High-Ceiling Warehouse with
For Sale
Contact for pricing
106 MELROSE ST, Brooklyn, NY 11206
A large-format warehouse with soaring ceiling height and mezzanine space, well suited for hospitality, entertainment, or creative concepts.
Property Size4,375 SF
Price / SF$1,599
Days on Market69
Property Features for 106 MELROSE ST
General Information
Standard status
Active
Size
4,375 SF
Property subtype
Retail, Industrial, Hospitality
Investment Type
Owner/User
Additional Details
Clear Height
35 ft
Building Details
Year Built
2002
Year Renovated
2024
Stories
2
Listing Agency:
FIND Real Estate
Listed By:
ASSAF AMETHYS · License #10301209804
Source:
Crexi
Added: Jun 4
Changed: Aug 8
Last Checked: Aug 10 at 12:38PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of FIND Real Estate
Investment Insights
Based on property information with market context.
The property is a warehouse-style building featuring an expansive 50' x 100' footprint and soaring ceiling heights exceeding 35 feet, creating substantial vertical volume for adaptable programming. An approximately 1,000-square-foot mezzanine level adds usable secondary space, and there is also an additional third-floor area that can support flexible back-of-house, office, or private-use requirements depending on the operator’s concept.
Set in the heart of Bushwick, Brooklyn, the building is positioned for exposure to local activity and benefit from proximity to major transportation routes. The offering is presented for qualified buyers and operators seeking a distinctive structure within a neighborhood known for art, culture, dining, nightlife, and creative industries.
With its scale and architectural presence, the building is described as well suited for a private members club, destination restaurant, hospitality concept, experiential venue, event space, entertainment use, or a flagship creative headquarters. The combination of large ground-floor volume, mezzanine flexibility, and additional third-floor space supports layouts that can separate public-facing areas from VIP or administrative functions, as needed for the intended use.
Set in the heart of Bushwick, Brooklyn, the building is positioned for exposure to local activity and benefit from proximity to major transportation routes. The offering is presented for qualified buyers and operators seeking a distinctive structure within a neighborhood known for art, culture, dining, nightlife, and creative industries.
With its scale and architectural presence, the building is described as well suited for a private members club, destination restaurant, hospitality concept, experiential venue, event space, entertainment use, or a flagship creative headquarters. The combination of large ground-floor volume, mezzanine flexibility, and additional third-floor space supports layouts that can separate public-facing areas from VIP or administrative functions, as needed for the intended use.
Key Highlights
- Built in 2002 large‑format warehouse with a 50' x 100' footprint
- Ceiling heights exceed 35 feet for significant vertical volume
- Includes an approximately 1,000 SF mezzanine level
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
$253,575
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
3.62%
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%
$5,071,500
$5.1M
Cap Rate 7%
$3,622,500
$3.6M
Cap Rate 9%
$2,817,500
$2.8M
Market Conditions
NOI Build-Up for 4,375 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
$367.5K $84.00/SF
− Vacancy
−$29.4K −$6.72/SF
EGI
$338.1K $77.28/SF
− OpEx
−$84.5K −$19.32/SF
NOI
$253.6K $57.96/SF
Area
Brooklyn, NY
Vacancy
8.00%
Lease Rate
$84.00 /SF/Yr
Expense Ratio
25.00%
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%
$5,071,500
Cap Rate 7%
$3,622,500
Cap Rate 9%
$2,817,500
Alternative Uses
Best Use
Specialty Retail
$3.62M
$3.17M – $4.23M
NOI $253,575 @ 7.0% cap · market cap 3.62%
Second Best
Warehouse
$1.35M
$1.18M – $1.58M
NOI $94,510 @ 7.0% cap · market cap 1.35%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
35 ft
Clear height
Location Intelligence
Trade Area within ½ mile
6,584
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 11206, NY
91,549
Population
34,838
Households
2.6
Avg Household Size
30
Median Age
36%
College-Educated
77%
High-School Grad
1.4 sq mi
ZIP Area
65,392
Density / Sq Mi
$57,280
Median Household Income
$44,145
Median Earnings
$1,558
Median Rent
$822,100
Median Home Value
Market
Vacancy Rate% for Industrial in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - A large-format warehouse with soaring ceiling height and mezzanine space, well suited for hospitality, entertainment, or creative concepts.
Where is this warehouse located?
The property is located at 106 MELROSE ST Brooklyn, NY.
What is the asking price?
The asking price for this property is $6,995,995.
What are key features of this property?
This property features: Built in 2002 large‑format warehouse with a 50' x 100' footprint; Ceiling heights exceed 35 feet for significant vertical volume; Includes an approximately 1,000 SF mezzanine level
