Mixed-Use Retail and Office
For Sale
Contact for pricing
Pending
225 Delaware Ave, Buffalo, NY 14202
Mixed-use retail and office property in downtown Buffalo, New York.
Property Size16,296 SF
Days on Market172
Property Features for 225 Delaware Ave
General Information
Standard status
Pending
Size
16,296 SF
Property subtype
Mixed Use
Occupancy
100%
Listing Agency:
R. J. GULLO COMPANIES
Listed By:
RUSSELL J. GULLO · License #NY 10311204806
Source:
Crexi
Added: Mar 1
Changed: Aug 14
Last Checked: Aug 14 at 6:06AM
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 R. J. GULLO COMPANIES
Investment Insights
Based on property information with market context.
This mixed-use property, located at the corner of Delaware Avenue and West Chippewa Street in downtown Buffalo, New York, is a two-story masonry building with a full basement. The gross building area is approximately 16,296 square feet. The property features established retail tenants on the ground floor and multi-tenant office space on the second floor. A rooftop billboard, leased to a national advertising company, provides additional income. This property offers investors in-place cash flow with potential for growth through leasing optimization, operational efficiencies, and long-term rent growth.
Key Highlights
- Stabilized, income‑producing mixed‑use property.
- Located at the highly visible corner of Delaware Avenue and West Chippewa Street in downtown Buffalo, New York.
- Established retail tenancy on the ground floor and multi‑tenant office space on the second floor.
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
$175,997
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
6.64%
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%
$3,519,940
$3.5M
Cap Rate 7%
$2,514,243
$2.5M
Cap Rate 9%
$1,955,522
$2.0M
Market Conditions
NOI Build-Up for 16,296 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
$312.9K $19.20/SF
− Vacancy
−$31.3K −$1.92/SF
EGI
$281.6K $17.28/SF
− OpEx
−$105.6K −$6.48/SF
NOI
$176.0K $10.80/SF
Area
Buffalo, NY
Vacancy
10.00%
Lease Rate
$19.20 /SF/Yr
Expense Ratio
37.50%
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%
$3,519,940
Cap Rate 7%
$2,514,243
Cap Rate 9%
$1,955,522
Alternative Uses
Best Use
Mixed Use
$2.51M
$2.20M – $2.93M
NOI $175,997 @ 7.0% cap · market cap 6.64%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.92M
$3.43M – $4.57M
NOI $274,320 @ 7.0% cap · market cap 10.35%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,745
Businesses Nearby
Explore this area
Business Placement
Demographics for 14202, NY
3,850
Population
2,452
Households
1.6
Avg Household Size
38
Median Age
45%
College-Educated
92%
High-School Grad
0.9 sq mi
ZIP Area
4,278
Density / Sq Mi
$47,990
Median Household Income
$36,936
Median Earnings
$709
Median Rent
$495,800
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use retail and office property in downtown Buffalo, New York.
Where is this mixed-use property located?
The property is located at 225 Delaware Ave Buffalo, NY.
What is the asking price?
The asking price for this property is $2,650,000.
What are key features of this property?
This property features: Stabilized, income‑producing mixed‑use property.; Located at the highly visible corner of Delaware Avenue and West Chippewa Street in downtown Buffalo, New York.; Established retail tenancy on the ground floor and multi‑tenant office space on the second floor.
