Mixed-Use Property with Corner
For Sale
$1,350,000
265-267 2ND Unit 265, Elizabeth, NJ 07206
Four leased apartments accompany two street-facing commercial spaces and dedicated on-site parking.
Property Size5,974 SF
Price / SF$225.98
Days on Market343
Property Features for 265-267 2ND Unit 265
General Information
Standard status
Active
Size
5,974 SF
Property subtype
Mixed Use
Taxes and HOA fees
Annual Taxes
$23,232
Amenities
exclusive driveway with on-site parking
separate residential and commercial entrances
Window Air Conditioning
3
Flat
R-3A
Corner Lot.
4 Parking Spaces. 1 Car, Driveway.
50X100, 50X100
Corner.
Building Details
Year Built
1940
Listing Agency:
RE/MAX NEW MILLENNIUM GROUP
(908) 282-1234
Listed By:
JOAO A PEREIRA · License #457804
Source:
Xome
Added: Sep 22, 2025
Changed: Aug 30
Last Checked: Aug 30 at 2:05PM
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 RE/MAX NEW MILLENNIUM GROUP
Investment Insights
Based on property information with market context.
This 5,974-square-foot mixed-use property, built in 1940, combines four residential apartments with two street-level commercial spaces. Each apartment has two bedrooms and one bathroom, and all four are leased. One commercial space is a renovated restaurant that is leased, while the second storefront is vacant and available for renovation. Residential and commercial areas have separate entrances, supporting distinct access for each component.
The property occupies two 50-by-100-foot lots on a corner and includes an exclusive driveway with four parking spaces. It is near the Elizabethport waterfront and major transportation, with R-3A zoning and window air conditioning noted among the property features.
The property occupies two 50-by-100-foot lots on a corner and includes an exclusive driveway with four parking spaces. It is near the Elizabethport waterfront and major transportation, with R-3A zoning and window air conditioning noted among the property features.
Key Highlights
- 5,974‑square‑foot mixed‑use property with four apartments and two street‑level commercial spaces
- Four 2‑bedroom, 1‑bath apartments, all currently leased
- One renovated restaurant space is leased; second storefront is vacant for renovation
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
$113,812
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
8.43%
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%
$2,276,240
$2.3M
Cap Rate 7%
$1,625,886
$1.6M
Cap Rate 9%
$1,264,578
$1.3M
Market Conditions
NOI Build-Up for 5,974 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
$172.1K $28.80/SF
− Vacancy
−$9.5K −$1.58/SF
EGI
$162.6K $27.22/SF
− OpEx
−$48.8K −$8.16/SF
NOI
$113.8K $19.05/SF
Area
Elizabeth, NJ
Vacancy
5.50%
Lease Rate
$28.80 /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%
$2,276,240
Cap Rate 7%
$1,625,886
Cap Rate 9%
$1,264,578
Alternative Uses
Best Use
Multifamily LT 5
$1.63M
$1.42M – $1.90M
NOI $113,812 @ 7.0% cap · market cap 8.43%
Second Best
Apartment 5plus
$1.45M
$1.27M – $1.69M
NOI $101,347 @ 7.0% cap · market cap 7.51%
Theoretical Best
Office A
$2.21M
$1.94M – $2.58M
NOI $154,892 @ 7.0% cap · market cap 11.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,071
Businesses Nearby
Explore this area
Business Placement
Demographics for 07206, NJ
30,982
Population
9,712
Households
3.2
Avg Household Size
31
Median Age
8%
College-Educated
64%
High-School Grad
1.8 sq mi
ZIP Area
17,212
Density / Sq Mi
$60,992
Median Household Income
$38,541
Median Earnings
$1,543
Median Rent
$339,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - Four leased apartments accompany two street-facing commercial spaces and dedicated on-site parking.
Where is this mixed-use property located?
The property is located at 265-267 2ND Unit 265 Elizabeth, NJ.
What is the asking price?
The asking price for this property is $1,350,000.
What are key features of this property?
This property features: 5,974‑square‑foot mixed‑use property with four apartments and two street‑level commercial spaces; Four 2‑bedroom, 1‑bath apartments, all currently leased; One renovated restaurant space is leased; second storefront is vacant for renovation
