Downtown Melbourne Mixed-Use
For Sale
Contact for pricing
Pending
604 E New Haven Avenue, Melbourne, FL 32901
Mixed-use property in Downtown Melbourne with owner financing available.
Property Size4,160 SF
Days on Market721
Property Features for 604 E New Haven Avenue
General Information
Standard status
Pending
Size
4,160 SF
Class
B
Property subtype
Mixed Use
Zoning
C3
Occupancy
100%
Building Details
Year Built
1954
Year Renovated
2012
Stories
1
Units
2
Listing Agency:
Engel & Völkers New Smyrna Beach
(386) 213-6899
Listed By:
Garat Oates · License #FL63024929
Source:
Crexi
Added: Sep 8, 2024
Changed: Aug 15
Last Checked: Aug 14 at 7:21AM
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 Engel & Völkers New Smyrna Beach
Investment Insights
Based on property information with market context.
Located in Downtown Melbourne, this mixed-use property offers approximately 4,160 square feet of space. The block construction building is currently configured with 12 offices, a large reception area, and ample storage. The property is suitable for a multitude of uses, including retail, professional services, medical offices, or a bar/restaurant. The property includes two buildings with separate entrances, allowing for multi-tenant occupancy. A side drive provides on-site parking or an outdoor seating area. Owner financing is available with 30% down, a 5-year balloon, and 7% interest. The property is positioned within walking distance of downtown events, shops, restaurants, and bars.
Key Highlights
- Priced $245k below market value and lowest price per sq. ft. in Downtown Melbourne.
- Seller financing available: 30% down, 5‑year balloon, 7% interest.
- Prime Downtown Melbourne location near shops, restaurants, bars, and events.
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
$48,266
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
6.04%
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%
$965,320
$965.3K
Cap Rate 7%
$689,514
$689.5K
Cap Rate 9%
$536,289
$536.3K
Market Conditions
NOI Build-Up for 4,160 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
$84.9K $20.40/SF
− Vacancy
−$7.6K −$1.84/SF
EGI
$77.2K $18.56/SF
− OpEx
−$29.0K −$6.96/SF
NOI
$48.3K $11.60/SF
Area
Brevard County, FL
Vacancy
9.00%
Lease Rate
$20.40 /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%
$965,320
Cap Rate 7%
$689,514
Cap Rate 9%
$536,289
Alternative Uses
Best Use
Mixed Use
$689.5K
$603.3K – $804.4K
NOI $48,266 @ 7.0% cap · market cap 6.04%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.10M
$960.3K – $1.28M
NOI $76,827 @ 7.0% cap · market cap 9.62%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,230
Businesses Nearby
Explore this area
Business Placement
Demographics for 32901, FL
26,286
Population
13,241
Households
2
Avg Household Size
46
Median Age
31%
College-Educated
90%
High-School Grad
12.1 sq mi
ZIP Area
2,172
Density / Sq Mi
$50,646
Median Household Income
$31,929
Median Earnings
$1,349
Median Rent
$244,500
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property in Downtown Melbourne with owner financing available.
Where is this mixed-use property located?
The property is located at 604 E New Haven Avenue Melbourne, FL.
What is the asking price?
The asking price for this property is $799,000.
What are key features of this property?
This property features: Priced $245k below market value and lowest price per sq. ft. in Downtown Melbourne.; Seller financing available: 30% down, 5‑year balloon, 7% interest.; Prime Downtown Melbourne location near shops, restaurants, bars, and events.
