Six-Unit Apartment
For Sale
$1,650,000
448 40th St., Brooklyn, NY 11220
COMMERCIAL - Brooklyn, NY
Property Size5,610 SF
Price / SF$294.12
Days on Market129
Property Features for 448 40th St.
General Information
Property type
Commercial Sale
Property subtype
Other
Bathrooms
7
Full bathrooms
7
Rooms
Bathroom 1, Bathroom 6, Bathroom 2, Bathroom 7, Bathroom 5, Bathroom 4, Bathroom 3
Subdivision
Sunset Park
Standard status
Active
Size
5,610 SF
Taxes and HOA fees
Tax Annual Amount
17749
HOA Fee
$17 Monthly
Utilities
Heating system
Natural Gas, Steam
Building Details
Year built
1914
Floors in Building
3
Flooring type
Tile, Hardwood
Building materials
Brick
Roof type
Flat, Tar/Gravel, Asphalt
Listing Agency:
ILITE REALTY INC
(718) 986-4470
Listed By:
Igor Libo
Added: Apr 22
Changed: Aug 4
Last Checked: Aug 28 at 11:06PM
MLS# 11691650
Copyright © 2026 My State MLS. 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 six-family brick apartment building is approximately 5,610 square feet and was built in 1914. The building provides six units, each configured as 3-bed/1-bath homes, with hardwood and tile flooring. Heating is served by steam and natural gas systems. The roof is described as asphalt flat tar/gravel, and the roof is approximately 7–8 years old. In addition, brand-new 3rd floor windows have been installed.
Zoned R6B, the property is located in Sunset Park and convenient to N/D/R train access, nearby shopping, Sunset Park, and the waterfront at Industry City.
From an underwriting perspective, the remarks cite a 5.1% cap rate and highlight ongoing operating expenses that include taxes, insurance, gas, water, and common electric. The current configuration and recent exterior updates are intended to support a stable initial operating profile.
Zoned R6B, the property is located in Sunset Park and convenient to N/D/R train access, nearby shopping, Sunset Park, and the waterfront at Industry City.
From an underwriting perspective, the remarks cite a 5.1% cap rate and highlight ongoing operating expenses that include taxes, insurance, gas, water, and common electric. The current configuration and recent exterior updates are intended to support a stable initial operating profile.
Key Highlights
- Approximately 5,610 SF six‑family brick building built in 1914
- Zoned R6B and configured with six 3‑bed/1‑bath units
- Brand‑new 3rd floor windows
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
$149,600
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
9.07%
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%
$2,992,000
$3.0M
Cap Rate 7%
$2,137,143
$2.1M
Cap Rate 9%
$1,662,222
$1.7M
Market Conditions
NOI Build-Up for 5,610 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
$282.7K $50.40/SF
− Vacancy
−$10.7K −$1.92/SF
EGI
$272.0K $48.48/SF
− OpEx
−$122.4K −$21.82/SF
NOI
$149.6K $26.67/SF
Area
ZIP 11220
Vacancy
3.80%
Lease Rate
$50.40 /SF/Yr
Expense Ratio
45.00%
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%
$2,992,000
Cap Rate 7%
$2,137,143
Cap Rate 9%
$1,662,222
Alternative Uses
Best Use
Apartment 5plus
$2.14M
$1.87M – $2.49M
NOI $149,600 @ 7.0% cap · market cap 9.07%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.64M
$3.18M – $4.24M
NOI $254,577 @ 7.0% cap · market cap 15.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Residential units
Location Intelligence
Trade Area within ½ mile
4,589
Businesses Nearby
Explore this area
Business Placement
Demographics for 11220, NY
105,797
Population
30,897
Households
3.4
Avg Household Size
35
Median Age
25%
College-Educated
62%
High-School Grad
1.7 sq mi
ZIP Area
62,234
Density / Sq Mi
$64,201
Median Household Income
$31,489
Median Earnings
$1,688
Median Rent
$1,021,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Six-family brick building zoned R6B with steam and natural gas heating, plus roof age about 7–8 years old.
Where is this apartment building located?
The property is located at 448 40th St. Brooklyn, NY.
What is the asking price?
The asking price for this property is $1,650,000.
What are key features of this property?
This property features: Approximately 5,610 SF six‑family brick building built in 1914; Zoned R6B and configured with six 3‑bed/1‑bath units; Brand‑new 3rd floor windows
