Operational Motel and
For Sale
$2,295,000
876 Post Road, Wells, ME 04090
For sale on 3.4 acres along U.S. Route 1, featuring an inn, motel wing and buildings, plus cottages and on-site pool.
Property Size11,022 SF
Lot Size3.40 Acres
Price / SF$208.22
Days on Market186
Property Features for 876 Post Road
General Information
Standard status
Active
Size
11,022 SF
Lot size
3.40 Acres
Property subtype
Commercial / Mixed Use
Zoning
GB
Additional Details
Business Included
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$15,132
Amenities
outdoor pool
Heat Pump
Radiator, Hot Water, Forced Air
3
Full, Unfinished
Wood, Vinyl, Tile, Carpet
Yes
Concrete Perimeter
.00
Shingle
Wood Siding, Wood Frame
Building Details
Year Built
1880
Listing Agency:
Daigle Commercial Group, Inc.
(207) 671-7230
Listed By:
Stanley Rintz
(207) 671-7230
Source:
Compass
Added: Feb 6
Changed: Aug 8
Last Checked: Jul 23 at 1:52AM
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 Daigle Commercial Group, Inc.
Investment Insights
Based on property information with market context.
Coast Village Inn is a fully operational lodging property situated on 3.4 acres of landscaped grounds along U.S. Route 1 in Wells. The offering includes 30 keys across a main inn building, an updated motel wing with five units, and additional motel space with a separate two-story, 12-unit building behind the inn. The property also features 10 private cottages with updated amenities, and an on-site outdoor pool setting.
The main inn includes a beach-themed office area for incoming guests and offers a flexible layout for two to three long-term apartment rentals, including a spacious manager’s apartment directly off the front office. Additional staff housing quarters are included to accommodate up to eight seasonal employees.
With a large, level parcel and existing hospitality accommodations, the property supports continued daily rental operations and can support event use and potential future expansion, subject to town guidelines.
The main inn includes a beach-themed office area for incoming guests and offers a flexible layout for two to three long-term apartment rentals, including a spacious manager’s apartment directly off the front office. Additional staff housing quarters are included to accommodate up to eight seasonal employees.
With a large, level parcel and existing hospitality accommodations, the property supports continued daily rental operations and can support event use and potential future expansion, subject to town guidelines.
Key Highlights
- 3.4‑acre property on U.S. Route 1 in Wells with a long‑established daily rental operation and 30 keys
- Main inn building includes a manager’s apartment plus flexible space for two to three long‑term apartment rentals
- Staff housing quarters accommodate up to 8 seasonal employees
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
$133,504
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
5.82%
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%
$2,670,080
$2.7M
Cap Rate 7%
$1,907,200
$1.9M
Cap Rate 9%
$1,483,378
$1.5M
Market Conditions
NOI Build-Up for 11,022 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
$330.7K $30.00/SF
− Vacancy
−$49.6K −$4.50/SF
EGI
$281.1K $25.50/SF
− OpEx
−$147.6K −$13.39/SF
NOI
$133.5K $12.11/SF
Area
York County, ME
Vacancy
15.00%
Lease Rate
$30.00 /SF/Yr
Expense Ratio
52.50%
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%
$2,670,080
Cap Rate 7%
$1,907,200
Cap Rate 9%
$1,483,378
Alternative Uses
Best Use
Hotel Hospitality
$1.91M
$1.67M – $2.23M
NOI $133,504 @ 7.0% cap · market cap 5.82%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.49M
$3.06M – $4.08M
NOI $244,574 @ 7.0% cap · market cap 10.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
188
Businesses Nearby
Explore this area
Business Placement
Demographics for 04090, ME
11,314
Population
9,590
Households
1.2
Avg Household Size
53
Median Age
38%
College-Educated
92%
High-School Grad
57.7 sq mi
ZIP Area
196
Density / Sq Mi
$83,900
Median Household Income
$47,928
Median Earnings
$1,313
Median Rent
$445,800
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - For sale on 3.4 acres along U.S. Route 1, featuring an inn, motel wing and buildings, plus cottages and on-site pool.
Where is this hotel located?
The property is located at 876 Post Road Wells, ME.
What is the asking price?
The asking price for this property is $2,295,000.
What are key features of this property?
This property features: 3.4‑acre property on U.S. Route 1 in Wells with a long‑established daily rental operation and 30 keys; Main inn building includes a manager’s apartment plus flexible space for two to three long‑term apartment rentals; Staff housing quarters accommodate up to 8 seasonal employees
