Highway Commercial Property with
For Sale
$499,000
949 US Highway 206, Bordentown, NJ 08505
1.6-acre property with permitted residential use and commercial zoning.
Property Size2,138 SF
Lot Size1.60 Acres
Days on Market155
Property Features for 949 US Highway 206
General Information
Standard status
Active
Size
2,138 SF
Total Parking Spaces
4
Lot size
1.60 Acres
Zoning
HC
Taxes and HOA fees
Annual Taxes
$9,137
Amenities
Central Air
Baseboard, Hot Water, Natural Gas
Trees/Woods
Building Details
Building Size
2,138 SF
Year Built
1960
Listing Agency:
Smires & Associates
(609) 658-3593
Listed By:
Donna Fera · License #1864044
(609) 658-3593
Source:
Evrealestate
Added: Mar 10
Changed: Aug 8
Last Checked: Jul 16 at 4:45AM
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 Smires & Associates
Investment Insights
Based on property information with market context.
This 1.6-acre property offers a blend of convenience and tranquility, located close to essential amenities while providing a peaceful environment. A winding driveway leads from the main road through a park-like landscape to a single-family residence positioned at the rear of the lot, ensuring privacy. Zoned highway commercial, the residence is a pre-existing permitted use. The highway commercial zone permits a wide range of office and retail uses. The custom-built ranch home includes 3 bedrooms, 2 full baths, a dining room, kitchen, and a large living room area with a full wall of windows offering natural light and views of the scenery. A bonus room, measuring 23 x 8, could serve as an office with a private entrance from the back porch. The property also features a full basement with bilco doors for backyard access. The back porch offers privacy and views of the natural open woods and tree setting. The seller obtained a CO from Bordentown Township for leasing the property from 2005 through 2026 as a residential lease. This is an As-Is Sale.
Key Highlights
- Expansive 1.6‑acre lot providing exceptional privacy.
- Zoned highway commercial with pre‑existing permitted residential use, offering potential for business or commercial ventures.
- Custom‑built ranch home with 3 bedrooms and 2 full baths.
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
$31,972
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
6.41%
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%
$639,440
$639.4K
Cap Rate 7%
$456,743
$456.7K
Cap Rate 9%
$355,244
$355.2K
Market Conditions
NOI Build-Up for 2,138 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
$48.0K $22.44/SF
− Vacancy
−$2.3K −$1.08/SF
EGI
$45.7K $21.36/SF
− OpEx
−$13.7K −$6.41/SF
NOI
$32.0K $14.95/SF
Area
Burlington County, NJ
Vacancy
4.80%
Lease Rate
$22.44 /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%
$639,440
Cap Rate 7%
$456,743
Cap Rate 9%
$355,244
Alternative Uses
Best Use
Retail
$456.7K
$399.7K – $532.9K
NOI $31,972 @ 7.0% cap · market cap 6.41%
Second Best
Office B
$274.0K
$239.8K – $319.7K
NOI $19,180 @ 7.0% cap · market cap 3.84%
Theoretical Best
Warehouse
$4.47M
$3.91M – $5.22M
NOI $313,011 @ 7.0% cap · market cap 62.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
298
Businesses Nearby
Explore this area
Business Placement
Demographics for 08505, NJ
18,178
Population
7,792
Households
2.3
Avg Household Size
43
Median Age
43%
College-Educated
96%
High-School Grad
22.5 sq mi
ZIP Area
808
Density / Sq Mi
$111,946
Median Household Income
$65,422
Median Earnings
$1,586
Median Rent
$353,200
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?
Commercial land - 1.6-acre property with permitted residential use and commercial zoning.
Where is this commercial land located?
The property is located at 949 US Highway 206 Bordentown, NJ.
What is the asking price?
The asking price for this property is $499,000.
What are key features of this property?
This property features: Expansive 1.6‑acre lot providing exceptional privacy.; Zoned highway commercial with pre‑existing permitted residential use, offering potential for business or commercial ventures.; Custom‑built ranch home with 3 bedrooms and 2 full baths.
