Mixed-Use Building in Prime
For Sale
$1,350,000
Pending
292 Smith St, Perth Amboy, NJ 08861
Mixed-use property with grocery store and residential units for sale.
Property Size2,627 SF
Lot Size0.06 Acres
Days on Market319
Property Features for 292 Smith St
General Information
Standard status
Pending
Size
2,627 SF
Lot size
0.06 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$14,853
Amenities
Central air
1 Car Width
Central Air Cooling
Flat Roof
Radiators - Hot Water Heating
Wall A/C Unit(s) Cooling
Building Details
Year Built
1925
Listing Agency:
UNITED REAL ESTATE
(888) 501-6953
Listed By:
JULIO CESAR VALDEZ
Source:
Corcoran
Added: Oct 19, 2025
Changed: Aug 21
Last Checked: Jul 23 at 9:48AM
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 UNITED REAL ESTATE
Investment Insights
Based on property information with market context.
This mixed-use building is located in a commercial district of Perth Amboy. The property includes a fully operational grocery store with street visibility and foot traffic. The second and third floors each contain a 3-bedroom apartment featuring an open-concept living and dining area, a modern kitchen, and one full bath. The second-floor unit includes a large private deck. A fenced patio provides space for one car. The property is situated close to major highways, shopping, restaurants, and the train station. The grocery store currently generates $3,400 per month with no lease. The second-floor apartment generates $2,750 per month with no lease. The third-floor apartment generates $2,530 per month with a lease expiring in January 2026. The property is suitable for investors or owner-operators.
Key Highlights
- Prime location in Perth Amboy's busiest commercial district with excellent street visibility and foot traffic.
- Strong income potential from a fully operational grocery store and two spacious 3‑bedroom apartments.
- Turnkey property ideal for investors or owner‑operators seeking stable income in a high‑demand area.
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
$40,174
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
2.98%
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%
$803,480
$803.5K
Cap Rate 7%
$573,914
$573.9K
Cap Rate 9%
$446,378
$446.4K
Market Conditions
NOI Build-Up for 2,627 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
$56.7K $21.60/SF
− Vacancy
−$3.2K −$1.21/SF
EGI
$53.6K $20.39/SF
− OpEx
−$13.4K −$5.10/SF
NOI
$40.2K $15.29/SF
Area
Middlesex County, NJ
Vacancy
5.60%
Lease Rate
$21.60 /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%
$803,480
Cap Rate 7%
$573,914
Cap Rate 9%
$446,378
Alternative Uses
Best Use
Specialty Retail
$573.9K
$502.2K – $669.6K
NOI $40,174 @ 7.0% cap · market cap 2.98%
Second Best
Retail
$535.7K
$468.7K – $624.9K
NOI $37,496 @ 7.0% cap · market cap 2.78%
Theoretical Best
Office A
$686.0K
$600.2K – $800.3K
NOI $48,017 @ 7.0% cap · market cap 3.56%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,288
Businesses Nearby
119k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 57%
Groceries 19%
Dining 16%
Electronics 6%
Speedway
Shops & Services
14,643 visits/mo
0.3 miles
PNC Bank
Shops & Services
13,747 visits/mo
0.4 miles
Tropical Supermarket
Groceries
12,887 visits/mo
0.4 miles
Chase Bank
Shops & Services
12,006 visits/mo
0.4 miles
Dunkin' Donuts
Dining
11,568 visits/mo
0.5 miles
Demographics for 08861, NJ
58,039
Population
21,032
Households
2.8
Avg Household Size
35
Median Age
16%
College-Educated
70%
High-School Grad
5.1 sq mi
ZIP Area
11,380
Density / Sq Mi
$60,464
Median Household Income
$34,093
Median Earnings
$1,623
Median Rent
$340,900
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property with grocery store and residential units for sale.
Where is this mixed-use property located?
The property is located at 292 Smith St Perth Amboy, 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: Prime location in Perth Amboy's busiest commercial district with excellent street visibility and foot traffic.; Strong income potential from a fully operational grocery store and two spacious 3‑bedroom apartments.; Turnkey property ideal for investors or owner‑operators seeking stable income in a high‑demand area.
