Office Building with Detached
For Sale
$679,000
1940 Route 9 N, Cape May Court House, NJ 08210
Commercial office property with central air, gas utilities, and an established month-to-month occupancy arrangement.
Property Size2,066 SF
Price / SF$328.65
Days on Market199
Property Features for 1940 Route 9 N
General Information
Standard status
Active
Size
2,066 SF
Taxes and HOA fees
Annual Taxes
$4,477
Listing Agency:
COASTAL ELITE REALTY
(609) 374-1002
Listed By:
Francis Jannotta · License #0338121
(609) 374-1002
Source:
Exprealty
Added: Feb 12
Changed: Aug 30
Last Checked: Aug 30 at 12:20AM
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 COASTAL ELITE REALTY
Investment Insights
Based on property information with market context.
This commercial office property includes a 2,066-square-foot professional building and a separate garage. Building systems include central air conditioning, gas-fired heat, and gas hot water. The property is served by a newer septic system and well pump.
Design Collaborative has occupied the building continuously since 2012 under a month-to-month lease. The existing occupant may remain under a new owner, subject to mutually acceptable arrangements. The property is located at 1940 Route 9 N in Cape May Court House, New Jersey.
Design Collaborative has occupied the building continuously since 2012 under a month-to-month lease. The existing occupant may remain under a new owner, subject to mutually acceptable arrangements. The property is located at 1940 Route 9 N in Cape May Court House, New Jersey.
Key Highlights
- 2,066‑square‑foot commercial office building
- Detached garage included with the property
- Design Collaborative occupancy has continued since 2012
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
$33,793
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
4.98%
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%
$675,860
$675.9K
Cap Rate 7%
$482,757
$482.8K
Cap Rate 9%
$375,478
$375.5K
Market Conditions
NOI Build-Up for 2,066 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
$57.8K $27.96/SF
− Vacancy
−$12.7K −$6.15/SF
EGI
$45.1K $21.81/SF
− OpEx
−$11.3K −$5.45/SF
NOI
$33.8K $16.36/SF
Area
Cape May County, NJ
Vacancy
22.00%
Lease Rate
$27.96 /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%
$675,860
Cap Rate 7%
$482,757
Cap Rate 9%
$375,478
Alternative Uses
Best Use
Office B
$482.8K
$422.4K – $563.2K
NOI $33,793 @ 7.0% cap · market cap 4.98%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$632.4K
$553.4K – $737.8K
NOI $44,269 @ 7.0% cap · market cap 6.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
146
Businesses Nearby
Explore this area
Business Placement
Demographics for 08210, NJ
17,635
Population
8,374
Households
2.1
Avg Household Size
47
Median Age
33%
College-Educated
93%
High-School Grad
68.5 sq mi
ZIP Area
257
Density / Sq Mi
$93,855
Median Household Income
$48,086
Median Earnings
$1,538
Median Rent
$337,700
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?
Office building - Commercial office property with central air, gas utilities, and an established month-to-month occupancy arrangement.
Where is this office building located?
The property is located at 1940 Route 9 N Cape May Court House, NJ.
What is the asking price?
The asking price for this property is $679,000.
What are key features of this property?
This property features: 2,066‑square‑foot commercial office building; Detached garage included with the property; Design Collaborative occupancy has continued since 2012
