Move-In Ready Restaurant with
For Sale
$695,000
618 1st Street, Richmond, VA 23219
Renovated ground-floor restaurant with rear patio and off-street parking for a smooth owner-operator setup.
Property Size2,667 SF
Price / SF$260.59
Days on Market181
Property Features for 618 1st Street
General Information
Standard status
Active
Size
2,667 SF
Total Parking Spaces
3
Property subtype
General Commercial
Amenities
3
Building Details
Year Built
1910
Year Renovated
2016
Listing Agency:
One South Commercial LLC
(804) 266-8831
Listed By:
Ann Schweitzer
(434) 981-3146
Source:
Xome
Added: Mar 7
Changed: Sep 4
Last Checked: Sep 4 at 2:31AM
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 One South Commercial LLC
Investment Insights
Based on property information with market context.
This move-in ready ground floor restaurant features a fully renovated interior completed in 2016, along with a rear patio/courtyard that supports outdoor seating or customer spillover. The property includes three off-street parking spaces, offering convenient, dedicated access for patrons and staff.
The building is positioned for straightforward operations from street level, with restaurant use already in place. A rear outdoor area is on-site, and the property also offers potential to expand the building footprint, depending on buyer and project plans.
With its ready-to-operate condition and owner-occupant focus, this offering suits restaurateurs seeking an immediate path to opening or continuing operations. The combination of ground-floor functionality, private rear patio/courtyard space, and limited on-site parking makes it a practical fit for a small-to-mid-size restaurant concept that values an efficient layout and minimal near-term improvements.
The building is positioned for straightforward operations from street level, with restaurant use already in place. A rear outdoor area is on-site, and the property also offers potential to expand the building footprint, depending on buyer and project plans.
With its ready-to-operate condition and owner-occupant focus, this offering suits restaurateurs seeking an immediate path to opening or continuing operations. The combination of ground-floor functionality, private rear patio/courtyard space, and limited on-site parking makes it a practical fit for a small-to-mid-size restaurant concept that values an efficient layout and minimal near-term improvements.
Key Highlights
- Move‑in ready ground‑floor restaurant with rear patio/courtyard
- Fully renovated in 2016
- Includes 3 off‑street parking spaces
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
$34,600
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
4.98%
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%
$692,000
$692.0K
Cap Rate 7%
$494,286
$494.3K
Cap Rate 9%
$384,444
$384.4K
Market Conditions
NOI Build-Up for 2,667 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
$49.6K $18.60/SF
− Vacancy
−$3.5K −$1.30/SF
EGI
$46.1K $17.30/SF
− OpEx
−$11.5K −$4.32/SF
NOI
$34.6K $12.97/SF
Area
Richmond, VA
Vacancy
7.00%
Lease Rate
$18.60 /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%
$692,000
Cap Rate 7%
$494,286
Cap Rate 9%
$384,444
Alternative Uses
Best Use
Specialty Retail
$494.3K
$432.5K – $576.7K
NOI $34,600 @ 7.0% cap · market cap 4.98%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$616.2K
$539.2K – $718.9K
NOI $43,132 @ 7.0% cap · market cap 6.21%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
6,053
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 23219, VA
5,307
Population
3,488
Households
1.5
Avg Household Size
29
Median Age
62%
College-Educated
91%
High-School Grad
1.3 sq mi
ZIP Area
4,082
Density / Sq Mi
$62,533
Median Household Income
$46,509
Median Earnings
$1,439
Median Rent
$287,500
Median Home Value
Market
Vacancy Rate% for Retail in Richmond, VA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Spice of India — 106 N 7th St, Richmond, VA 23219
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Renovated ground-floor restaurant with rear patio and off-street parking for a smooth owner-operator setup.
Where is this conventional restaurant located?
The property is located at 618 1st Street Richmond, VA.
What is the asking price?
The asking price for this property is $695,000.
What are key features of this property?
This property features: Move‑in ready ground‑floor restaurant with rear patio/courtyard; Fully renovated in 2016; Includes 3 off‑street parking spaces
