Mixed-Use Property with Highway
For Sale
$2,495,000
5900 Broadway, West Palm Beach, FL 33407
Existing commercial improvements support retail and professional office use, with updated regulations allowing additional residential possibilities.
Property Size4,158 SF
Lot Size0.50 Acres
Price / SF$600.05
Days on Market793
Property Features for 5900 Broadway
General Information
Standard status
Active
Size
4,158 SF
Total Parking Spaces
30
Lot size
0.50 Acres
Property subtype
Mixed Use
Site & Location
Highway Access
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$9,276
Amenities
3
Building Details
Year Built
1962
Buildings
1
Stories
1
Listing Agency:
Touchstone-Webb Realty Co.
(561) 801-0229
Listed By:
Chloe Bailey · License #B26055348
(561) 801-0229
Source:
Xome
Added: Jun 30, 2024
Changed: Aug 30
Last Checked: Aug 31 at 3:34PM
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 Touchstone-Webb Realty Co.
Investment Insights
Based on property information with market context.
This mixed-use property includes a 4,158-square-foot building constructed in 1962 on approximately half an acre. The existing commercial improvement is accompanied by 30 parking spaces and may support retail and professional office uses under recent changes to the City of West Palm Beach Land Development Regulations. Those changes also create potential for over 30 residential units, subject to applicable approvals.
The site fronts US Highway 1 for over 200 feet, providing direct exposure along a major corridor. Its location offers access to both Downtown West Palm and North Palm Beach, adding connectivity for commercial and mixed-use planning. The property presents an existing building and substantial frontage within the Broadway Corridor.
The site fronts US Highway 1 for over 200 feet, providing direct exposure along a major corridor. Its location offers access to both Downtown West Palm and North Palm Beach, adding connectivity for commercial and mixed-use planning. The property presents an existing building and substantial frontage within the Broadway Corridor.
Key Highlights
- Approximately half an acre of mixed‑use property
- 4,158‑square‑foot building constructed in 1962
- 30 on‑site parking spaces
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
$144,943
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
5.81%
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%
$2,898,860
$2.9M
Cap Rate 7%
$2,070,614
$2.1M
Cap Rate 9%
$1,610,478
$1.6M
Market Conditions
NOI Build-Up for 4,158 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
$229.5K $55.20/SF
− Vacancy
−$36.3K −$8.72/SF
EGI
$193.3K $46.48/SF
− OpEx
−$48.3K −$11.62/SF
NOI
$144.9K $34.86/SF
Area
West Palm Beach, FL
Vacancy
15.80%
Lease Rate
$55.20 /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%
$2,898,860
Cap Rate 7%
$2,070,614
Cap Rate 9%
$1,610,478
Alternative Uses
Best Use
Office B
$2.07M
$1.81M – $2.42M
NOI $144,943 @ 7.0% cap · market cap 5.81%
Second Best
Mixed Use
$901.7K
$789.0K – $1.05M
NOI $63,118 @ 7.0% cap · market cap 2.53%
Theoretical Best
Office A
$2.93M
$2.56M – $3.42M
NOI $204,981 @ 7.0% cap · market cap 8.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
655
Businesses Nearby
Explore this area
Business Placement
Demographics for 33407, FL
34,558
Population
15,147
Households
2.3
Avg Household Size
35
Median Age
26%
College-Educated
78%
High-School Grad
9.9 sq mi
ZIP Area
3,491
Density / Sq Mi
$56,606
Median Household Income
$34,886
Median Earnings
$1,551
Median Rent
$290,500
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Existing commercial improvements support retail and professional office use, with updated regulations allowing additional residential possibilities.
Where is this mixed-use property located?
The property is located at 5900 Broadway West Palm Beach, FL.
What is the asking price?
The asking price for this property is $2,495,000.
What are key features of this property?
This property features: Approximately half an acre of mixed‑use property; 4,158‑square‑foot building constructed in 1962; 30 on‑site parking spaces
