Neighborhood Retail Center with 5
For Sale
$750,000
1620 Avenue E, West Palm Beach, FL 33404
Neighborhood retail center with five approximately 860 SF units on a 0.31-acre parcel, offering 80% occupancy.
Property Size4,146 SF
Lot Size0.31 Acres
Price / SF$180.90
Days on Market61
Property Features for 1620 Avenue E
General Information
Standard status
Active
Size
4,146 SF
Lot size
0.31 Acres
Property subtype
Retail
Zoning
DG
Occupancy
80%
Building Details
Year Built
1966
Tenancy
Multi
Listing Agency:
Keller Williams Realty/P B
(862) 324-3094
Listed By:
Thomas Sinner · License #SL3568640
(862) 324-3094
Source:
Lehmannflorida
Added: Jun 24
Changed: Aug 23
Last Checked: Jul 23 at 9:34AM
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 Keller Williams Realty/P B
Investment Insights
Based on property information with market context.
This neighborhood retail center totals 4,146 SF and is configured with five approximately 860 SF storefront units. Current occupancy is 80%, with four established tenants and one vacant unit. Tenant leases are structured on a modified gross basis, including 5% annual rent increases, plus provisions for reimbursement of utilities and operating expense increases.
The property recently received exterior improvements, including a fresh building repaint and newly re-striped parking. It sits on a 0.31-acre parcel and is identified with DG zoning. The center is positioned for convenient access to major thoroughfares, with surrounding residential neighborhoods and ongoing redevelopment activity in Riviera Beach.
From an operational standpoint, the mix supports in-place cash flow through existing long-term leases, while the remaining vacancy presents a straightforward path to improve occupancy.
The property recently received exterior improvements, including a fresh building repaint and newly re-striped parking. It sits on a 0.31-acre parcel and is identified with DG zoning. The center is positioned for convenient access to major thoroughfares, with surrounding residential neighborhoods and ongoing redevelopment activity in Riviera Beach.
From an operational standpoint, the mix supports in-place cash flow through existing long-term leases, while the remaining vacancy presents a straightforward path to improve occupancy.
Key Highlights
- Neighborhood retail center built in 1966 with 5 approximately 860 SF units totaling 4,146 SF
- Located on a 0.31‑acre parcel with DG zoning
- Currently 80% occupied: four established tenants plus one vacant unit for potential lease‑up upside
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
$58,613
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
7.82%
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%
$1,172,260
$1.2M
Cap Rate 7%
$837,329
$837.3K
Cap Rate 9%
$651,256
$651.3K
Market Conditions
NOI Build-Up for 4,146 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
$89.6K $21.60/SF
− Vacancy
−$5.8K −$1.40/SF
EGI
$83.7K $20.20/SF
− OpEx
−$25.1K −$6.06/SF
NOI
$58.6K $14.14/SF
Area
West Palm Beach, FL
Vacancy
6.50%
Lease Rate
$21.60 /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%
$1,172,260
Cap Rate 7%
$837,329
Cap Rate 9%
$651,256
Alternative Uses
Best Use
Retail
$837.3K
$732.7K – $976.9K
NOI $58,613 @ 7.0% cap · market cap 7.82%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.92M
$2.55M – $3.41M
NOI $204,389 @ 7.0% cap · market cap 27.25%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
80%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
967
Businesses Nearby
9k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Mobil
Shops & Services
4,061 visits/mo
0.3 miles
AutoZone
Shops & Services
2,747 visits/mo
0.4 miles
Marathon
Shops & Services
1,544 visits/mo
0.4 miles
Napa Auto Parts
Shops & Services
358 visits/mo
0.2 miles
Demographics for 33404, FL
31,869
Population
15,990
Households
2
Avg Household Size
42
Median Age
27%
College-Educated
87%
High-School Grad
7.3 sq mi
ZIP Area
4,366
Density / Sq Mi
$60,225
Median Household Income
$35,521
Median Earnings
$1,507
Median Rent
$305,600
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Shopping center - Neighborhood retail center with five approximately 860 SF units on a 0.31-acre parcel, offering 80% occupancy.
Where is this shopping center located?
The property is located at 1620 Avenue E West Palm Beach, FL.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: Neighborhood retail center built in 1966 with 5 approximately 860 SF units totaling 4,146 SF; Located on a 0.31‑acre parcel with DG zoning; Currently 80% occupied: four established tenants plus one vacant unit for potential lease‑up upside
