Mixed-Use Property with
For Sale
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861 Broadway, Brooklyn, NY 11206
Built in 1931, the property combines nine free-market units with a retail component.
Property Size8,250 SF
Price / SF$545.45
Days on Market90
Property Features for 861 Broadway
General Information
Standard status
Active
Size
8,250 SF
Property subtype
Mixed Use
Net Operating Income
$355,226
Additional Details
Corner Location
Yes
Multifamily Units
9
Building Details
Year Built
1931
Units
9
Listing Agency:
Matthews
Listed By:
DJ Johnston · License #10401229409
Source:
Crexi
Added: Jun 5
Changed: Aug 30
Last Checked: Aug 30 at 4:05PM
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 Matthews
Investment Insights
Based on property information with market context.
This mixed-use property at 861 Broadway combines nine free-market units with retail space in a building constructed in 1931. The asset presents a residential and commercial configuration within one property, with the retail component complementing the residential units.
Located in Brooklyn’s Bushwick area, the building occupies a corner position at Broadway. The property offers an established mixed-use format with both residential occupancy and a street-level commercial element.
Located in Brooklyn’s Bushwick area, the building occupies a corner position at Broadway. The property offers an established mixed-use format with both residential occupancy and a street-level commercial element.
Key Highlights
- Nine free‑market units plus retail space
- Corner property at 861 Broadway, Brooklyn, NY 11206
- Constructed in 1931
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
$395,625
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
8.79%
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%
$7,912,500
$7.9M
Cap Rate 7%
$5,651,786
$5.7M
Cap Rate 9%
$4,395,833
$4.4M
Market Conditions
NOI Build-Up for 8,250 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
$641.5K $77.76/SF
− Vacancy
−$76.3K −$9.25/SF
EGI
$565.2K $68.51/SF
− OpEx
−$169.6K −$20.55/SF
NOI
$395.6K $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%
$7,912,500
Cap Rate 7%
$5,651,786
Cap Rate 9%
$4,395,833
Alternative Uses
Best Use
Retail
$5.65M
$4.95M – $6.59M
NOI $395,625 @ 7.0% cap · market cap 8.79%
Second Best
Mixed Use
$4.28M
$3.74M – $4.99M
NOI $299,475 @ 7.0% cap · market cap 6.65%
Theoretical Best
Specialty Retail
$6.83M
$5.98M – $7.97M
NOI $478,170 @ 7.0% cap · market cap 10.63%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
9
Residential units
Location Intelligence
Trade Area within ½ mile
5,853
Businesses Nearby
Explore this area
Business Placement
Demographics for 11206, NY
91,549
Population
34,838
Households
2.6
Avg Household Size
30
Median Age
36%
College-Educated
77%
High-School Grad
1.4 sq mi
ZIP Area
65,392
Density / Sq Mi
$57,280
Median Household Income
$44,145
Median Earnings
$1,558
Median Rent
$822,100
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 - Built in 1931, the property combines nine free-market units with a retail component.
Where is this mixed-use property located?
The property is located at 861 Broadway Brooklyn, NY.
What is the asking price?
The asking price for this property is $4,500,000.
What are key features of this property?
This property features: Nine free‑market units plus retail space; Corner property at 861 Broadway, Brooklyn, NY 11206; Constructed in 1931
