Updated Storefront
For Sale
$274,000
901 Spring Street, Hot Springs, AR 71901
Commercial / Industrial, Hot Springs, AR
Property Size1,219 SF
Lot Size0.38 Acres
Price / SF$224.77
Days on Market270
Property Features for 901 Spring Street
General Information
Property type
Commercial Sale
Property subtype
Other
Parking
10
Directions
From HSBOR turn right on Orange St to left on Central Ave to right on Spring St. Destination on left
Subdivision
HOT SPRINGS SCHOOL DISTRICT
Standard status
Active
Size
1,219 SF
Lot size
0.38 Acres
Taxes and HOA fees
Tax Description
Jodds Subdivision; BLK 1 LOTS
Tax Annual Amount
1135
Legal Description
Jodds Subdivision; BLK 1 LOTS
Amenities
fully fenced
Building Details
Year built
1945
Floors in Building
1
Listing Agency:
Southern Homes Realty - Hot Springs
(501) 760-0015
Listed By:
Kristi Williams
(501) 520-1006
Added: Jan 8
Changed: Oct 5
Last Checked: Oct 5 at 10:06AM
MLS# 26001312
Copyright © 2026 Cooperative Arkansas Realtors Multiple Listing Service. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 1,219-square-foot storefront sits on 0.38 acres across three city lots. Interior and exterior updates have been completed, and the property is fully fenced. Parking is available within the fence, with additional parking across the street.
At 901 Spring Street in Hot Springs, the property is near downtown. The building was constructed in 1945.
At 901 Spring Street in Hot Springs, the property is near downtown. The building was constructed in 1945.
Key Highlights
- 1,219 square feet of commercial space
- 0.38‑acre property spanning three city lots
- Interior and exterior updates completed
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
$9,625
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
3.51%
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%
$192,500
$192.5K
Cap Rate 7%
$137,500
$137.5K
Cap Rate 9%
$106,944
$106.9K
Market Conditions
NOI Build-Up for 1,219 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
$14.6K $12.00/SF
− Vacancy
−$878 −$0.72/SF
EGI
$13.8K $11.28/SF
− OpEx
−$4.1K −$3.38/SF
NOI
$9.6K $7.90/SF
Area
Garland County, AR
Vacancy
6.00%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
30.00%
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%
$192,500
Cap Rate 7%
$137,500
Cap Rate 9%
$106,944
Alternative Uses
Best Use
Retail
$137.5K
$120.3K – $160.4K
NOI $9,625 @ 7.0% cap · market cap 3.51%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$222.9K
$195.1K – $260.1K
NOI $15,605 @ 7.0% cap · market cap 5.70%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
290
Businesses Nearby
41k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 59%
Hotels & Casinos 25%
Apparel 12%
Groceries 4%
Dodge's Southern Style
Shops & Services
20,088 visits/mo
0.3 miles
Embassy Suites By Hilton Hot Springs Hotel & Spa
Hotels & Casinos
7,888 visits/mo
0.5 miles
Goodwill
Apparel
4,781 visits/mo
0.4 miles
Citgo
Shops & Services
3,932 visits/mo
0.1 miles
Liquor Mart
Groceries
1,806 visits/mo
0.2 miles
Demographics for 71901, AR
29,363
Population
14,952
Households
2
Avg Household Size
43
Median Age
26%
College-Educated
88%
High-School Grad
101.9 sq mi
ZIP Area
288
Density / Sq Mi
$52,410
Median Household Income
$35,604
Median Earnings
$797
Median Rent
$173,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in South region
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Frequently Asked Questions
What type of property is this?
Storefront property - The building spans three city lots near downtown Hot Springs, with fenced on-site parking and additional parking across the street.
Where is this storefront property located?
The property is located at 901 Spring Street Hot Springs, AR.
What is the asking price?
The asking price for this property is $274,000.
What are key features of this property?
This property features: 1,219 square feet of commercial space; 0.38‑acre property spanning three city lots; Interior and exterior updates completed
