Our team has been recently hired to market a mixed-use opportunity on Kennedy Boulevard in West New York. We thought it would be a good time to look at how mixed-use properties have been performing along these corridors over the past 12 months.
Bergenline Avenue Corridor - West New York
Our survey of Bergenline Avenue contained 347 properties, 26 of which were included to report some form of vacancy. Many of the local and mom and pop stores along this corridor tend to attempt to lease many of their vacant units without the assistance of commercial real estate firms, increasing the reported vacancy of 4.8% to a much higher true number.
Reported rents for availability was reported to be $31.83/sf. The composition of buildings along Bergenline are your standard mixed-use buildings, with retail on the ground and residential/small office on the upper floors.
Recent storefront lease comps we included in our survey included;
6006 Bergeline Avenue - West New York
This 1,700 SF retail storefront leased on 8/19/2021 for a reported $4,500/month, or $31/sf. The property was on the market for 90 days.
6700 Bergenline Avenue - West New York
This 800 SF office space leased on 6/14/2021 for a reported $1,900/month, or $24/sf. The property was on the market for 26 days.
Kennedy Boulevard Corridor - West New York
Our survey of Kennedy Boulevard was drastically different. The corridor along Kennedy Boulevard in West New York that runs from 51st to 70th Street, equidistance to our survey along Bergenline Avenue, only contained 90 properties, 4 of which were included to report vacancy.
Reported rents for availability was reported to be 18.94/sf. Many of the buildings along Kennedy Blvd tend to be industrial warehouse, retail stores, commercial, or converted residential apartments.
Due to many of the redevelopment projects over the years in West New York, many smaller spaces have been assembled together which is why there are significantly more properties along Bergenline, where less redevelopment has occurred.
Vacancy rates tend to also be much higher along Kennedy Boulevard, as opposed to Bergenline, where the dense pedestrian walking traffic is conducive to higher retail sales which directly increase demand/rents for commercial property owners.
Historic vacancy rates along Kennedy Blvd have ranged between 8-14%.
The property expects to a yield a going-in cap rate north of 6.5%. Our seller has given us specific directions; find a motivated buyer who can close quick. More details to come in the coming week.
Any interested parties should reach out to us at TheMarmarouTeam@b6realestate.com
We hope everyone is having a great Labor Day Weekend, and are sending our best wishes to anyone affected by Hurricane Ida a speedy recovery.
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