Mixed-Use Building with Retail
For Sale
$999,000
89 Market St, Paterson, NJ 07505
Five-unit building with a long-standing liquor store/bar on the ground floor and four apartments above.
Property Size4,744 SF
Price / SF$210.58
Days on Market132
Property Features for 89 Market St
General Information
Standard status
Active
Size
4,744 SF
Property subtype
Commercial
Additional Details
Multifamily Units
4
Taxes and HOA fees
Annual Taxes
$18,545
Amenities
Central air
4+ Units Heating
Baseboard - Hotwater Heating
Flat Roof
Level Lot
Rubberized Roof
Wall A/C Unit(s) Cooling
Building Details
Year Built
1910
Listing Agency:
SERHANT NEW JERSEY LLC
(973) 315-5959
Listed By:
RYAN PALIANTO
(973) 461-3118
Source:
Corcoran
Added: Apr 30
Changed: Sep 8
Last Checked: Sep 8 at 8:37AM
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 SERHANT NEW JERSEY LLC
Investment Insights
Based on property information with market context.
This five-unit mixed-use building includes a long-standing liquor store/bar on the ground floor, with residential apartments above. The upper level consists of four units: two 2-bedroom apartments and two 1-bedroom apartments. As of 4/1/2026, one of the 2-bedroom apartments will be vacant, creating an opportunity for renovation and immediate re-leasing as referenced in the remarks (targeting $1,600). One of the remaining residential units has already been updated, while the others present value-add potential. All separate utilities are noted, and the building layout is described as efficient. The property is being sold strictly as-is.
The retail/bar space is described as having strong visibility along Market Street. WalkScore is reported at 82 (very walkable), BikeScore at 52 (bikeable), and TransitScore at 61 (good transit), supporting day-to-day convenience for residents and customers in the area.
The retail/bar space is described as having strong visibility along Market Street. WalkScore is reported at 82 (very walkable), BikeScore at 52 (bikeable), and TransitScore at 61 (good transit), supporting day-to-day convenience for residents and customers in the area.
Key Highlights
- 5‑unit mixed‑use building built in 1910 with liquor store/bar on the ground floor and 4 apartments above
- 2‑bed and 1‑bed unit mix: two 2‑bedroom apartments and two 1‑bedroom apartments
- One 2‑bedroom apartment will be vacant as of 4/1/2026, with noted ability to rent for $1,600
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
$72,953
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
7.30%
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%
$1,459,060
$1.5M
Cap Rate 7%
$1,042,186
$1.0M
Cap Rate 9%
$810,589
$810.6K
Market Conditions
NOI Build-Up for 4,744 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
$142.3K $30.00/SF
− Vacancy
−$9.7K −$2.04/SF
EGI
$132.6K $27.96/SF
− OpEx
−$59.7K −$12.58/SF
NOI
$73.0K $15.38/SF
Area
Paterson, NJ
Vacancy
6.80%
Lease Rate
$30.00 /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%
$1,459,060
Cap Rate 7%
$1,042,186
Cap Rate 9%
$810,589
Alternative Uses
Best Use
Apartment 5plus
$1.04M
$911.9K – $1.22M
NOI $72,953 @ 7.0% cap · market cap 7.30%
Second Best
Specialty Retail
$1.04M
$906.9K – $1.21M
NOI $72,549 @ 7.0% cap · market cap 7.26%
Theoretical Best
Office A
$1.24M
$1.08M – $1.45M
NOI $86,713 @ 7.0% cap · market cap 8.68%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
Location Intelligence
Trade Area within ½ mile
3,364
Businesses Nearby
Explore this area
Business Placement
Demographics for 07505, NJ
3,215
Population
1,692
Households
1.9
Avg Household Size
38
Median Age
12%
College-Educated
71%
High-School Grad
0.2 sq mi
ZIP Area
16,075
Density / Sq Mi
$33,311
Median Household Income
$33,520
Median Earnings
$1,113
Median Rent
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 - Five-unit building with a long-standing liquor store/bar on the ground floor and four apartments above.
Where is this mixed-use property located?
The property is located at 89 Market St Paterson, NJ.
What is the asking price?
The asking price for this property is $999,000.
What are key features of this property?
This property features: 5‑unit mixed‑use building built in 1910 with liquor store/bar on the ground floor and 4 apartments above; 2‑bed and 1‑bed unit mix: two 2‑bedroom apartments and two 1‑bedroom apartments; One 2‑bedroom apartment will be vacant as of 4/1/2026, with noted ability to rent for $1,600
