Building Details

Building Size 2,600 SF

Listing Agency: Keller Williams Realty Show Phone

Listed By: Craig Pelsue Show Phone

Source: Mahlerrealty

Added: Dec 22, 2025 Changed: Sep 8 Last Checked: Sep 4 at 8:14AM

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Investment Insights

Based on property information with market context.

This is a 2600 SF restaurant space that is not currently operating and will need a new Certificate of Occupancy. The location is ready to be opened. It features off-street parking for over 25 vehicles. Hoods and stovetops have been cleaned, and a recent fire inspection has been completed. Additional seating is available on a 1,000 SF patio area. The property includes an ADA-compliant restroom and a separate banquet area.

Key Highlights

• 2600 SF Restaurant Space in a Fabulous Location
• Off‑street parking for over 25 vehicles
• Includes Hoods and Stovetops (Recently Cleaned and Fire Inspector Approved)

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

$22,604

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

5.32%

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%

$452,080 $452.1K

Cap Rate 7%

$322,914 $322.9K

Cap Rate 9%

$251,156 $251.2K

Market Conditions

NOI Build-Up for 2,600 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

$31.2K $12.00/SF

− Vacancy

−$1.1K −$0.41/SF

EGI

$30.1K $11.59/SF

− OpEx

−$7.5K −$2.90/SF

NOI

$22.6K $8.69/SF

Area

Orange County, NY

Vacancy

3.40%

Lease Rate

$12.00 /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%

$452,080

Cap Rate 7%

$322,914

Cap Rate 9%

$251,156

Alternative Uses

Best Use

Specialty Retail

$322.9K

$282.6K – $376.7K (±1% cap)

NOI $22,604 @ 7.0% cap · market cap 5.32%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$880.6K

$770.5K – $1.03M (±1% cap)

NOI $61,641 @ 7.0% cap · market cap 14.50%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Conventional restaurants

Suggested Use

Top Pick (Bike/Boat/Book/etc) Store Restaurant Electrical Service Daycare Center Building Supply Bed & Breakfast

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

21

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 10930, NY

9,331

Population

3,647

Households

2.6

Avg Household Size

39

Median Age

48%

College-Educated

95%

High-School Grad

16.0 sq mi

ZIP Area

583

Density / Sq Mi

$141,893

Median Household Income

$62,878

Median Earnings

$1,890

Median Rent

$399,700

Median Home Value

Market

Vacancy Rate% for Retail in Northeast region

6% 2019

7.1% 2020

6.5% 2021

6% 2022

5.7% 2023

5.6% 2024

6% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this conventional restaurants located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Conventional restaurant - 2600 SF restaurant with parking and patio.

Where is this conventional restaurant located?

The property is located at 923 State Route 32 Highland Mills, NY.

What is the asking price?

The asking price for this property is $425,000.

What are key features of this property?

This property features: 2600 SF Restaurant Space in a Fabulous Location; Off‑street parking for over 25 vehicles; Includes Hoods and Stovetops (Recently Cleaned and Fire Inspector Approved)