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884 Broadway

Price
$1,350,000.00
Listing Tags
—
Beds
26
Size
4286 sqft
Type
Two-Family
884 Broadway

Overview

884 Broadway in South Portland, Maine is an established 26-bed men’s recovery residence offered at $1,400,000. The 3,862 sq. ft. two-family residence has been converted into a MARR-certified recovery home with 13 bedrooms and 3 bathrooms, serving the community for approximately two years. The sale includes both the real estate and the existing operating business, including established referral relationships, funding partnerships, and operating infrastructure.

Lease and Income Structure

884 Broadway, South Portland, ME 04106 is an established men’s recovery residence located in South Portland, Maine. The property is offered for sale at $1,400,000 and consists of a two-family residence converted for recovery housing use.

The building contains approximately 3,862 square feet with 13 bedrooms and 3 bathrooms. The home is configured for a 26-bed recovery housing model and is certified by MARR. The property has been serving the community for approximately two years and is presented as an existing, operational housing resource in a strong South Portland location.

The sale includes both the real estate and the operating business established at the residence. This includes the existing operational infrastructure, referral relationships, funding partnerships, and other core elements needed to support ongoing recovery housing operations. For a buyer seeking an established recovery housing asset rather than a ground-up startup, 884 Broadway offers the ability to step into an existing operation with continuity and credibility already in place.

Key property details include:

  • Address: 884 Broadway, South Portland, ME 04106
  • Asking Price: $1,400,000
  • Property Type: Two-family residence converted to recovery home
  • Certification: MARR Certified
  • Current Use: Operating men’s recovery residence
  • Building Size: 3,862 sq. ft.
  • Bedrooms: 13
  • Bathrooms: 3
  • Total Beds: 26
  • Room Mix: 6 private beds and 20 shared beds
  • Projected Stabilized Recovery Housing Value: Approximately $1,800,000
  • Residential Fallback Value: Approximately $1,300,000
  • Projected Monthly Net Income: $7,144
  • Projected Monthly Revenue: $17,603

The offering may be appropriate for a recovery housing operator, mission-driven investor, or buyer seeking an existing income-producing recovery residence in a desirable Maine market. The memorandum presents the property primarily as a vertically integrated opportunity in which the buyer may own and operate the home, while also noting that the property could potentially support a triple-net lease structure with a qualified third-party operator.

Property Financials
Bed Data
Private Beds 6
Shared Beds 20
Total Beds 26
Vacancy Rate (estimated) 20%
House Mentors 1
Revenue-Producing Beds 19.80
Weekly Rent $200.00
Intake Fee $200.00
Revenue (Annual)
Total Potential Rent Income $270,400.00
Less: Vacancy & Loss $54,080.00
Less: Mentor Rent Credit $10,400.00
Plus: Intake Fee Revenue $8,320.00
Plus: Laundry Service Revenue $4,326.00
Total Revenue $218,566.00
Expenses (Annual)
Operating Expenses $27,278.00
Property Taxes $6,728.00
Property Insurance $3,200.00
Operator Compensation $24,000.00
Total Expenses $61,206.00
Net Income
Net Operating Income $157,360.00
Valuation
Capitalization Rate 10%
Value on Cap Rate $1,573,600.00

Work Needed

The property is generally suitable for its current use as a recovery residence and does not require substantial redevelopment to continue operating. The primary remaining improvement is the addition of a full bathroom on the second floor to improve functionality and better support residential occupancy. Grant funding for this improvement has been offered in the amount of $60,000, which is expected to cover the planned work and reduce the additional capital required from a buyer.