Turn-Key Downtown Restaurant
For Sale
$575,000
165 Madison Avenue, Albany, NY 12202
COMMERCIAL - Albany, NY
Property Size2,022 SF
Lot Size0.10 Acres
Price / SF$284.37
Days on Market534
Property Features for 165 Madison Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Mixed Use
Bathrooms
3
Full bathrooms
3
Rooms
Bathroom 2, Bathroom 1, Bathroom 3
Security features
Security System
Subdivision
Mansion Area
High school district
ALBANY CITY SCHOOL DISTRICT
Directions
787 to Madison Ave Exit. On Madison Between Grand and Phillip St. on the right
Standard status
Active
Lot size
0.10 Acres
Taxes and HOA fees
Tax Annual Amount
11766
Utilities
Heating system
Natural Gas, Forced Air
Water source
Public
Amenities
entertainment stages
full basement
Building Details
Year built
1890
Floors in Building
2
Flooring type
Stone, Tile
Building materials
Wood Siding, Brick
Roof type
Flat
Listing Agency:
HOWARD HANNA CAPITAL INC
(518) 371-4500
Listed By:
Joseph Cardinale · License #10401290174
Added: Mar 4, 2025
Changed: Aug 4
Last Checked: Aug 20 at 7:06PM
MLS# 11443003
Copyright © 2026 My State MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This turn-key restaurant building was fully renovated in 2022 and finished with high-end materials throughout. The property includes a full basement, and it is built with wood siding and brick. The restaurant offers a dining room, customer restroom and employee restroom, a full commercial kitchen, and entertainment stages and tables, with tile and stone flooring. Heating is natural gas with forced air, and the roof is flat.
The building sits at 165 Madison Avenue in downtown Albany near the Capital building, with proximity to MVP Arena (convention center). The listing describes a turn-key two-bedroom apartment on the second floor. The commercial unit (Unit 1) provides front and back door entries and includes a 2022 SF restaurant space. A six-car private parking area is located in the back. Public water is provided.
Built in 1890, the property includes a commercial front door entry plus a back door entry for operations and service access, and it features a 6-burner stove with a commercial exhaust hood for kitchen cooking needs.
The building sits at 165 Madison Avenue in downtown Albany near the Capital building, with proximity to MVP Arena (convention center). The listing describes a turn-key two-bedroom apartment on the second floor. The commercial unit (Unit 1) provides front and back door entries and includes a 2022 SF restaurant space. A six-car private parking area is located in the back. Public water is provided.
Built in 1890, the property includes a commercial front door entry plus a back door entry for operations and service access, and it features a 6-burner stove with a commercial exhaust hood for kitchen cooking needs.
Key Highlights
- Fully renovated in 2022 with high‑end finishes throughout
- Unit 1 restaurant space has front and back door entries; 2022 SF
- Full commercial kitchen with 6‑burner stove and commercial exhaust hood
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
$28,015
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
4.87%
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%
$560,300
$560.3K
Cap Rate 7%
$400,214
$400.2K
Cap Rate 9%
$311,278
$311.3K
Market Conditions
NOI Build-Up for 2,022 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
$40.0K $19.80/SF
− Vacancy
−$2.7K −$1.33/SF
EGI
$37.4K $18.47/SF
− OpEx
−$9.3K −$4.62/SF
NOI
$28.0K $13.86/SF
Area
Albany, NY
Vacancy
6.70%
Lease Rate
$19.80 /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%
$560,300
Cap Rate 7%
$400,214
Cap Rate 9%
$311,278
Alternative Uses
Best Use
Specialty Retail
$400.2K
$350.2K – $466.9K
NOI $28,015 @ 7.0% cap · market cap 4.87%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$533.5K
$466.8K – $622.4K
NOI $37,342 @ 7.0% cap · market cap 6.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Commercial hood
Location Intelligence
Trade Area within ½ mile
3,838
Businesses Nearby
17k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Hotels & Casinos 68%
Shops & Services 20%
Electronics 12%
Renaissance Albany Hotel
Hotels & Casinos
6,703 visits/mo
0.2 miles
Hampton Inn & Suites Albany Downtown
Hotels & Casinos
4,856 visits/mo
0.5 miles
U-Haul Moving & Storage Of Albany
Shops & Services
3,480 visits/mo
0.5 miles
Boost Mobile
Electronics
2,019 visits/mo
0.1 miles
Demographics for 12202, NY
10,257
Population
5,434
Households
1.9
Avg Household Size
34
Median Age
33%
College-Educated
80%
High-School Grad
2.0 sq mi
ZIP Area
5,129
Density / Sq Mi
$49,684
Median Household Income
$34,656
Median Earnings
$1,012
Median Rent
$139,800
Median Home Value
Market
Vacancy Rate% for Retail in Albany, NY
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Fully renovated in 2022 with a commercial kitchen, dining room, and customer and employee restrooms plus on-site parking.
Where is this conventional restaurant located?
The property is located at 165 Madison Avenue Albany, NY.
What is the asking price?
The asking price for this property is $575,000.
What are key features of this property?
This property features: Fully renovated in 2022 with high‑end finishes throughout; Unit 1 restaurant space has front and back door entries; 2022 SF; Full commercial kitchen with 6‑burner stove and commercial exhaust hood
