Mixed-Use Property with Retail and
For Sale
$1,550,000
511 Bay Avenue, Point Pleasant Beach, NJ 08742
COMMERCIAL - Point Pleasant Beach, NJ
Property Size7,956 SF
Lot Size0.12 Acres
Price / SF$194.82
Days on Market151
Property Features for 511 Bay Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Parking features
On Street
Basement
Crawl Space
Directions
Arnold to Bay park on street or lot behind building accessible via Arnold Ave or next to the beanery
Subdivision
Pt Pleasant Bch
Standard status
Active
APN
26-00091-01-00025-02
Size
7,956 SF
Lot size
0.12 Acres
Utilities
Sewer type
Public Sewer
Heating system
Baseboard, Forced Air
Water source
Public
Building Details
Floors in Building
2
Listing Agency:
Keller Williams Realty Spring Lake
(848) 220-7120
Listed By:
Diane Glander
(848) 220-7120
Added: Mar 13
Changed: Aug 4
Last Checked: Aug 10 at 1:06AM
MLS# 22606580
Copyright © 2026 More 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.
Mixed-use property in Point Pleasant Beach featuring two retail storefronts and two residential apartments. The building is fully occupied by long-term, stable tenants with an exceptional occupancy history. Tenants are currently month-to-month and seeking long-term lease renewals, supporting potential lease stabilization. Heating is provided via baseboard and forced air, with residential units using tenant-paid electric heat and the commercial units using tenant-paid gas heat.
The property includes 0.12 acres and approximately 7,956 square feet, with public water and public sewer services and on-street parking. One retail space is described as fully renovated, while the second retail unit is in solid condition with improvement upside.
A second-floor area of approximately 1,000 square feet is currently used as tenant storage at no cost, with potential future expansion or conversion subject to approvals. Residential units are described as functional and well-maintained with early-2000s finishes, supported by ongoing tenant presence and retention.
The property includes 0.12 acres and approximately 7,956 square feet, with public water and public sewer services and on-street parking. One retail space is described as fully renovated, while the second retail unit is in solid condition with improvement upside.
A second-floor area of approximately 1,000 square feet is currently used as tenant storage at no cost, with potential future expansion or conversion subject to approvals. Residential units are described as functional and well-maintained with early-2000s finishes, supported by ongoing tenant presence and retention.
Key Highlights
- Two retail storefronts plus two residential apartments, fully occupied by long‑term tenants
- Tenants are month‑to‑month while seeking long‑term lease renewals
- 0.12‑acre site with approx. 7,956 SF and public water and public sewer
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
$133,153
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
8.59%
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%
$2,663,060
$2.7M
Cap Rate 7%
$1,902,186
$1.9M
Cap Rate 9%
$1,479,478
$1.5M
Market Conditions
NOI Build-Up for 7,956 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
$203.4K $25.56/SF
− Vacancy
−$13.1K −$1.65/SF
EGI
$190.2K $23.91/SF
− OpEx
−$57.1K −$7.17/SF
NOI
$133.2K $16.74/SF
Area
Ocean County, NJ
Vacancy
6.46%
Lease Rate
$25.56 /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%
$2,663,060
Cap Rate 7%
$1,902,186
Cap Rate 9%
$1,479,478
Alternative Uses
Best Use
Multifamily LT 5
$1.90M
$1.66M – $2.22M
NOI $133,153 @ 7.0% cap · market cap 8.59%
Second Best
Apartment 5plus
$1.75M
$1.53M – $2.04M
NOI $122,347 @ 7.0% cap · market cap 7.89%
Theoretical Best
Office A
$2.08M
$1.82M – $2.42M
NOI $145,423 @ 7.0% cap · market cap 9.38%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,050
Businesses Nearby
Explore this area
Business Placement
Demographics for 08742, NJ
25,056
Population
12,604
Households
2
Avg Household Size
46
Median Age
52%
College-Educated
95%
High-School Grad
5.6 sq mi
ZIP Area
4,474
Density / Sq Mi
$111,983
Median Household Income
$57,547
Median Earnings
$1,879
Median Rent
$576,300
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?
Mixed-use property - Point Pleasant Beach mixed-use building with two retail storefronts and two residential apartments, fully occupied by long-term tenants.
Where is this mixed-use property located?
The property is located at 511 Bay Avenue Point Pleasant Beach, NJ.
What is the asking price?
The asking price for this property is $1,550,000.
What are key features of this property?
This property features: Two retail storefronts plus two residential apartments, fully occupied by long‑term tenants; Tenants are month‑to‑month while seeking long‑term lease renewals; 0.12‑acre site with approx. 7,956 SF and public water and public sewer
