Three-Story Mixed-Use
For Sale
$4,650,000
397 5th Avenue, Brooklyn, NY 11215
Fully occupied mixed-use building with four 2-bedroom apartments and retail space leased for the next 10 years.
Property Size3,828 SF
Price / SF$1,214
Days on Market56
Property Features for 397 5th Avenue
General Information
Standard status
Active
Size
3,828 SF
Property subtype
Multi Family
Occupancy
100%
Additional Details
Multifamily Units
4
Taxes and HOA fees
Annual Taxes
$7,176
Building Details
Building Size
3,828 SF
Year Built
1899
Stories
3
Tenancy
Multi
Listing Agency:
Compass
Listed By:
Louis M Esposito · License #10301207785
(718) 781-8310
Source:
Miradorrealestate
Added: Jul 24
Changed: Sep 3
Last Checked: Sep 16 at 11:44PM
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 Compass
Investment Insights
Based on property information with market context.
This three-story mixed-use building is offered in fully occupied, turnkey condition. The residential component features four well-appointed 2-bedroom apartments, each described as having front and back layouts. The retail portion is currently leased for the next 10 years, providing continuity of income, and the property is presented as requiring no immediate renovations or repairs.
Located in Park Slope along 5th Avenue within a retail corridor, the building is positioned on a high foot-traffic section with emphasis on visibility and accessibility.
The property is structured to combine multi-unit residential living with long-term retail tenancy, supporting an income-generating setup within a maintained, ready-to-operate framework.
Located in Park Slope along 5th Avenue within a retail corridor, the building is positioned on a high foot-traffic section with emphasis on visibility and accessibility.
The property is structured to combine multi-unit residential living with long-term retail tenancy, supporting an income-generating setup within a maintained, ready-to-operate framework.
Key Highlights
- Three‑story mixed‑use building built in 1899
- Fully occupied with a mixed tenant setup
- Residential component: four 2‑bedroom apartments with front and back layouts
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
$183,570
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
3.95%
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%
$3,671,400
$3.7M
Cap Rate 7%
$2,622,429
$2.6M
Cap Rate 9%
$2,039,667
$2.0M
Market Conditions
NOI Build-Up for 3,828 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
$297.7K $77.76/SF
− Vacancy
−$35.4K −$9.25/SF
EGI
$262.2K $68.51/SF
− OpEx
−$78.7K −$20.55/SF
NOI
$183.6K $47.95/SF
Area
Brooklyn, NY
Vacancy
11.90%
Lease Rate
$77.76 /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%
$3,671,400
Cap Rate 7%
$2,622,429
Cap Rate 9%
$2,039,667
Alternative Uses
Best Use
Retail
$2.62M
$2.29M – $3.06M
NOI $183,570 @ 7.0% cap · market cap 3.95%
Second Best
Multifamily LT 5
$1.92M
$1.68M – $2.23M
NOI $134,063 @ 7.0% cap · market cap 2.88%
Theoretical Best
Specialty Retail
$3.17M
$2.77M – $3.70M
NOI $221,871 @ 7.0% cap · market cap 4.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Unlock full access to Insights
Subscribe to Realmo Intelligence
Open Analytics
Current Use
Lease Details
4
Residential units
100%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
7,969
Businesses Nearby
Explore this area
Business Placement
Demographics for 11215, NY
67,493
Population
32,197
Households
2.1
Avg Household Size
37
Median Age
80%
College-Educated
96%
High-School Grad
2.2 sq mi
ZIP Area
30,679
Density / Sq Mi
$180,773
Median Household Income
$99,151
Median Earnings
$2,803
Median Rent
$1,674,700
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
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?
Quadplex - Fully occupied mixed-use building with four 2-bedroom apartments and retail space leased for the next 10 years.
Where is this quadplex located?
The property is located at 397 5th Avenue Brooklyn, NY.
What is the asking price?
The asking price for this property is $4,650,000.
What are key features of this property?
This property features: Three‑story mixed‑use building built in 1899; Fully occupied with a mixed tenant setup; Residential component: four 2‑bedroom apartments with front and back layouts
