B-1 Shopping
For Sale
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509-513 W UNION AVE, Bound Brook, NJ 08805
Shopping center property with B-1 zoning and a 1960 construction date.
Property Size54,179 SF
Price / SF$188.26
Days on Market13
Property Features for 509-513 W UNION AVE
General Information
Standard status
Active
Size
54,179 SF
Total Parking Spaces
143
Property subtype
Retail
Zoning
B-1
Net Operating Income
$740,416
Building Details
Year Built
1960
Tenancy
Multi
Listing Agency:
Marcus & Millichap - New Jersey
(201) 742-6118
Listed By:
Vincent Pennino · License #2561244
Source:
Crexi
Added: Jul 30
Changed: Aug 10
Last Checked: Aug 10 at 3:44AM
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 Marcus & Millichap - New Jersey
Investment Insights
Based on property information with market context.
This shopping center property was constructed in 1960 and carries B-1 zoning. The property is identified at 509-513 W Union Ave in Bound Brook, New Jersey, within Somerset County. The recorded property size is 54,179.
Key Highlights
- 54,179 property size
- B‑1 zoning
- Constructed in 1960
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
$773,312
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
7.58%
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%
$15,466,240
$15.5M
Cap Rate 7%
$11,047,314
$11.0M
Cap Rate 9%
$8,592,356
$8.6M
Market Conditions
NOI Build-Up for 54,179 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
$1.17M $21.60/SF
− Vacancy
−$65.5K −$1.21/SF
EGI
$1.10M $20.39/SF
− OpEx
−$331.4K −$6.12/SF
NOI
$773.3K $14.27/SF
Area
Somerset County, NJ
Vacancy
5.60%
Lease Rate
$21.60 /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%
$15,466,240
Cap Rate 7%
$11,047,314
Cap Rate 9%
$8,592,356
Alternative Uses
Best Use
Retail
$11.05M
$9.67M – $12.89M
NOI $773,312 @ 7.0% cap · market cap 7.58%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$14.15M
$12.38M – $16.51M
NOI $990,305 @ 7.0% cap · market cap 9.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
632
Businesses Nearby
402k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Superstores 34%
Groceries 25%
Home Improvements & Furnishings 15%
Shops & Services 10%
Target
Superstores
138,250 visits/mo
0.4 miles
The Home Depot
Home Improvements & Furnishings
59,806 visits/mo
0.4 miles
Trader Joe's
Groceries
51,964 visits/mo
0.5 miles
ShopRite
Groceries
49,938 visits/mo
0.3 miles
Old Navy
Apparel
26,513 visits/mo
0.5 miles
Demographics for 08805, NJ
13,948
Population
5,524
Households
2.5
Avg Household Size
37
Median Age
33%
College-Educated
86%
High-School Grad
2.9 sq mi
ZIP Area
4,810
Density / Sq Mi
$84,201
Median Household Income
$41,874
Median Earnings
$1,859
Median Rent
$393,900
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Bridgewater Promenade — 119 Promenade Blvd, Bridgewater, NJ 08807
- Middlebrook Center — Unnamed Road, Bound Brook, NJ 08805
- Efinger Plaza — 509-513 W Union Ave, Bound Brook, NJ 08805
Frequently Asked Questions
What type of property is this?
Shopping center - Shopping center property with B-1 zoning and a 1960 construction date.
Where is this shopping center located?
The property is located at 509-513 W UNION AVE Bound Brook, NJ.
What is the asking price?
The asking price for this property is $10,200,000.
What are key features of this property?
This property features: 54,179 property size; B‑1 zoning; Constructed in 1960
