Commercial Property Approved for
For Sale
$2,000,000
804 Route 9 S, Cape May Court House, NJ 08210
SINGLE_FAMILY - Cape May Court House, NJ
Property Size7,000 SF
Lot Size1.28 Acres
Price / SF$285.71
Days on Market961
Property Features for 804 Route 9 S
General Information
Property type
Residential
Property subtype
Office
Zoning
Town Bus.
Rooms
Office
Security features
Security Lighting
Exterior features
Security Light/System
Lot features
Mainland, Highway
Subdivision
Cape May Court House
Standard status
Active
Size
7,000 SF
Lot size
1.28 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
22372
Utilities
Heating system
Natural Gas
Cooling system
Central Air
Building Details
Year built
2001
Number of units
4
Flooring type
Linoleum, Carpet - Full
Listing Agency:
Coldwell Banker James C Otton Real Estate
(609) 368-2000
Listed By:
George L. DeLollis · License #7936914
(609) 425-9262
Added: Jan 4, 2024
Changed: Jul 6
Last Checked: Aug 22 at 11:06PM
MLS# 240033
Copyright © 2026 Cape May County Association of Realtors. 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.
This commercial property, situated on 1.28 acres, presents a rare opportunity for conversion into nine residential rental units. The property includes the existing structure, grounds, and parking, along with township approvals for the conversion. The building spans over 7,000 square feet and provides more than adequate parking spaces. Its location offers convenient access to the Garden State Parkway, situated in a desirable area.
Key Highlights
- Existing commercial property approved for conversion to 9 residential rental units
- Building size over 7,000 sq ft with structure, grounds, and parking included
- Set on 1.28 acres with more than adequate parking spaces
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
$95,241
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
4.76%
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%
$1,904,820
$1.9M
Cap Rate 7%
$1,360,586
$1.4M
Cap Rate 9%
$1,058,233
$1.1M
Market Conditions
NOI Build-Up for 7,000 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
$182.3K $26.04/SF
− Vacancy
−$9.1K −$1.30/SF
EGI
$173.2K $24.74/SF
− OpEx
−$77.9K −$11.13/SF
NOI
$95.2K $13.61/SF
Area
Cape May County, NJ
Vacancy
5.00%
Lease Rate
$26.04 /SF/Yr
Expense Ratio
45.00%
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%
$1,904,820
Cap Rate 7%
$1,360,586
Cap Rate 9%
$1,058,233
Alternative Uses
Best Use
Apartment 5plus
$1.36M
$1.19M – $1.59M
NOI $95,241 @ 7.0% cap · market cap 4.76%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.14M
$1.87M – $2.50M
NOI $149,990 @ 7.0% cap · market cap 7.50%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
9
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
192
Businesses Nearby
Explore this area
Business Placement
Demographics for 08210, NJ
17,635
Population
8,374
Households
2.1
Avg Household Size
47
Median Age
33%
College-Educated
93%
High-School Grad
68.5 sq mi
ZIP Area
257
Density / Sq Mi
$93,855
Median Household Income
$48,086
Median Earnings
$1,538
Median Rent
$337,700
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?
Apartment building - Commercial property with approvals for conversion to residential rental units.
Where is this apartment building located?
The property is located at 804 Route 9 S Cape May Court House, NJ.
What is the asking price?
The asking price for this property is $2,000,000.
What are key features of this property?
This property features: Existing commercial property approved for conversion to 9 residential rental units; Building size over 7,000 sq ft with structure, grounds, and parking included; Set on 1.28 acres with more than adequate parking spaces
