Turn-Key Lounge and
For Sale
$1,500,000
428 Central Avenue, East Orange, NJ 07018
East Orange lounge and bar with plenary retail consumption license.
Property Size7,500 SF
Price / SF$200
Days on Market478
Property Features for 428 Central Avenue
General Information
Standard status
Active
Size
7,500 SF
Property subtype
Commercial
Building Details
Year Built
1930
Listing Agency:
CB/Schiavone & Associates
Listed By:
David Schiavone · License #1430754
(833) 740-1234
Source:
Actionplusrealty
Added: May 7, 2025
Changed: Aug 25
Last Checked: Aug 26 at 9:31AM
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 CB/Schiavone & Associates
Investment Insights
Based on property information with market context.
This turn-key lounge and bar is located in the heart of East Orange. The highly visible commercial property offers approximately 7500 square feet and can comfortably seat 100 patrons. The interior of the building was completely remodeled in 2015, providing a modern and inviting atmosphere. The sale includes a Plenary Retail Consumption (C) liquor license. The first floor features a remodeled bar with ample seating, surrounded by multiple TVs. A commercial kitchen is equipped with the necessary equipment for food service operations. The second level offers tables and chairs set up for dining, while the rear bar area has been fully remodeled and includes DJ speakers above the bar and a dedicated loft-style DJ booth, along with additional seating. The property also includes two residential apartments: one four-bedroom, one-bath unit and one two-bedroom, one-bath unit. A full basement offers abundant storage space. This is a versatile property with endless possibilities. It is within walking distance to the East Orange Train Station with an approximate 25-minute commute to New York City, making this an ideal location for both business and residential use.
Key Highlights
- Includes a Plenary Retail Consumption (C) liquor license.
- Turn‑key lounge and bar in a highly visible location.
- Approximately 7500 sq ft with seating for 100 patrons.
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
$115,335
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
7.69%
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%
$2,306,700
$2.3M
Cap Rate 7%
$1,647,643
$1.6M
Cap Rate 9%
$1,281,500
$1.3M
Market Conditions
NOI Build-Up for 7,500 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
$225.0K $30.00/SF
− Vacancy
−$15.3K −$2.04/SF
EGI
$209.7K $27.96/SF
− OpEx
−$94.4K −$12.58/SF
NOI
$115.3K $15.38/SF
Area
Essex County, NJ
Vacancy
6.80%
Lease Rate
$30.00 /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%
$2,306,700
Cap Rate 7%
$1,647,643
Cap Rate 9%
$1,281,500
Alternative Uses
Best Use
Apartment 5plus
$1.65M
$1.44M – $1.92M
NOI $115,335 @ 7.0% cap · market cap 7.69%
Second Best
Specialty Retail
$1.64M
$1.43M – $1.91M
NOI $114,696 @ 7.0% cap · market cap 7.65%
Theoretical Best
Office A
$1.96M
$1.71M – $2.28M
NOI $137,088 @ 7.0% cap · market cap 9.14%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,340
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 07018, NJ
30,429
Population
13,107
Households
2.3
Avg Household Size
36
Median Age
25%
College-Educated
86%
High-School Grad
1.7 sq mi
ZIP Area
17,899
Density / Sq Mi
$59,039
Median Household Income
$39,630
Median Earnings
$1,410
Median Rent
$314,100
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?
Bar & Pub - East Orange lounge and bar with plenary retail consumption license.
Where is this bar & pub located?
The property is located at 428 Central Avenue East Orange, NJ.
What is the asking price?
The asking price for this property is $1,500,000.
What are key features of this property?
This property features: Includes a Plenary Retail Consumption (C) liquor license.; Turn‑key lounge and bar in a highly visible location.; Approximately 7500 sq ft with seating for 100 patrons.
