Medical Office Building with
For Sale
$925,000
438 Gonic Rd, Rochester, NH 03839
Lighted intersection visibility and existing veterinary/medical fit-up make this property suitable for healthcare or redevelopment.
Property Size2,264 SF
Lot Size1.58 Acres
Price / SF$408.57
Days on Market97
Property Features for 438 Gonic Rd
General Information
Standard status
Active
Size
2,264 SF
Lot size
1.58 Acres
Property subtype
Office - General Office
Zoning
Highway Commercial District
Site & Location
Highway Access
Yes
Road Access
Yes
Utilities to Site
Yes
Building Details
Building Size
2,264 SF
Year Built
1970
Listing Agency:
Colliers
Listed By:
Andrew Ward · License #067085
Source:
Commercialcafe
Added: Jun 1
Changed: Sep 4
Last Checked: Sep 5 at 4:30AM
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 Colliers
Investment Insights
Based on property information with market context.
This highly visible medical/office building offers approximately 2,264± SF of space on 1.58± acres. The property is currently fit-up as a veterinary clinic with two waiting areas, lab/tech space, exam rooms, a surgery room, radiology area, office/library, and two restrooms. The existing layout supports a healthcare services user that needs a mix of patient and support spaces.
The building is situated at a lighted intersection with excellent frontage and curb cuts on Route 125/Gonic Road and Rochester Neck Road. The site benefits from straightforward access to the Lakes Region, White Mountains, and the Seacoast. Municipal water and sewer are available along Rochester Neck Road, and municipal water is also available on the west side of Gonic Road.
In addition to its current healthcare use, the property is described as prime for redevelopment. The Highway Commercial District supports retail, quick-service restaurant, car wash, and light industrial uses, which may appeal to buyers evaluating alternative commercial redevelopment options at a high-visibility location with established curb-cut access.
The building is situated at a lighted intersection with excellent frontage and curb cuts on Route 125/Gonic Road and Rochester Neck Road. The site benefits from straightforward access to the Lakes Region, White Mountains, and the Seacoast. Municipal water and sewer are available along Rochester Neck Road, and municipal water is also available on the west side of Gonic Road.
In addition to its current healthcare use, the property is described as prime for redevelopment. The Highway Commercial District supports retail, quick-service restaurant, car wash, and light industrial uses, which may appeal to buyers evaluating alternative commercial redevelopment options at a high-visibility location with established curb-cut access.
Key Highlights
- 2,264± SF medical/office building built in 1970 on 1.58± acres at a lighted intersection
- Excellent frontage with curb cuts on Route 125/Gonic Road and Rochester Neck Road
- Currently fit‑up as a veterinary clinic: 2 waiting areas, lab/tech space, exam rooms, surgery room, radiology, office/library
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
$30,915
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
3.34%
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%
$618,300
$618.3K
Cap Rate 7%
$441,643
$441.6K
Cap Rate 9%
$343,500
$343.5K
Market Conditions
NOI Build-Up for 2,264 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
$47.5K $21.00/SF
− Vacancy
−$6.3K −$2.79/SF
EGI
$41.2K $18.21/SF
− OpEx
−$10.3K −$4.55/SF
NOI
$30.9K $13.66/SF
Area
Strafford County, NH
Vacancy
13.30%
Lease Rate
$21.00 /SF/Yr
Expense Ratio
25.00%
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%
$618,300
Cap Rate 7%
$441,643
Cap Rate 9%
$343,500
Alternative Uses
Best Use
Office B
$441.6K
$386.4K – $515.3K
NOI $30,915 @ 7.0% cap · market cap 3.34%
Second Best
Healthcare Medical
$437.7K
$383.0K – $510.6K
NOI $30,637 @ 7.0% cap · market cap 3.31%
Theoretical Best
Office A
$605.7K
$530.0K – $706.6K
NOI $42,398 @ 7.0% cap · market cap 4.58%
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
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
66
Businesses Nearby
Explore this area
Business Placement
Demographics for 03839, NH
4,058
Population
1,729
Households
2.3
Avg Household Size
40
Median Age
31%
College-Educated
92%
High-School Grad
7.9 sq mi
ZIP Area
514
Density / Sq Mi
$86,932
Median Household Income
$56,060
Median Earnings
$1,361
Median Rent
$299,800
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Medical center - Lighted intersection visibility and existing veterinary/medical fit-up make this property suitable for healthcare or redevelopment.
Where is this medical center located?
The property is located at 438 Gonic Rd Rochester, NH.
What is the asking price?
The asking price for this property is $925,000.
What are key features of this property?
This property features: 2,264± SF medical/office building built in 1970 on 1.58± acres at a lighted intersection; Excellent frontage with curb cuts on Route 125/Gonic Road and Rochester Neck Road; Currently fit‑up as a veterinary clinic: 2 waiting areas, lab/tech space, exam rooms, surgery room, radiology, office/library
