Yum Yum Shop in Wolfeboro for sale

[Acrossamerica]

Originally Posted by secondcurve

I wonder what the real estate is worth on a standalone basis?

The list price of 1.2 mil does not include the business nor any equipment. Now to an actual value, we have 24 feet of lake frontage at $5,000 a foot for raw land. That work out to $120,000. However one would need more waivers than found at a fourth of July parade. There is a cabin directly behind the main part of the building and that has the bulk of the footage on the lake and that is not part of the deal for the 1.2 mil. Further the right of way for the access to that cabin and for the big Victorian next door runs directly down the center of the parking lot. And who knows if the former gas station was ever checked out for possible environmental issues. A new buyer would have to have this checked before any bank would agree to a mortgage.
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So the lake access and frontage for which the real estate agent has convinced the seller the property is worth is really not a factor in its economic value. No docks, patios etc. could be built without agreement from the abutter and lots of variances.

So we have only the possible rent from the building to provide an economic base. Remember 90% of all retail in downtown Wolfeboro is not profitable for better than six months of the year and close to 30% of all the restaurants including the Yum Yum shop close every winter due to a lack of business. so rents higher than $1,000 - $1,500 a month are not workable unless one has a trust fund or a significant other that will allow you to run a hobby business. Then value has nothing to do with the situation.

True value for that building is around $500,000-$600,000.

[secondcurve]

Originally Posted by Acrossamerica

The list price of 1.2 mil does not include the business nor any equipment. Now to an actual value, we have 24 feet of lake frontage at $5,000 a foot for raw land. That work out to $120,000. However one would need more waivers than found at a fourth of July parade. There is a cabin directly behind the main part of the building and that has the bulk of the footage on the lake and that is not part of the deal for the 1.2 mil. Further the right of way for the access to that cabin and for the big Victorian next door runs directly down the center of the parking lot. And who knows if the former gas station was ever checked out for possible environmental issues. A new buyer would have to have this checked before any bank would agree to a mortgage.
\
So the lake access and frontage for which the real estate agent has convinced the seller the property is worth is really not a factor in its economic value. No docks, patios etc. could be built without agreement from the abutter and lots of variances.

So we have only the possible rent from the building to provide an economic base. Remember 90% of all retail in downtown Wolfeboro is not profitable for better than six months of the year and close to 30% of all the restaurants including the Yum Yum shop close every winter due to a lack of business. so rents higher than $1,000 - $1,500 a month are not workable unless one has a trust fund or a significant other that will allow you to run a hobby business. Then value has nothing to do with the situation.

True value for that building is around $500,000-$600,000.

I wonder why the business and equipment are not part of the sale. The implication to me is the owners want to sell the real estate and open the business at a different, likely less expensive, location. Any thoughts?

[Rusty]

Originally Posted by secondcurve

I wonder why the business and equipment are not part of the sale. The implication to me is the owners want to sell the real estate and open the business at a different, likely less expensive, location. Any thoughts?

I think the equipment goes with the sale.

This is what it says:

For sale, Building, land and equipment. (Subject to approved equipment list) Includes private 24' frontage on Lake Winnipesaukee with spectacular views of the lake. Located in busy shopping district in the heart of Wolfeboro adjacent to town parking and public boat docking a short walk from site.

http://www.wolfeboro.co/real-estate/...73945/29762182

[secondcurve]

Originally Posted by Rusty

I think the equipment goes with the sale.

This is what it says:


http://www.wolfeboro.co/real-estate/...73945/29762182

Thanks Rusty. You are correct. That being said, the ad reads like the business is being piecemealed as opposed to sold as an ongoing operation. Maybe it us just a poorly written ad. I hope someone buys the place and keeps it going as a bakery.

[BrownstoneNorth]

Originally Posted by secondcurve

Thanks Rusty. You are correct. That being said, the ad reads like the business is being piecemealed as opposed to sold as an ongoing operation. Maybe it us just a poorly written ad. I hope someone buys the place and keeps it going as a bakery.

It is being sold because the owner of the family business died last year. They explain on their Facebook page:


https://www.facebook.com/Yum-Yum-Shop-191208414596/

Yum Yum Shop
May 23 at 5:58am ·
"Many of you may know that last year long time owner Lou Kelly passed away after a long illness. As a family we struggled to make a decision to reopen or not. You will be happy to know that we will be open the second week of June for one last summer. Thank you for your many years of support! We look forward to seeing you all soon!"




I have no idea what the property is worth, but it's a prime location for something like the former "The Restaurant," which was packed in season and did well enough to break even in the off-season, despite being on the wrong side of the street. One of the things that struck us when we first came to Wolfeboro years ago was that the business locations were exactly backwards -- shops instead of restaurants lakeside, what a waste. We miss Hall's Pharmacy but were delighted that the Downtown Market Grille had the sense to turn it into a lakeview restaurant.

In reply to the poster who downgraded Yum Yum's property for lacking lake "access" -- diners don't need to jump into the lake, just to look at it. Yum Yum was first and foremost a bakery; the owners never exploited their little lakeview restaurant add-on, but someone else might make something of it. I hope the Kelly family finds a worthy, creative entrepreneur for their landmark property.