Mixed-Use Property with
For Sale
$1,798,000
Pending
6118 5th Avenue, Brooklyn, NY 11220
Two three-bedroom apartments accompany a street-level commercial space.
Property Size2,970 SF
Days on Market163
Property Features for 6118 5th Avenue
General Information
Standard status
Pending
Size
2,970 SF
Property subtype
Mixed Use
Net Operating Income
$95,593
Taxes and HOA fees
Annual Taxes
$10,207
Amenities
110 V
Hardwood, Linoleum
3
Cellar
Stone
Brick
Intercom
Other
Building Details
Year Built
1925
Listing Agency:
RE/MAX Edge
(718) 612-3088
Listed By:
Leonid Sklyar · License #skl439
(718) 612-3088
Source:
Compass
Added: Mar 23
Changed: Aug 31
Last Checked: Aug 31 at 1:38AM
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 RE/MAX Edge
Investment Insights
Based on property information with market context.
This 2,970-square-foot mixed-use building combines a ground-floor retail area with two three-bedroom residential apartments. The apartments are currently occupied by the owners and are intended to be vacant at closing, while the commercial component has one year remaining on its lease. The property includes a cellar, brick construction, intercom service, and interiors finished with hardwood and linoleum flooring.
Built in 1925, the property is located at 6118 5th Avenue in Brooklyn’s Sunset Park. It sits near 8th Avenue Chinatown and schools, placing residential and commercial space within an established neighborhood setting. The configuration supports continued separation between the retail and residential components, subject to applicable requirements.
Built in 1925, the property is located at 6118 5th Avenue in Brooklyn’s Sunset Park. It sits near 8th Avenue Chinatown and schools, placing residential and commercial space within an established neighborhood setting. The configuration supports continued separation between the retail and residential components, subject to applicable requirements.
Key Highlights
- 2,970 SF mixed‑use building with retail and residential components
- Two three‑bedroom apartments delivered vacant at closing
- Ground‑floor retail space with one year remaining on the lease
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
$88,431
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
4.92%
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%
$1,768,620
$1.8M
Cap Rate 7%
$1,263,300
$1.3M
Cap Rate 9%
$982,567
$982.6K
Market Conditions
NOI Build-Up for 2,970 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
$131.9K $44.40/SF
− Vacancy
−$5.5K −$1.86/SF
EGI
$126.3K $42.54/SF
− OpEx
−$37.9K −$12.76/SF
NOI
$88.4K $29.77/SF
Area
ZIP 11220
Vacancy
4.20%
Lease Rate
$44.40 /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%
$1,768,620
Cap Rate 7%
$1,263,300
Cap Rate 9%
$982,567
Alternative Uses
Best Use
Multifamily LT 5
$1.26M
$1.11M – $1.47M
NOI $88,431 @ 7.0% cap · market cap 4.92%
Second Best
Mixed Use
$1.17M
$1.02M – $1.37M
NOI $81,972 @ 7.0% cap · market cap 4.56%
Theoretical Best
Office A
$1.93M
$1.68M – $2.25M
NOI $134,776 @ 7.0% cap · market cap 7.50%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
6,453
Businesses Nearby
Explore this area
Business Placement
Demographics for 11220, NY
105,797
Population
30,897
Households
3.4
Avg Household Size
35
Median Age
25%
College-Educated
62%
High-School Grad
1.7 sq mi
ZIP Area
62,234
Density / Sq Mi
$64,201
Median Household Income
$31,489
Median Earnings
$1,688
Median Rent
$1,021,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Two three-bedroom apartments accompany a street-level commercial space.
Where is this mixed-use property located?
The property is located at 6118 5th Avenue Brooklyn, NY.
What is the asking price?
The asking price for this property is $1,798,000.
What are key features of this property?
This property features: 2,970 SF mixed‑use building with retail and residential components; Two three‑bedroom apartments delivered vacant at closing; Ground‑floor retail space with one year remaining on the lease
