Brooklyn Commercial Building For
For Sale
Contact for pricing
7409 Avenue U, Brooklyn, NY 11234
Commercial building in Brooklyn suitable for restaurant, medical, daycare, office.
Property Size2,650 SF
Lot Size0.09 Acres
Price / SF$528.30
Days on Market152
Property Features for 7409 Avenue U
General Information
Standard status
Active
Size
2,650 SF
Lot size
0.09 Acres
Property subtype
Retail
Building Details
Stories
1
Units
1
Listing Agency:
Bergen Basin Realty
(718) 763-4110
Listed By:
Kevin Stile · License #New York
Source:
Crexi
Added: Mar 24
Changed: Aug 8
Last Checked: Aug 8 at 2:33PM
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 Bergen Basin Realty
Investment Insights
Based on property information with market context.
This commercial building is located in the Bergen Beach section of Brooklyn. Currently used as an Italian restaurant with a monthly rent of $8,700, the building has housed a restaurant for decades. It can be delivered vacant, making it suitable for opening a high-end restaurant. The property, zoned R3-1, can also be used for medical space, a daycare center, office space, or retail. The lot size is 40x100, and the building size is 40x55, offering 2,650 square feet of space. The building includes central air conditioning and heat, plus a basement. There is potential to add another 360 square feet of space with the current buildable F.A.R.
Key Highlights
- High‑income potential with existing tenant paying $8,700 monthly.
- Versatile R3‑1 zoning allows for restaurant, medical, daycare, office, or retail use.
- Option to deliver vacant, ideal for opening a new restaurant.
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
$127,080
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
9.08%
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%
$2,541,600
$2.5M
Cap Rate 7%
$1,815,429
$1.8M
Cap Rate 9%
$1,412,000
$1.4M
Market Conditions
NOI Build-Up for 2,650 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
$206.1K $77.76/SF
− Vacancy
−$24.5K −$9.25/SF
EGI
$181.5K $68.51/SF
− OpEx
−$54.5K −$20.55/SF
NOI
$127.1K $47.95/SF
Area
Brooklyn, NY
Vacancy
11.90%
Lease Rate
$77.76 /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%
$2,541,600
Cap Rate 7%
$1,815,429
Cap Rate 9%
$1,412,000
Alternative Uses
Best Use
Specialty Retail
$2.19M
$1.92M – $2.56M
NOI $153,594 @ 7.0% cap · market cap 10.97%
Second Best
Retail
$1.82M
$1.59M – $2.12M
NOI $127,080 @ 7.0% cap · market cap 9.08%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
737
Businesses Nearby
33k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Groceries 72%
Shops & Services 28%
Key Food
Groceries
23,980 visits/mo
0.3 miles
Chase Bank
Shops & Services
9,330 visits/mo
0.4 miles
Demographics for 11234, NY
92,133
Population
35,167
Households
2.6
Avg Household Size
41
Median Age
39%
College-Educated
89%
High-School Grad
7.4 sq mi
ZIP Area
12,450
Density / Sq Mi
$94,434
Median Household Income
$55,206
Median Earnings
$1,771
Median Rent
$746,800
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?
Conventional restaurant - Commercial building in Brooklyn suitable for restaurant, medical, daycare, office.
Where is this conventional restaurant located?
The property is located at 7409 Avenue U Brooklyn, NY.
What is the asking price?
The asking price for this property is $1,400,000.
What are key features of this property?
This property features: High‑income potential with existing tenant paying $8,700 monthly.; Versatile R3‑1 zoning allows for restaurant, medical, daycare, office, or retail use.; Option to deliver vacant, ideal for opening a new restaurant.
