8th & Jefferson: For Sale!
Corner retail spot at 732 Jefferson in Hoboken for sale
Did you know that the location known as 732 Jefferson St. (at 8th & Jefferson) is for sale?
That’s right. For a mere $1.7 million bucks, an 1875 square foot sliver of Hoboken can be YOURS! The two businesses located there are The Blowout Zone (4 years left on lease), and one of the last remaining “dive bars” in Hoboken – DC’s Tavern (2 years left on lease). But is it worth it? See below for our armchair mathematics!
$1.7 mil only worth it if you REDEVELOP!
Let’s take a look at some numbers here.
This spot generates about $100k in rental revenue annually ($85k after overhead).
So that means that if you have the luxury of paying CASH in full – it would take at least a full 20 years to see a “return on your investment” (ROI). 100% insanity! And if you had to get a mortgage on the property, keeping the status quo would take 50 or more years to “get into the black.”
It’s obvious the property owner just wants a payday – and hopes an overly-optimistic developer will buy the property, wait four years to get the tenants out, and push for some kind of profitable upgrade.
Whether it’s more condos above (with street-level retail), or some other kind of revenue-generating upgrade is unknown in this city. Because some folks with grand dreams get crushed by the city, and other good businesses also leave Hoboken in frustration due to the psychopathic ineptitude over at the zoning and planning boards at city hall.
The listing agent is Keller Williams.
One thing for sure. If this property sells – that pretty much guarantees DC’s bar will be gone forever. Even if they keep retail on-board, the rent would likely triple – meaning that an old-fashioned watering hole could never survive.
Pack your bags, people – Hoboken is changing!