Mixed-Use Building with Grocery
For Sale
Under Contract
$725,000
721-725 State Street, Perth Amboy, NJ 08861
Commercial Sale, Perth Amboy, NJ
Property Size4,921 SF
Lot Size0.17 Acres
Price / SF$147.33
Days on Market1755
Property Features for 721-725 State Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C-1
Parking
5
Lot features
Business District
Directions
GPS to 721-725 State Street
Standard status
Active Under Contract
APN
160036000000000702
Size
4,921 SF
Lot size
0.17 Acres
Taxes and HOA fees
Tax Year
2020
Tax Annual Amount
14437
Utilities
Sewer type
Public Sewer
Heating system
Hot Water(Heating)
Water source
Public
Building Details
Year built
1931
Floors in Building
2
Building materials
Brick
Roof type
Flat
Listing Agency:
J.J. ELEK REALTY CO.
(732) 634-9100
Listed By:
Angel Soto
(732) 596-2118
Added: Nov 1, 2021
Changed: Aug 19
Last Checked: Aug 21 at 6:06AM
MLS# 2206205R
Copyright © 2026 All Jersey MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Well maintained brick mixed-use building on an approx. 75x100 lot, zoned C-1. The property includes one commercial space currently leased as a grocery store, three apartments, and an additional room, plus five garage spaces. The building was constructed in 1931 and features hot water heating, a flat roof, and public water and public sewer.
The property’s mixed income stream combines a ground-floor retail component with residential units, supported by the presence of the garage spaces on site. It presents a straightforward option for buyers seeking a brick, long-standing mixed-use asset with both commercial and residential components under the same roof.
The configuration supports everyday convenience for occupants and tenants, with the commercial space and apartments within a single well maintained structure.
The property’s mixed income stream combines a ground-floor retail component with residential units, supported by the presence of the garage spaces on site. It presents a straightforward option for buyers seeking a brick, long-standing mixed-use asset with both commercial and residential components under the same roof.
The configuration supports everyday convenience for occupants and tenants, with the commercial space and apartments within a single well maintained structure.
Key Highlights
- C‑1 zoned brick mixed‑use building with one commercial space leased as a grocery store
- Approx. 75x100 lot and 0.1687 acres
- Five garage spaces on site
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
$42,579
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
5.87%
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%
$851,580
$851.6K
Cap Rate 7%
$608,271
$608.3K
Cap Rate 9%
$473,100
$473.1K
Market Conditions
NOI Build-Up for 4,921 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
$77.9K $15.84/SF
− Vacancy
−$9.8K −$2.00/SF
EGI
$68.1K $13.84/SF
− OpEx
−$25.5K −$5.19/SF
NOI
$42.6K $8.65/SF
Area
Middlesex County, NJ
Vacancy
12.60%
Lease Rate
$15.84 /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%
$851,580
Cap Rate 7%
$608,271
Cap Rate 9%
$473,100
Alternative Uses
Best Use
Multifamily LT 5
$1.18M
$1.03M – $1.37M
NOI $82,359 @ 7.0% cap · market cap 11.36%
Second Best
Apartment 5plus
$1.08M
$945.9K – $1.26M
NOI $75,675 @ 7.0% cap · market cap 10.44%
Theoretical Best
Office A
$1.28M
$1.12M – $1.50M
NOI $89,948 @ 7.0% cap · market cap 12.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
528
Businesses Nearby
Explore this area
Business Placement
Demographics for 08861, NJ
58,039
Population
21,032
Households
2.8
Avg Household Size
35
Median Age
16%
College-Educated
70%
High-School Grad
5.1 sq mi
ZIP Area
11,380
Density / Sq Mi
$60,464
Median Household Income
$34,093
Median Earnings
$1,623
Median Rent
$340,900
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 - Brick mixed-use building in C-1 zoning with one leased grocery space, three apartments, and five garage spaces.
Where is this mixed-use property located?
The property is located at 721-725 State Street Perth Amboy, NJ.
What is the asking price?
The asking price for this property is $725,000.
What are key features of this property?
This property features: C‑1 zoned brick mixed‑use building with one commercial space leased as a grocery store; Approx. 75x100 lot and 0.1687 acres; Five garage spaces on site
