Mixed-Use Building with
For Sale
Contact for pricing
402 West 40th Street, New York, NY 10018
Two-level property combines a ground-floor commercial unit with residential space above in a Midtown West setting.
Property Size4,337 SF
Price / SF$853.12
Days on Market58
Property Features for 402 West 40th Street
General Information
Standard status
Active
Size
4,337 SF
Property subtype
Mixed Use
Building Details
Buildings
1
Listing Agency:
SERHANT
Listed By:
Bernadette Brennan · License #NY 10301221862
(646) 480-7665
Source:
Crexi
Added: Jul 7
Changed: Aug 31
Last Checked: Sep 2 at 1:03AM
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 SERHANT
Investment Insights
Based on property information with market context.
Located at 402 West 40th Street between Ninth and Tenth Avenues, this mixed-use property contains approximately 4,337 square feet across a ground-floor commercial unit and a residential unit above. The configuration brings distinct commercial and residential components within one building.
The property is positioned near Times Square, Hudson Yards, and the Port Authority Bus Terminal, placing it within a dense Midtown West area shaped by office, transit, and tourism activity. Its location provides access to major Manhattan destinations and transportation infrastructure.
The property is positioned near Times Square, Hudson Yards, and the Port Authority Bus Terminal, placing it within a dense Midtown West area shaped by office, transit, and tourism activity. Its location provides access to major Manhattan destinations and transportation infrastructure.
Key Highlights
- Approximately 4,337 square feet total
- Ground‑floor commercial unit with residential unit above
- Mixed‑use building at 402 West 40th Street
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
$138,242
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
3.74%
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%
$2,764,840
$2.8M
Cap Rate 7%
$1,974,886
$2.0M
Cap Rate 9%
$1,536,022
$1.5M
Market Conditions
NOI Build-Up for 4,337 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
$260.2K $60.00/SF
− Vacancy
−$39.0K −$9.00/SF
EGI
$221.2K $51.00/SF
− OpEx
−$82.9K −$19.13/SF
NOI
$138.2K $31.88/SF
Area
New York, NY
Vacancy
15.00%
Lease Rate
$60.00 /SF/Yr
Expense Ratio
37.50%
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%
$2,764,840
Cap Rate 7%
$1,974,886
Cap Rate 9%
$1,536,022
Alternative Uses
Best Use
Retail
$8.72M
$7.63M – $10.17M
NOI $610,322 @ 7.0% cap · market cap 16.50%
Second Best
Mixed Use
$1.97M
$1.73M – $2.30M
NOI $138,242 @ 7.0% cap · market cap 3.74%
Theoretical Best
Specialty Retail
$10.80M
$9.45M – $12.59M
NOI $755,679 @ 7.0% cap · market cap 20.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
45,903
Businesses Nearby
Explore this area
Business Placement
Demographics for 10018, NY
11,145
Population
5,678
Households
2
Avg Household Size
35
Median Age
75%
College-Educated
92%
High-School Grad
0.3 sq mi
ZIP Area
37,150
Density / Sq Mi
$133,042
Median Household Income
$103,655
Median Earnings
$3,501
Median Rent
$947,100
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 - Two-level property combines a ground-floor commercial unit with residential space above in a Midtown West setting.
Where is this mixed-use property located?
The property is located at 402 West 40th Street New York, NY.
What is the asking price?
The asking price for this property is $3,700,000.
What are key features of this property?
This property features: Approximately 4,337 square feet total; Ground‑floor commercial unit with residential unit above; Mixed‑use building at 402 West 40th Street
