Renovated Office Corner
For Sale
$599,000
3 NEW ST, Budd Lake, NJ 07828
Entirely renovated in 2023, this corner office offers private parking, a large kitchen, and two conference rooms.
Property Size2,289 SF
Price / SF$261.69
Days on Market91
Property Features for 3 NEW ST
General Information
Standard status
Active
Size
2,289 SF
Property subtype
General Commercial
Taxes and HOA fees
Annual Taxes
$9,704
Amenities
3
Asphalt Shingle
PB
Parking. Corner Lot.
Lot.
125X85, 125X85
Handicapped Access, Storage Area. Highway Access, Corner.
Building Details
Year Built
1935
Listing Agency:
WEICHERT REALTORS
(973) 584-2300
Listed By:
REGINA ASHWORTH
(973) 229-6935
Source:
Xome
Added: Jun 7
Changed: Sep 2
Last Checked: Sep 5 at 4:05AM
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 WEICHERT REALTORS
Investment Insights
Based on property information with market context.
This corner office property was entirely renovated in 2023 and is set up to support a modern workplace. Interior features include a huge kitchen area with a rear entrance from the back parking lot, along with a commercial wide staircase leading up to two large conference rooms and a full bath. A full walk-out basement provides additional space and storage. The building is served by natural gas and a new tankless heating system, and includes four portable A/C units.
The property has high visibility and easy accessibility on Rt 46. The seller also states that approximately 14,000 cars pass by daily. A private parking lot supports on-site parking for occupants and visitors.
The layout includes main-level office space, two conference rooms accessed via the wide staircase, and basement space for storage and additional use.
The property has high visibility and easy accessibility on Rt 46. The seller also states that approximately 14,000 cars pass by daily. A private parking lot supports on-site parking for occupants and visitors.
The layout includes main-level office space, two conference rooms accessed via the wide staircase, and basement space for storage and additional use.
Key Highlights
- Entire renovation completed in 2023
- Corner office property with private parking lot and highway access on Rt 46
- Approx. 14,000 cars pass by daily on Rt 46 (per owner)
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
$35,022
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
5.85%
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%
$700,440
$700.4K
Cap Rate 7%
$500,314
$500.3K
Cap Rate 9%
$389,133
$389.1K
Market Conditions
NOI Build-Up for 2,289 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
$68.7K $30.00/SF
− Vacancy
−$22.0K −$9.60/SF
EGI
$46.7K $20.40/SF
− OpEx
−$11.7K −$5.10/SF
NOI
$35.0K $15.30/SF
Area
Morris County, NJ
Vacancy
32.00%
Lease Rate
$30.00 /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%
$700,440
Cap Rate 7%
$500,314
Cap Rate 9%
$389,133
Alternative Uses
Best Use
Office B
$500.3K
$437.8K – $583.7K
NOI $35,022 @ 7.0% cap · market cap 5.85%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$597.7K
$523.0K – $697.3K
NOI $41,839 @ 7.0% cap · market cap 6.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
256
Businesses Nearby
Explore this area
Business Placement
Demographics for 07828, NJ
14,473
Population
5,970
Households
2.4
Avg Household Size
39
Median Age
44%
College-Educated
95%
High-School Grad
14.2 sq mi
ZIP Area
1,019
Density / Sq Mi
$96,989
Median Household Income
$57,074
Median Earnings
$1,483
Median Rent
$433,200
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 building - Entirely renovated in 2023, this corner office offers private parking, a large kitchen, and two conference rooms.
Where is this office building located?
The property is located at 3 NEW ST Budd Lake, NJ.
What is the asking price?
The asking price for this property is $599,000.
What are key features of this property?
This property features: Entire renovation completed in 2023; Corner office property with private parking lot and highway access on Rt 46; Approx. 14,000 cars pass by daily on Rt 46 (per owner)
