Mixed-Use Property with Rooftop
For Sale
$1,100,000
728 Asbury Avenue, Ocean City, NJ 08226
City-approved plans call for two residential units and ground-level commercial space suitable for retail or restaurant use.
Property Size4,988 SF
Price / SF$220.53
Days on Market546
Property Features for 728 Asbury Avenue
General Information
Standard status
Active
Size
4,988 SF
Property subtype
MULTI-FAMILY / Other
Taxes and HOA fees
Annual Taxes
$6,443
Amenities
Forced Air, Gas-Natural
Central
Shared
Deck, Sidewalks
Building Details
Year Built
1925
Units
3
Listing Agency:
KELLER WILLIAMS REALTY ATLANTIC SHORE-Northfield
(609) 444-9997
Listed By:
Priscilla Easmael · License #2293869
(609) 444-9997
Source:
Compass
Added: Mar 2, 2025
Changed: Aug 29
Last Checked: Aug 29 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 KELLER WILLIAMS REALTY ATLANTIC SHORE-Northfield
Investment Insights
Based on property information with market context.
This mixed-use property at 728 Asbury Avenue is offered with city-approved architectural plans for a combined residential and commercial redevelopment. The planned layout includes two residential living units measuring 1,800 square feet and 1,700 square feet, along with 1,600 square feet of ground-level commercial space. Retail or restaurant use is identified for the commercial component.
A shared rooftop deck is included in the plans, providing an outdoor amenity for the residential and commercial occupants. The property also has sidewalks and was originally built in 1925. Central heating and gas-natural forced air are listed among the interior features.
A shared rooftop deck is included in the plans, providing an outdoor amenity for the residential and commercial occupants. The property also has sidewalks and was originally built in 1925. Central heating and gas-natural forced air are listed among the interior features.
Key Highlights
- City‑approved architectural plans included
- Two planned residential units: 1,800 SF and 1,700 SF
- 1,600 SF of planned ground‑level commercial space
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
$73,832
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
6.71%
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%
$1,476,640
$1.5M
Cap Rate 7%
$1,054,743
$1.1M
Cap Rate 9%
$820,356
$820.4K
Market Conditions
NOI Build-Up for 4,988 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
$110.7K $22.20/SF
− Vacancy
−$5.3K −$1.05/SF
EGI
$105.5K $21.15/SF
− OpEx
−$31.6K −$6.34/SF
NOI
$73.8K $14.80/SF
Area
Cape May County, NJ
Vacancy
4.75%
Lease Rate
$22.20 /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%
$1,476,640
Cap Rate 7%
$1,054,743
Cap Rate 9%
$820,356
Alternative Uses
Best Use
Multifamily LT 5
$1.05M
$922.9K – $1.23M
NOI $73,832 @ 7.0% cap · market cap 6.71%
Second Best
Apartment 5plus
$969.5K
$848.3K – $1.13M
NOI $67,866 @ 7.0% cap · market cap 6.17%
Theoretical Best
Office A
$1.53M
$1.34M – $1.78M
NOI $106,879 @ 7.0% cap · market cap 9.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,627
Businesses Nearby
Explore this area
Business Placement
Demographics for 08226, NJ
11,229
Population
20,905
Households
0.5
Avg Household Size
57
Median Age
55%
College-Educated
97%
High-School Grad
6.8 sq mi
ZIP Area
1,651
Density / Sq Mi
$101,782
Median Household Income
$54,323
Median Earnings
$1,670
Median Rent
$719,100
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 - City-approved plans call for two residential units and ground-level commercial space suitable for retail or restaurant use.
Where is this mixed-use property located?
The property is located at 728 Asbury Avenue Ocean City, NJ.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: City‑approved architectural plans included; Two planned residential units: 1,800 SF and 1,700 SF; 1,600 SF of planned ground‑level commercial space
