Listing Agency: Wolf Commercial Real Estate, LLC/CORFAC International | New Jersey Show Phone

Listed By: Ryan J. Barikian · License #NJ 1111483 Show Phone

Source: Moodyscre

Added: Mar 28, 2025 Changed: Aug 14 Last Checked: Sep 12 at 9:17AM

Report an Issue

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 Wolf Commercial Real Estate, LLC/CORFAC International | New Jersey

Investment Insights

Based on property information with market context.

This flex/industrial building offers a total of 21,300 square feet, including approximately 19,800 square feet of warehouse space and approximately 1,500 square feet of office space. The property is situated on a 10.63-acre parcel and features a 60,000 square foot paved and stone lot. The warehouse is equipped with oil-fired heat, while the office area has air conditioning and forced air heat. There are a total of four doors: two doors measure 18 feet tall and 24 feet wide, and two doors measure 18 feet tall and 18 feet wide. The property includes three restrooms, one of which is a full bathroom with a shower. It has 3-phase/480-volt power, well water, and septic. Zoned as agricultural residential (AR), the property is a legal, non-conforming warehouse because it existed before current zoning restrictions were established. The annual taxes are $28,602. The location provides convenient access, being less than 10 minutes from I-95, I-195, and the New Jersey Turnpike. It is located 60 miles from New York City and 35 miles from Philadelphia.

Key Highlights

• Legal, non‑conforming warehouse status in Agricultural Residential (AR) zone.
• Excellent location: Less than 10 minutes to I‑95, I‑195, and NJ Turnpike; 60 miles from NYC and 35 miles from Philadelphia.
• Substantial space: 21,300 total square feet (+/- 19,800 SF warehouse and +/- 1,500 SF office) on a 10.63‑acre parcel with +/- 60,000 SF paved & stone lot.

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

$204,184

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

8.18%

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%

$4,083,680 $4.1M

Cap Rate 7%

$2,916,914 $2.9M

Cap Rate 9%

$2,268,711 $2.3M

Market Conditions

NOI Build-Up for 21,300 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

$306.7K $14.40/SF

− Vacancy

−$15.0K −$0.71/SF

EGI

$291.7K $13.69/SF

− OpEx

−$87.5K −$4.11/SF

NOI

$204.2K $9.59/SF

Area

Monmouth County, NJ

Vacancy

4.90%

Lease Rate

$14.40 /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%

$4,083,680

Cap Rate 7%

$2,916,914

Cap Rate 9%

$2,268,711

Alternative Uses

Best Use

Flex RnD

$4.99M

$4.37M – $5.82M (±1% cap)

NOI $349,386 @ 7.0% cap · market cap 14.00%

Second Best

Warehouse

$3.54M

$3.10M – $4.13M (±1% cap)

NOI $247,937 @ 7.0% cap · market cap 9.94%

Theoretical Best

Office A

$5.56M

$4.87M – $6.49M (±1% cap)

NOI $389,330 @ 7.0% cap · market cap 15.60%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Current Use

Flex space

Suggested Use

Top Pick Furniture & Home Goods Big Box & Wholesale Store Garden Center Storage Facility Carpet & Flooring Store HVAC Service

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

62

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Market

Vacancy Rate% for Industrial in Northeast region

5.4% 2019

4.6% 2020

3.2% 2021

3.3% 2022

5.3% 2023

6.6% 2024

7.6% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this warehouses located? What is the asking price? Find similar properties What are key features of this property?

Similar Off Market Nearby

• Seal Van Lines Moving

Frequently Asked Questions

What type of property is this?

Warehouse - 21,300 SF flex/industrial building on 10.63 acres for sale.

Where is this warehouse located?

The property is located at 18 Herbert Rd Upper Freehold Township, NJ.

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: Legal, non‑conforming warehouse status in Agricultural Residential (AR) zone.; Excellent location: Less than 10 minutes to I‑95, I‑195, and NJ Turnpike; 60 miles from NYC and 35 miles from Philadelphia.; Substantial space: **21,300 total square feet** (+/- 19,800 SF warehouse and +/- 1,500 SF office) on a 10.63‑acre parcel with +/- 60,000 SF paved & stone lot.