Five-Room Office
For Sale
Contact for pricing
198 Canal St, New York, NY 10013
Configured with reception, a private bathroom, and dedicated storage.
Property Size1,002 SF
Price / SF$997.01
Days on Market181
Property Features for 198 Canal St
General Information
Standard status
Active
Size
1,002 SF
Class
B
Property subtype
Office
Investment Type
Owner/User
Additional Details
Public Transit
Yes
Building Details
Year Built
1915
Stories
7
Listing Agency:
Cicada International LLC
Listed By:
Jean Lo · License #49LO1128819
Source:
Crexi
Added: Mar 3
Changed: Aug 30
Last Checked: Aug 30 at 3:54PM
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 Cicada International LLC
Investment Insights
Based on property information with market context.
This office condominium contains 1,002 SF arranged around five offices or examination rooms, with a reception and waiting area supporting the existing layout. Additional functionality includes a private bathroom, file area, and storage/utility room. Two north-facing rooms have operable windows oriented toward Canal Street, bringing natural light into the space. The configuration is identified as suitable for medical office use and a broad range of business types.
The property is at 198 Canal St in New York’s Chinatown, on the south side of Canal Street between Mott and Mulberry Streets. It sits within reach of Chinatown, SoHo, TriBeCa, and the Lower East Side, with coffee shops, restaurants, and retail along the surrounding block. Canal Street & Centre Street subway station is two blocks away and serves the J, Z, N, Q, R, and 6 lines.
Built in 1915, the unit combines a multi-room office plan with dedicated support areas and street-facing window exposure.
The property is at 198 Canal St in New York’s Chinatown, on the south side of Canal Street between Mott and Mulberry Streets. It sits within reach of Chinatown, SoHo, TriBeCa, and the Lower East Side, with coffee shops, restaurants, and retail along the surrounding block. Canal Street & Centre Street subway station is two blocks away and serves the J, Z, N, Q, R, and 6 lines.
Built in 1915, the unit combines a multi-room office plan with dedicated support areas and street-facing window exposure.
Key Highlights
- 1,002 SF office condominium
- Five offices or examination rooms with reception and waiting area
- Private bathroom, file area, and storage/utility room
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
$31,375
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
3.14%
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%
$627,500
$627.5K
Cap Rate 7%
$448,214
$448.2K
Cap Rate 9%
$348,611
$348.6K
Market Conditions
NOI Build-Up for 1,002 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
$51.6K $51.48/SF
− Vacancy
−$9.7K −$9.73/SF
EGI
$41.8K $41.75/SF
− OpEx
−$10.5K −$10.44/SF
NOI
$31.4K $31.31/SF
Area
New York, NY
Vacancy
18.90%
Lease Rate
$51.48 /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%
$627,500
Cap Rate 7%
$448,214
Cap Rate 9%
$348,611
Alternative Uses
Best Use
Office B
$448.2K
$392.2K – $522.9K
NOI $31,375 @ 7.0% cap · market cap 3.14%
Second Best
Healthcare Medical
$426.7K
$373.4K – $497.8K
NOI $29,868 @ 7.0% cap · market cap 2.99%
Theoretical Best
Specialty Retail
$2.49M
$2.18M – $2.91M
NOI $174,588 @ 7.0% cap · market cap 17.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
36,609
Businesses Nearby
Explore this area
Business Placement
Demographics for 10013, NY
31,042
Population
15,933
Households
1.9
Avg Household Size
36
Median Age
72%
College-Educated
89%
High-School Grad
0.5 sq mi
ZIP Area
62,084
Density / Sq Mi
$159,474
Median Household Income
$92,765
Median Earnings
$2,378
Median Rent
$2,000,001
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 units - Configured with reception, a private bathroom, and dedicated storage.
Where is this office units located?
The property is located at 198 Canal St New York, NY.
What is the asking price?
The asking price for this property is $999,000.
What are key features of this property?
This property features: 1,002 SF office condominium; Five offices or examination rooms with reception and waiting area; Private bathroom, file area, and storage/utility room
