
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%
$2,194,800
$2.2M
Cap Rate 7%
$1,567,714
$1.6M
Cap Rate 9%
$1,219,333
$1.2M
Market Conditions
NOI Build-Up for 15,939 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
$143.5K $9.00/SF
− Vacancy
−$14.3K −$0.90/SF
EGI
$129.1K $8.10/SF
− OpEx
−$19.4K −$1.21/SF
NOI
$109.7K $6.89/SF
Area
Clatsop County, OR
Vacancy
10.00%
Lease Rate
$9.00 /SF/Yr
Expense Ratio
15.00%
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%
$2,194,800
Cap Rate 7%
$1,567,714
Cap Rate 9%
$1,219,333
Alternative Uses
Best Use
Warehouse
$1.57M
$1.37M – $1.83M
NOI $109,740 @ 7.0% cap · market cap 5.49%
Second Best
Hotel Hospitality
$1.38M
$1.21M – $1.61M
NOI $96,531 @ 7.0% cap · market cap 4.83%
Theoretical Best
Office A
$4.63M
$4.05M – $5.41M
NOI $324,391 @ 7.0% cap · market cap 16.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
59
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 97138, OR
11,248
Population
7,785
Households
1.4
Avg Household Size
48
Median Age
28%
College-Educated
92%
High-School Grad
146.0 sq mi
ZIP Area
77
Density / Sq Mi
$51,993
Median Household Income
$39,285
Median Earnings
$1,004
Median Rent
$433,200
Median Home Value
Market
Vacancy Rate% for Industrial in West 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?
Motel - C2-zoned motel offering kitchenette-equipped units, on-site laundry, parking, and an additional storage building.
Where is this motel located?
The property is located at 4253 Hwy 101 N Gearhart, OR.
What is the asking price?
The asking price for this property is $2,000,000.
What are key features of this property?
This property features: 25 motel units: five 2‑bedroom units and 20 1‑bedroom units; 5.49 acres across 2 tax lots; 3,623sf storage building included
