Medical Office Building For
For Sale
$2,500,000
186 West Veterans Highway, Jackson, NJ 08527
Professional building with medical tenant in central Jackson, NJ.
Property Size7,200 SF
Lot Size0.99 Acres
Price / SF$347.22
Days on Market183
Property Features for 186 West Veterans Highway
General Information
Standard status
Active
Size
7,200 SF
Class
B
Lot size
0.99 Acres
Property subtype
Office
Building Details
Building Size
7,200 SF
Year Built
2011
Listed By:
Daniel Lanni
(908) 692-7633
Source:
Kislakrealty
Added: Mar 5
Changed: Sep 3
Last Checked: Sep 4 at 5:49AM
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 Daniel Lanni
Investment Insights
Based on property information with market context.
This professional building, constructed in 2011, offers approximately 7208 square feet of space on a property of just under an acre. Located near the center of Jackson, NJ, the property is suitable for investors seeking immediate contractual income from a medical anchor tenant, with potential for additional revenue through leasing or occupying the available professional suite. The building is approximately 86% leased by an orthodontist with a modified NNN lease, providing a steady income stream. The first floor comprises a 4114-square-foot orthodontic office, featuring a large reception area with carpet, two restrooms with porcelain tile, and commercial vinyl planking throughout most of the office space. The second floor offers approximately 1620 square feet of flexible, sharable space, including a large conference room, kitchenette, laundry room, business office, and restrooms. The second floor is finished with carpet and porcelain tile. The front stairwell provides access to approximately 1000 square feet of available space, while the orthodontic office utilizes the rear stairwell. The third floor consists of an unfinished, walkable attic housing the mechanical systems and providing additional storage space.
Key Highlights
- Immediate contractual income from an 86% leased building with a medical anchor tenant (orthodontist).
- Revenue growth potential through lease‑up of the available professional suite (approximately 1000 sf).
- Relatively new construction (built in 2011).
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
$101,034
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
4.04%
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%
$2,020,680
$2.0M
Cap Rate 7%
$1,443,343
$1.4M
Cap Rate 9%
$1,122,600
$1.1M
Market Conditions
NOI Build-Up for 7,200 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
$158.1K $21.96/SF
− Vacancy
−$23.4K −$3.25/SF
EGI
$134.7K $18.71/SF
− OpEx
−$33.7K −$4.68/SF
NOI
$101.0K $14.03/SF
Area
Camden County, NJ
Vacancy
14.80%
Lease Rate
$21.96 /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%
$2,020,680
Cap Rate 7%
$1,443,343
Cap Rate 9%
$1,122,600
Alternative Uses
Best Use
Office B
$1.44M
$1.26M – $1.68M
NOI $101,034 @ 7.0% cap · market cap 4.04%
Second Best
Healthcare Medical
$1.26M
$1.10M – $1.47M
NOI $88,335 @ 7.0% cap · market cap 3.53%
Theoretical Best
Office A
$1.83M
$1.60M – $2.13M
NOI $127,792 @ 7.0% cap · market cap 5.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
118
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 08527, NJ
57,925
Population
21,755
Households
2.7
Avg Household Size
41
Median Age
39%
College-Educated
94%
High-School Grad
85.4 sq mi
ZIP Area
678
Density / Sq Mi
$109,059
Median Household Income
$55,349
Median Earnings
$1,693
Median Rent
$460,600
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Medical Office Space - Professional building with medical tenant in central Jackson, NJ.
Where is this medical office space located?
The property is located at 186 West Veterans Highway Jackson, NJ.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: Immediate contractual income from an 86% leased building with a medical anchor tenant (orthodontist).; Revenue growth potential through lease‑up of the available professional suite (approximately 1000 sf).; Relatively new construction (built in 2011).
