Boutique Professional Office
For Sale
$249,000
491 Amwell Rd, Hillsborough, NJ 08844
860 SF office condo in Hillsborough Twp., NJ for sale.
Property Size860 SF
Price / SF$289.53
Days on Market173
Property Features for 491 Amwell Rd
General Information
Standard status
Active
Size
860 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$3,228
Amenities
Central air
Asphalt Shingle Roof
1 Unit Cooling
1 Unit Heating
Central Air Cooling
Forced Hot Air Heating
Off-Street Parking
Parking Lot-Shared
Building Details
Year Built
2003
Listing Agency:
UNITED REAL ESTATE
(888) 501-6953
Listed By:
VICTORIA GODEK
Source:
Corcoran
Added: Feb 28
Changed: Aug 8
Last Checked: Aug 8 at 6:07AM
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 860 SF office condo offers a blend of quiet elegance and strategic location, suitable for small teams or solo practitioners seeking a residential-professional aesthetic. The property maintains a classic, low-profile architectural character consistent with the surrounding neighborhood. Located within the Home Occupation Office Zone (HOO District), the zoning prohibits high-traffic "strip retail" or "highway commercial" uses, ensuring a professional environment. The property is ideally suited for legal, accounting, financial services, consulting, and general professional offices. Zoning also allows for child-care and adult day-care centers. The location provides easy access to Route 206, Amwell Road, and Hamilton Road, while avoiding the noise and congestion of the main highway. A coordinated parking design aims to reduce traffic and provide seamless client arrival. The property benefits from the high activity of the Township center while maintaining the privacy of a stand-alone professional complex, offering a foothold in a stable and aesthetically preserved zone.
Key Highlights
- Strategic location with easy access to major routes (206, Amwell, Hamilton).
- Zoning (HOO District) ensures a professional environment.
- Suitable for various professional uses including legal, accounting, financial services, consulting, and childcare/adult daycare.
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
$13,158
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
5.28%
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%
$263,160
$263.2K
Cap Rate 7%
$187,971
$188.0K
Cap Rate 9%
$146,200
$146.2K
Market Conditions
NOI Build-Up for 860 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
$25.8K $30.00/SF
− Vacancy
−$8.3K −$9.60/SF
EGI
$17.5K $20.40/SF
− OpEx
−$4.4K −$5.10/SF
NOI
$13.2K $15.30/SF
Area
Somerset 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%
$263,160
Cap Rate 7%
$187,971
Cap Rate 9%
$146,200
Alternative Uses
Best Use
Office B
$188.0K
$164.5K – $219.3K
NOI $13,158 @ 7.0% cap · market cap 5.28%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$224.6K
$196.5K – $262.0K
NOI $15,719 @ 7.0% cap · market cap 6.31%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
186
Businesses Nearby
Explore this area
Business Placement
Demographics for 08844, NJ
43,333
Population
16,168
Households
2.7
Avg Household Size
42
Median Age
62%
College-Educated
96%
High-School Grad
55.2 sq mi
ZIP Area
785
Density / Sq Mi
$153,785
Median Household Income
$74,977
Median Earnings
$2,171
Median Rent
$537,300
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 units - 860 SF office condo in Hillsborough Twp., NJ for sale.
Where is this office units located?
The property is located at 491 Amwell Rd Hillsborough, NJ.
What is the asking price?
The asking price for this property is $249,000.
What are key features of this property?
This property features: Strategic location with easy access to major routes (206, Amwell, Hamilton).; Zoning (HOO District) ensures a professional environment.; Suitable for various professional uses including legal, accounting, financial services, consulting, and childcare/adult daycare.
