Mixed-Use
For Sale
$2,243,000
542 Newark Ave, Jersey City, NJ 07306
Mixed-use property located at 542 Newark Avenue in Jersey City.
Property Size5,500 SF
Days on Market46
Property Features for 542 Newark Ave
General Information
Standard status
Active
Size
5,500 SF
Property subtype
Mixed-Use
Occupancy
100%
Additional Details
Cap Rate
6.15%
Amenities
Property Consists of Five Units: Four Residential Apartments and One Commercial Unit
No Rent Control
All Separate Utilities Responsibility of Tenants
Building Details
Building Size
5,500 SF
Units
5
Listing Agency:
Marcus & Millichap - New Jersey
(201) 742-6118
Listed By:
Alan Cafiero · License #License(s): NJ: 0791092
(201) 742-6118
Source:
Marcusmillichap
Added: Jul 17
Changed: Aug 30
Last Checked: Aug 30 at 10:54PM
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 mixed-use property is located at 542 Newark Avenue in Jersey City, Hudson County, New Jersey. The address is within the 07306 ZIP code.
Key Highlights
- 542 Newark Avenue, Jersey City, NJ 07306
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
$108,415
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
4.83%
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%
$2,168,300
$2.2M
Cap Rate 7%
$1,548,786
$1.5M
Cap Rate 9%
$1,204,611
$1.2M
Market Conditions
NOI Build-Up for 5,500 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
$155.1K $28.20/SF
− Vacancy
−$10.5K −$1.92/SF
EGI
$144.6K $26.28/SF
− OpEx
−$36.1K −$6.57/SF
NOI
$108.4K $19.71/SF
Area
Jersey City, NJ
Vacancy
6.80%
Lease Rate
$28.20 /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%
$2,168,300
Cap Rate 7%
$1,548,786
Cap Rate 9%
$1,204,611
Alternative Uses
Best Use
Specialty Retail
$1.55M
$1.36M – $1.81M
NOI $108,415 @ 7.0% cap · market cap 4.83%
Second Best
Mixed Use
$1.31M
$1.15M – $1.53M
NOI $91,765 @ 7.0% cap · market cap 4.09%
Theoretical Best
Multifamily LT 5
$1.78M
$1.56M – $2.08M
NOI $124,823 @ 7.0% cap · market cap 5.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,684
Businesses Nearby
56k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 64%
Dining 36%
7-Eleven
Shops & Services
16,621 visits/mo
0.3 miles
Dunkin' Donuts
Dining
13,894 visits/mo
0.3 miles
Chase Bank
Shops & Services
11,854 visits/mo
0.5 miles
Dunkin' Donuts
Dining
4,354 visits/mo
0.3 miles
PNC Bank
Shops & Services
4,183 visits/mo
0.5 miles
Demographics for 07306, NJ
55,342
Population
24,770
Households
2.2
Avg Household Size
34
Median Age
50%
College-Educated
87%
High-School Grad
3.0 sq mi
ZIP Area
18,447
Density / Sq Mi
$75,861
Median Household Income
$49,522
Median Earnings
$1,619
Median Rent
$502,600
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 - Mixed-use property located at 542 Newark Avenue in Jersey City.
Where is this mixed-use property located?
The property is located at 542 Newark Ave Jersey City, NJ.
What is the asking price?
The asking price for this property is $2,243,000.
What are key features of this property?
This property features: 542 Newark Avenue, Jersey City, NJ 07306
