Iconic Diner and Ice Cream
For Sale
$375,000
8541 State Route 3, Henderson, NY 13650
Well-loved diner with ice cream shop addition for sale.
Property Size2,620 SF
Lot Size0.27 Acres
Price / SF$143.13
Days on Market164
Property Features for 8541 State Route 3
General Information
Standard status
Active
Size
2,620 SF
Lot size
0.27 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$7,051
Building Details
Building Size
2,620 SF
Year Built
1985
Stories
1
Units
2
Listing Agency:
Keller Williams Northern New York
(315) 778-6473
Listed By:
Noah Taylor · License #10401359495
(315) 778-6473
Source:
Elliman
Added: Mar 11
Changed: Aug 9
Last Checked: Aug 20 at 9:09AM
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 Northern New York
Investment Insights
Based on property information with market context.
Colleen's Cherry Tree Inn, a diner and ice cream shop, is available for sale. The main restaurant features an authentic diner layout with ample seating and luxury vinyl plank flooring redone in 2019. The fully equipped industrial kitchen is designed for high-volume service and includes multiple refrigerators and freezers, deep fryers, large cooktops, a walk-in freezer, ice machine, pizza oven, milkshake machines, flurry machines, and extensive prep space. Most restaurant equipment and supplies are negotiable with the sale. An ice cream shop addition, fully built from the ground up in 2019, brings the total square footage to approximately 2,620 sq. ft. This space includes two large Taylor soft-serve machines, hard-serve dipping cabinets, a Flavor Burst Astro blender system with up to 64 flavor options, milkshake and flurry machines. Mini splits heating and air conditioning were added to both spaces in 2019. The exterior features an all-stone driveway, expansive parking areas with easy turnaround, and an additional storage shed. The main restaurant will be open and operating starting mid March 2026 from Wednesday through Sunday from 6:00 AM to 1:30 PM.
Key Highlights
- Established, well‑loved diner with a strong reputation and loyal customer base.
- Fully equipped, high‑volume industrial kitchen with well‑maintained appliances.
- Newly built (2019) ice cream shop addition with modern equipment including Taylor soft‑serve machines and a Flavor Burst system.
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
$26,882
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
7.17%
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%
$537,640
$537.6K
Cap Rate 7%
$384,029
$384.0K
Cap Rate 9%
$298,689
$298.7K
Market Conditions
NOI Build-Up for 2,620 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
$37.4K $14.28/SF
− Vacancy
−$1.6K −$0.60/SF
EGI
$35.8K $13.68/SF
− OpEx
−$9.0K −$3.42/SF
NOI
$26.9K $10.26/SF
Area
Jefferson County, NY
Vacancy
4.20%
Lease Rate
$14.28 /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%
$537,640
Cap Rate 7%
$384,029
Cap Rate 9%
$298,689
Alternative Uses
Best Use
Specialty Retail
$384.0K
$336.0K – $448.0K
NOI $26,882 @ 7.0% cap · market cap 7.17%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$722.2K
$632.0K – $842.6K
NOI $50,556 @ 7.0% cap · market cap 13.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
36
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 13650, NY
1,336
Population
1,514
Households
0.9
Avg Household Size
52
Median Age
27%
College-Educated
96%
High-School Grad
41.1 sq mi
ZIP Area
33
Density / Sq Mi
$91,458
Median Household Income
$43,021
Median Earnings
$797
Median Rent
$206,700
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.
Similar Off Market Nearby
- Henderson Harbor Lodge Bed & Breakfast — 12730 Harbor Rd, Henderson, NY 13650
Frequently Asked Questions
What type of property is this?
Breakfast & diner - Well-loved diner with ice cream shop addition for sale.
Where is this breakfast & diner located?
The property is located at 8541 State Route 3 Henderson, NY.
What is the asking price?
The asking price for this property is $375,000.
What are key features of this property?
This property features: Established, well‑loved diner with a strong reputation and loyal customer base.; Fully equipped, high‑volume industrial kitchen with well‑maintained appliances.; Newly built (2019) ice cream shop addition with modern equipment including Taylor soft‑serve machines and a Flavor Burst system.
