Seven-Story Multifamily with
For Sale
$6,500,000
1613 Mermaid Ave, Brooklyn, NY 11224
Newly built mixed-use multifamily with on-site parking and laundry, plus a 421A tax exemption through mid-2034.
Property Size15,986 SF
Price / SF$406.61
Days on Market65
Property Features for 1613 Mermaid Ave
General Information
Standard status
Active
Size
15,986 SF
Total Parking Spaces
8
Property subtype
Commercial
Additional Details
Business Included
Yes
Multifamily Units
16
Taxes and HOA fees
Annual Taxes
$163,332
Building Details
Year Built
2020
Stories
7
Units
16
Tenancy
Multi
Listing Agency:
Compass
Listed By:
Sarah Sawyer ([email protected])
Source:
Edifyny
Added: Jun 9
Changed: Aug 8
Last Checked: Aug 11 at 8:39AM
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 Compass
Investment Insights
Based on property information with market context.
Built in 2020, this seven-story elevator multifamily property totals approximately 15,986 square feet and includes 16 residential apartments. The building also offers eight parking spaces and a laundry facility, creating day-to-day convenience for residents. The recent construction and apartment count support a turnkey operating profile for a new owner.
Located at 1613 Mermaid Avenue in Coney Island, the property is about one block to Surf Avenue and about two blocks to Nathan’s hot dogs. It sits near the Coney Island Boardwalk and beaches, with access to major transportation lines described in the offering. The asset is positioned between West 16th and West 17th Streets, with the nearby Stillwell Avenue transportation hub providing direct subway access to Manhattan, as noted in the remarks.
From an ownership perspective, the building currently benefits from a valuable 421A tax exemption, stated to be in year 8 of 15 and extending through June 30, 2034. The offering remarks also include current average rents of approximately $2,805 per apartment, along with estimated annual residential income and additional revenue from parking and laundry operations. For qualified buyers seeking a modern, income-producing multifamily asset in a waterfront Brooklyn submarket, this property presents a practical combination of in-building amenities and structured tax benefits.
Located at 1613 Mermaid Avenue in Coney Island, the property is about one block to Surf Avenue and about two blocks to Nathan’s hot dogs. It sits near the Coney Island Boardwalk and beaches, with access to major transportation lines described in the offering. The asset is positioned between West 16th and West 17th Streets, with the nearby Stillwell Avenue transportation hub providing direct subway access to Manhattan, as noted in the remarks.
From an ownership perspective, the building currently benefits from a valuable 421A tax exemption, stated to be in year 8 of 15 and extending through June 30, 2034. The offering remarks also include current average rents of approximately $2,805 per apartment, along with estimated annual residential income and additional revenue from parking and laundry operations. For qualified buyers seeking a modern, income-producing multifamily asset in a waterfront Brooklyn submarket, this property presents a practical combination of in-building amenities and structured tax benefits.
Key Highlights
- Built in 2020: seven‑story elevator building with approx. 15,986 SF
- 16 residential apartments plus 8 on‑site parking spaces and a laundry facility
- Average rents approx. $2,805 per apartment; projected annual residential income approx. $538,500 (plus parking and laundry revenue)
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
$488,036
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
7.51%
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%
$9,760,720
$9.8M
Cap Rate 7%
$6,971,943
$7.0M
Cap Rate 9%
$5,422,622
$5.4M
Market Conditions
NOI Build-Up for 15,986 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
$905.4K $56.64/SF
− Vacancy
−$18.1K −$1.13/SF
EGI
$887.3K $55.51/SF
− OpEx
−$399.3K −$24.98/SF
NOI
$488.0K $30.53/SF
Area
Brooklyn, NY
Vacancy
2.00%
Lease Rate
$56.64 /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%
$9,760,720
Cap Rate 7%
$6,971,943
Cap Rate 9%
$5,422,622
Alternative Uses
Best Use
Apartment 5plus
$6.97M
$6.10M – $8.13M
NOI $488,036 @ 7.0% cap · market cap 7.51%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$13.24M
$11.58M – $15.44M
NOI $926,549 @ 7.0% cap · market cap 14.25%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
16
Residential units
Multi-tenant
Tenancy
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
1,939
Businesses Nearby
Explore this area
Business Placement
Demographics for 11224, NY
46,019
Population
21,354
Households
2.2
Avg Household Size
46
Median Age
33%
College-Educated
82%
High-School Grad
1.6 sq mi
ZIP Area
28,762
Density / Sq Mi
$41,449
Median Household Income
$41,233
Median Earnings
$905
Median Rent
$512,900
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 - Newly built mixed-use multifamily with on-site parking and laundry, plus a 421A tax exemption through mid-2034.
Where is this apartment building located?
The property is located at 1613 Mermaid Ave Brooklyn, NY.
What is the asking price?
The asking price for this property is $6,500,000.
What are key features of this property?
This property features: Built in 2020: seven‑story elevator building with approx. 15,986 SF; 16 residential apartments plus 8 on‑site parking spaces and a laundry facility; Average rents approx. $2,805 per apartment; projected annual residential income approx. $538,500 (plus parking and laundry revenue)
