Sheepshead Bay Commercial
For Sale
Contact for pricing
1627 Sheepshead Bay Road, Brooklyn, NY 11235
Commercial property with income potential in Sheepshead Bay, Brooklyn.
Property Size2,755 SF
Lot Size0.06 Acres
Price / SF$685.62
Days on Market153
Property Features for 1627 Sheepshead Bay Road
General Information
Standard status
Active
Size
2,755 SF
Lot size
0.06 Acres
Property subtype
Land
Zoning
C4-2
Building Details
Year Built
1927
Buildings
1
Listing Agency:
DiTommaso Real Estate
(718) 667-8000
Listed By:
Stephanie Zhang · License #30ZH0997890
Source:
Crexi
Added: Mar 18
Changed: Aug 8
Last Checked: Aug 8 at 6:25AM
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 DiTommaso Real Estate
Investment Insights
Based on property information with market context.
A commercial property with potential for mixed-use development is available in the Sheepshead Bay neighborhood of Brooklyn. The site includes a building and an operating dry-cleaning business, providing immediate income potential and long-term flexibility in a high-traffic location. The lot measures 19 feet wide by 146 feet deep, offering development potential. An architect can assist in maximizing the property's value, whether the plan is to continue operating the dry cleaner, lease to new tenants, or redevelop the site. The property represents a strategic asset in a Brooklyn location with built-in income and multiple pathways to increase its value. The property size is 2755 square feet.
Key Highlights
- Prime commercial property in the vibrant Sheepshead Bay neighborhood of Brooklyn.
- Operating dry‑cleaning business included, providing immediate income potential.
- Substantial lot size: 19 feet wide x 146 feet deep, offering significant development potential.
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
$132,115
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
6.99%
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%
$2,642,300
$2.6M
Cap Rate 7%
$1,887,357
$1.9M
Cap Rate 9%
$1,467,944
$1.5M
Market Conditions
NOI Build-Up for 2,755 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
$214.2K $77.76/SF
− Vacancy
−$25.5K −$9.25/SF
EGI
$188.7K $68.51/SF
− OpEx
−$56.6K −$20.55/SF
NOI
$132.1K $47.95/SF
Area
Brooklyn, NY
Vacancy
11.90%
Lease Rate
$77.76 /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%
$2,642,300
Cap Rate 7%
$1,887,357
Cap Rate 9%
$1,467,944
Alternative Uses
Best Use
Retail
$1.89M
$1.65M – $2.20M
NOI $132,115 @ 7.0% cap · market cap 6.99%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$2.28M
$2.00M – $2.66M
NOI $159,680 @ 7.0% cap · market cap 8.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,757
Businesses Nearby
300k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 43%
Groceries 23%
Apparel 19%
Office Supplies 12%
Stop & Shop
Groceries
70,327 visits/mo
0.2 miles
Marshalls
Apparel
55,799 visits/mo
0.3 miles
Staples
Office Supplies
37,374 visits/mo
0.3 miles
Petco
Shops & Services
25,350 visits/mo
0.2 miles
Bank of America
Shops & Services
24,582 visits/mo
0.1 miles
Demographics for 11235, NY
88,482
Population
37,188
Households
2.4
Avg Household Size
44
Median Age
50%
College-Educated
90%
High-School Grad
2.5 sq mi
ZIP Area
35,393
Density / Sq Mi
$61,689
Median Household Income
$48,898
Median Earnings
$1,649
Median Rent
$723,900
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- World Flowers By TATI — 3073 Brighton 2nd St, Brooklyn, NY 11235
- Wedding Bouquets And Centerpieces Brooklyn — 3039 brighton 4th st, brooklyn, ny 11235
- Aleksis Flowers Ltd — 274 Brighton Beach Ave, Brooklyn, NY 11235
- Funky D Signs & Florist — 703 Brighton Beach Ave, Brooklyn, NY 11235
- Melanie Flower Shop And More — 403 Brighton Beach Ave, Brooklyn, NY 11235
Frequently Asked Questions
What type of property is this?
Storefront property - Commercial property with income potential in Sheepshead Bay, Brooklyn.
Where is this storefront property located?
The property is located at 1627 Sheepshead Bay Road Brooklyn, NY.
What is the asking price?
The asking price for this property is $1,888,888.
What are key features of this property?
This property features: Prime commercial property in the vibrant Sheepshead Bay neighborhood of Brooklyn.; Operating dry‑cleaning business included, providing immediate income potential.; Substantial lot size: 19 feet wide x 146 feet deep, offering significant development potential.
