Melbourne Retail Investment
For Sale
Contact for pricing
3555 W New Haven Ave, Melbourne, FL
Retail property in a dynamic growth market with long-term lease.
Property Size25,531 SF
Lot Size3.43 Acres
Price / SF$223.24
Days on Market577
Property Features for 3555 W New Haven Ave
General Information
Standard status
Active
Size
25,531 SF
Lot size
3.43 Acres
Property subtype
RETAIL
Listing Agency:
Colliers | Fort Lauderdale
(954) 652-4600
Listed By:
Christopher Twist
(561) 602-8390
Source:
Moodyscre
Added: Feb 4, 2025
Changed: Sep 4
Last Checked: Sep 2 at 5:33PM
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 Colliers | Fort Lauderdale
Investment Insights
Based on property information with market context.
This property presents an investment opportunity located at 3555 W. New Haven Avenue in Melbourne, Florida. The property includes a 25,531 square foot retail building on a 3.43-acre lot. The property is leased to Northern Tool + Equipment on a long-term lease with minimal landlord responsibilities and scheduled rental increases. Situated along Highway 192, a retail corridor, the property benefits from national co-tenancy and proximity to the Space Coast Town Centre development, a 170-acre mixed-use community. Melbourne, Florida, is experiencing economic growth, driven by aerospace and technology employers such as SpaceX, Lockheed Martin, and Blue Origin. The property offers a combination of location, strong tenancy, and future income growth in a rapidly expanding market. Recent capital improvements have been made to the property. The lease structure is strong.
Key Highlights
- Long‑term lease to Northern Tool + Equipment provides stable income.
- Located in a high‑growth area of Melbourne, Florida, driven by aerospace and technology industries.
- Prime location on Highway 192, a busy retail corridor.
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
$294,347
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
5.16%
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%
$5,886,940
$5.9M
Cap Rate 7%
$4,204,957
$4.2M
Cap Rate 9%
$3,270,522
$3.3M
Market Conditions
NOI Build-Up for 25,531 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
$459.6K $18.00/SF
− Vacancy
−$39.1K −$1.53/SF
EGI
$420.5K $16.47/SF
− OpEx
−$126.1K −$4.94/SF
NOI
$294.3K $11.53/SF
Area
Brevard County, FL
Vacancy
8.50%
Lease Rate
$18.00 /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%
$5,886,940
Cap Rate 7%
$4,204,957
Cap Rate 9%
$3,270,522
Alternative Uses
Best Use
Retail
$4.20M
$3.68M – $4.91M
NOI $294,347 @ 7.0% cap · market cap 5.16%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$6.74M
$5.89M – $7.86M
NOI $471,507 @ 7.0% cap · market cap 8.27%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
488
Businesses Nearby
119k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Home Improvements & Furnishings 53%
Shops & Services 29%
Groceries 18%
Lowe's
Home Improvements & Furnishings
34,898 visits/mo
0.5 miles
Wawa
Shops & Services
34,635 visits/mo
0.5 miles
Winn-Dixie
Groceries
21,363 visits/mo
0.4 miles
Tractor Supply Co.
Home Improvements & Furnishings
13,079 visits/mo
0.2 miles
West Melbourne Ace Hardware
Home Improvements & Furnishings
6,942 visits/mo
0.4 miles
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Retail property in a dynamic growth market with long-term lease.
Where is this retail space located?
The property is located at 3555 W New Haven Ave Melbourne, FL.
What is the asking price?
The asking price for this property is $5,699,485.
What are key features of this property?
This property features: Long‑term lease to Northern Tool + Equipment provides stable income.; Located in a high‑growth area of Melbourne, Florida, driven by aerospace and technology industries.; Prime location on Highway 192, a busy retail corridor.
