Office Building with Full
For Sale
$400,000
891 Parkway Ave, Ewing, NJ 08618
Professional office property with handicap access, private parking, and flexible upper-level functionality.
Property Size1,924 SF
Price / SF$207.90
Days on Market17
Property Features for 891 Parkway Ave
General Information
Standard status
Active
Size
1,924 SF
Amenities
handicap accessible
Tesla solar roof
full basement
additional storage areas
full kitchen
full bathroom
Building Details
Year Built
1955
Listing Agency:
HomeSmart First Advantage Realty
Listed By:
Jessica Johnson · License #3190780
Source:
Premierehomegroup
Added: Aug 13
Changed: Aug 28
Last Checked: Aug 28 at 1:13PM
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 HomeSmart First Advantage Realty
Investment Insights
Based on property information with market context.
Built in 1955, this office property is currently arranged for professional business use and includes a full basement plus additional storage areas. The building also offers handicap accessibility and private parking for employees, clients, and visitors.
The upper level retains a full kitchen and full bathroom from its prior apartment configuration. It may be adaptable for residential or mixed-use functionality, subject to applicable zoning and approvals. A Tesla solar roof approximately 5 years old and siding completed last year add notable building improvements.
The upper level retains a full kitchen and full bathroom from its prior apartment configuration. It may be adaptable for residential or mixed-use functionality, subject to applicable zoning and approvals. A Tesla solar roof approximately 5 years old and siding completed last year add notable building improvements.
Key Highlights
- Full basement and additional storage areas
- Upper level includes a full kitchen and full bathroom from prior apartment use
- Handicap accessible with private parking
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
$17,261
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
4.32%
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%
$345,220
$345.2K
Cap Rate 7%
$246,586
$246.6K
Cap Rate 9%
$191,789
$191.8K
Market Conditions
NOI Build-Up for 1,924 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
$25.9K $13.44/SF
− Vacancy
−$2.8K −$1.48/SF
EGI
$23.0K $11.96/SF
− OpEx
−$5.8K −$2.99/SF
NOI
$17.3K $8.97/SF
Area
Mercer County, NJ
Vacancy
11.00%
Lease Rate
$13.44 /SF/Yr
Expense Ratio
25.00%
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%
$345,220
Cap Rate 7%
$246,586
Cap Rate 9%
$191,789
Alternative Uses
Best Use
Office B
$246.6K
$215.8K – $287.7K
NOI $17,261 @ 7.0% cap · market cap 4.32%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$619.0K
$541.7K – $722.2K
NOI $43,332 @ 7.0% cap · market cap 10.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
406
Businesses Nearby
Explore this area
Business Placement
Demographics for 08618, NJ
37,544
Population
15,284
Households
2.5
Avg Household Size
34
Median Age
24%
College-Educated
86%
High-School Grad
5.9 sq mi
ZIP Area
6,363
Density / Sq Mi
$48,179
Median Household Income
$33,040
Median Earnings
$1,117
Median Rent
$211,800
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Professional office property with handicap access, private parking, and flexible upper-level functionality.
Where is this office building located?
The property is located at 891 Parkway Ave Ewing, NJ.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: Full basement and additional storage areas; Upper level includes a full kitchen and full bathroom from prior apartment use; Handicap accessible with private parking
