Sell a Mixed-Use Building
Mixed-Use Building Sales
Mixed-Use Building Sales
in Brooklyn & Queens.
Most mixed-use buildings sell for less than they're worth — because the broker only knew how to price one side of the deal. The residential income, the retail lease, the unused FAR, the upside if the ground floor converts — all of it has to be in the underwriting and in the buyer pitch. That's what I do.
Investor Demand for Mixed-Use Assets
Strong demandFree-market residential above retail
Premium pricingDual income stream commands premium
1031 exchangeHighly sought for exchange buyers
Developer interestGround floor conversion & air rights
Valuation Methods for Mixed-Use
Income approachNOI ÷ cap rate = value
Commercial lease analysisLease term, rent, use
Residential incomePro forma market rents
Development valueAir rights + zoning upside
What Makes Mixed-Use Buildings Complex — And Why It Matters
A mixed-use building has two distinct income streams, two sets of tenants, and two valuation frameworks. Generalist brokers often present only the residential value. We present both — and identify which buyer type will pay the highest price for the building’s specific configuration.
- Complete retail lease analysis — term, rent, and tenant quality
- If short-term leases exist, we analyze the pro forma retail and residential rent in the market
- Air rights analysis — unused FAR is frequently significant
- Ground floor conversion potential and zoning review
- Positioned to retail-to-residential conversion buyers when applicable
In mixed-use sales, value comes from reaching the buyer who can underwrite both the current income and the upside.