Full-Floor Loft Residential Income
For Sale
$1,495,000
265 Water Street 5, New York City, NY 10038
Renovated full-floor loft with private elevator access, exposed brick, wood beams, and flexible living areas.
Property Size1,818 SF
Price / SF$822.33
Days on Market120
Property Features for 265 Water Street 5
General Information
Standard status
Active
Size
1,818 SF
Elevators
Yes
Property subtype
Apartment
Additional Details
Public Transit
Yes
Multifamily Units
1
Building Details
Building Size
1,818 SF
Year Built
1879
Listing Agency:
Find Properties
(646) 456-5631
Listed By:
Suzanne T Unrein
(646) 456-5631
Source:
Carytamura
Added: Apr 28
Changed: Aug 24
Last Checked: Aug 24 at 3:01PM
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 Find Properties
Investment Insights
Based on property information with market context.
This full-floor residential income property occupies a legally recognized loft within a boutique cooperative at 265 Water Street. The 1,818-square-foot residence includes two full bathrooms, a private elevator entrance, original wood-beamed ceilings, exposed brick, wide-plank hardwood flooring, custom millwork, and a steel-and-glass entry partition. Its open layout is currently arranged with one private bedroom, one open sleeping area, a home office, and separate living and dining zones. A renovated kitchen features Miele and Liebherr appliances, while additional amenities include A/C, a washer/dryer, a walk-in closet, and basement storage.
The property is located in Manhattan’s South Street Seaport near the East River Esplanade, restaurants, retail, weekend greenmarkets, and multiple subway lines at Fulton Station. Unlimited subletting is permitted, and the cooperative has no flip tax. The building dates to 1879.
The property is located in Manhattan’s South Street Seaport near the East River Esplanade, restaurants, retail, weekend greenmarkets, and multiple subway lines at Fulton Station. Unlimited subletting is permitted, and the cooperative has no flip tax. The building dates to 1879.
Key Highlights
- 1,818‑square‑foot full‑floor loft at 265 Water Street
- Legally recognized loft with two full bathrooms
- Private elevator opens directly into the residence
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
$56,880
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
3.80%
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%
$1,137,600
$1.1M
Cap Rate 7%
$812,571
$812.6K
Cap Rate 9%
$632,000
$632.0K
Market Conditions
NOI Build-Up for 1,818 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
$108.9K $59.88/SF
− Vacancy
−$5.4K −$2.99/SF
EGI
$103.4K $56.89/SF
− OpEx
−$46.5K −$25.60/SF
NOI
$56.9K $31.29/SF
Area
New York, NY
Vacancy
5.00%
Lease Rate
$59.88 /SF/Yr
Expense Ratio
45.00%
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%
$1,137,600
Cap Rate 7%
$812,571
Cap Rate 9%
$632,000
Alternative Uses
Best Use
Apartment 5plus
$812.6K
$711.0K – $948.0K
NOI $56,880 @ 7.0% cap · market cap 3.80%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$4.53M
$3.96M – $5.28M
NOI $316,768 @ 7.0% cap · market cap 21.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
32,498
Businesses Nearby
Explore this area
Business Placement
Demographics for 10038, NY
25,332
Population
12,624
Households
2
Avg Household Size
33
Median Age
62%
College-Educated
83%
High-School Grad
0.3 sq mi
ZIP Area
84,440
Density / Sq Mi
$115,121
Median Household Income
$87,698
Median Earnings
$3,140
Median Rent
$865,700
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Residential income property - Renovated full-floor loft with private elevator access, exposed brick, wood beams, and flexible living areas.
Where is this residential income property located?
The property is located at 265 Water Street 5 New York City, NY.
What is the asking price?
The asking price for this property is $1,495,000.
What are key features of this property?
This property features: 1,818‑square‑foot full‑floor loft at 265 Water Street; Legally recognized loft with two full bathrooms; Private elevator opens directly into the residence
