437 William Ave 12,000 SF 100% Leased Retail Building Davis, WV 26260 $1,255,630 CAD ($104.64 CAD/SF) 6.40% Cap Rate

437 William Avenue is the kind of downtown building investors wait years for! A fully modernized, income-producing mixed-use asset wrapped in the history and character of one of Appalachia’s most dynamic mountain towns. Located on William Avenue—the primary commercial corridor in the heart of Davis, West Virginia—the early 20th-century Babcock Office & Store building now offers approximately 12,636 square feet across three fully heated levels, with an efficient blend of retail, residential, office, and flex space. Guests and tenants step out the front door into a walkable main street of restaurants, cafés, galleries, and shops, with Blackwater Falls State Park, Canaan Valley, and Dolly Sods Wilderness just minutes away, ensuring a steady stream of outdoor enthusiasts, weekenders, and year-round visitors.
The building itself has evolved from a historic company store and office hub into a thoroughly updated, versatile mixed-use property. Originally constructed during Davis’s booming timber era for the Babcock Boom and Lumber Company, it long served as a commercial anchor, later operating as a general store for roughly thirty years. Today, much of the early woodwork and staircase detail remains, but behind the historic façade you’ll find a comprehensive 2020 renovation: new plumbing, a gas furnace and ducted heating system, tankless hot water, upgraded electrical service with conduit for future expansion, and professional asbestos abatement, along with a French drain to protect the foundation. The result is a structurally sound, fully serviced building that marries early-1900s character with modern functionality and compliance.
On the main level, a highly visible street-front retail storefront—currently home to the popular Wandering Caravan—captures steady foot traffic and brand exposure along William Avenue. Behind it, additional ground-floor space offers flexible configuration for expanded retail frontage, a second storefront, creative studio, or office use. Upstairs, three well-appointed apartments provide a mix of long-term stability and short-term rental upside: one dedicated Airbnb unit (the “Gypsy Wagon”) with proven performance, one hybrid unit that can swing between STR and LTR, and one long-term residential unit. The upper floor still has room for at least two more studio apartments, allowing a future owner to scale the residential component as demand dictates. Below, a 3,000-square-foot basement gallery/flex space on a month-to-month agreement adds another durable income stream and a natural home for art, events, or storage. Altogether, the property’s rent roll includes multiple office/studio suites and the basement gallery, with all square footages measured as usable square feet and a diversified mix of lease types.
The residential program has been deliberately tuned for both stability and profitability. All three upper-level apartments originally operated as Airbnbs, but the owner has capitalized on strong tenant demand and favorable lease rates by converting the two larger units—The Drifter and Rambling Rose—to annual leases in 2024–25. That shift has reduced revenue volatility and dramatically lowered cleaning, turnover, and platform costs, while preserving the ability to revert to short-term rentals if market conditions warrant. Operational experience in Davis has shown that compact, efficient studio units are the most profitable and resilient STR configuration, turning over quickly and staying in demand even as the market grows more saturated. Based on the Gypsy Wagon’s 2024 performance—averaging roughly $1,540 per month in net STR income at about 51% occupancy—the planned addition of four similar studio units (two upstairs and two on the main level) is projected to generate approximately $55,000–$65,000 in new annual income.
Economically, 437 William Avenue already stands on solid footing and offers unusually clear paths to value creation. At the current asking price of $899,500, the property is projected to deliver 2025 NOI of roughly $57,630, implying a cap rate of about 6.41% with the main retail space still owner-occupied at a below-market rent of $1,600 per month. Adjusting that storefront to today’s achievable retail levels—approximately $4,000–$4,500 per month on this prime downtown block—raises annual NOI to around $88,830 and lifts the implied cap rate to roughly 9.9% at the same price, before any of the additional STR build-out. Operating expenses are lean for a fully heated three-story mixed-use building, running on the order of $27,000 per year for electric, gas, water, trash, internet, security, insurance, and property taxes, with all utilities active and supporting consistent year-round occupancy.
With the four planned small-format STR units completed and the retail rent brought to market, the building’s stabilized NOI is projected in the $110,000–$120,000 range. At a conservative 6.5% cap rate, that performance supports an implied value between approximately $1.7 million and $1.85 million—roughly a 90–100% increase over the current offering price. For an investor, that combination of authentic main-street character, fully modernized systems, diversified and growing income streams, and clearly documented upside in a thriving year-round recreation market makes 437 William Avenue a rare opportunity to own the flagship mixed-use asset in downtown Davis.