Restaurant and Bar
For Sale
$1,300,000
85 Macarthur Dr, New Bedford, MA 02740
Operating business, liquor license, and restaurant equipment convey with the real estate.
Property Size2,856 SF
Price / SF$455.18
Days on Market216
Property Features for 85 Macarthur Dr
General Information
Standard status
Active
Size
2,856 SF
Property subtype
Commercial
Zoning
MUB
Additional Details
Business Included
Yes
Liquor License
Yes
Taxes and HOA fees
Annual Taxes
$10,337
Building Details
Building Size
2,856 SF
Year Built
1984
Listing Agency:
Boston Hub Real Estate
(978) 578-5013
Listed By:
Chris Bernier
(978) 578-5013
Source:
Churchillprop
Added: Jan 26
Changed: Aug 29
Last Checked: Aug 29 at 1:16PM
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 Boston Hub Real Estate
Investment Insights
Based on property information with market context.
The offering combines an operating restaurant business with its underlying real estate at 85 Macarthur Dr in New Bedford. Restaurant and bar equipment are included, along with the business and liquor license, creating a consolidated operating and property acquisition.
Built in 1984, the property is zoned MUB. The restaurant has served the New Bedford community for over 20 years, and the sale includes the established business rather than the real estate alone.
Built in 1984, the property is zoned MUB. The restaurant has served the New Bedford community for over 20 years, and the sale includes the established business rather than the real estate alone.
Key Highlights
- Operating restaurant business included with the real estate
- Liquor license conveys with the sale
- Restaurant and bar equipment 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
$42,797
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
3.29%
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%
$855,940
$855.9K
Cap Rate 7%
$611,386
$611.4K
Cap Rate 9%
$475,522
$475.5K
Market Conditions
NOI Build-Up for 2,856 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
$61.7K $21.60/SF
− Vacancy
−$4.6K −$1.62/SF
EGI
$57.1K $19.98/SF
− OpEx
−$14.3K −$5.00/SF
NOI
$42.8K $14.99/SF
Area
New Bedford, MA
Vacancy
7.50%
Lease Rate
$21.60 /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%
$855,940
Cap Rate 7%
$611,386
Cap Rate 9%
$475,522
Alternative Uses
Best Use
Specialty Retail
$611.4K
$535.0K – $713.3K
NOI $42,797 @ 7.0% cap · market cap 3.29%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$842.1K
$736.9K – $982.5K
NOI $58,948 @ 7.0% cap · market cap 4.53%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
963
Businesses Nearby
32k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Groceries 54%
Dining 28%
Hotels & Casinos 16%
Shops & Services 1%
Price Rite
Groceries
17,468 visits/mo
0.0 miles
Dunkin' Donuts
Dining
6,939 visits/mo
0.2 miles
Fairfield Inn
Hotels & Casinos
5,110 visits/mo
0.5 miles
Honey Dew Donuts
Dining
2,208 visits/mo
0.1 miles
Maaco
Shops & Services
443 visits/mo
0.2 miles
Demographics for 02740, MA
45,166
Population
20,532
Households
2.2
Avg Household Size
39
Median Age
18%
College-Educated
77%
High-School Grad
5.7 sq mi
ZIP Area
7,924
Density / Sq Mi
$54,563
Median Household Income
$39,310
Median Earnings
$1,052
Median Rent
$303,400
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Operating business, liquor license, and restaurant equipment convey with the real estate.
Where is this conventional restaurant located?
The property is located at 85 Macarthur Dr New Bedford, MA.
What is the asking price?
The asking price for this property is $1,300,000.
What are key features of this property?
This property features: Operating restaurant business included with the real estate; Liquor license conveys with the sale; Restaurant and bar equipment included
