2024 Queens Mixed-Use/Retail Market Report

Current Market Inventory

• There are 98 mixed-use/retail listings currently on the market for sale, with an average asking price of $469 per square foot.

• The current overall market asking rent for residential free-market units is $48 per square foot, and the current overall market asking rent for retail units is $60 per square foot.

• The majority of available inventory is in Ridgewood, with approximately 43 listings.

Queens, NY Demographics

• Unemployment Rate: 4.6%

• Current Population: 2,252,196

• Households: 828,230

• Median Household Income: $40.5K

Queens Mixed-Use/Retail Market Overview

In 2024, the mixed-use market in Queens saw a surge in owner-user buyers, particularly among corner store operators seeking larger spaces. These buyers were drawn to the additional rental income from upper-floor units, while developers aggressively pursued well-located retail assets, especially those with significant air rights.

• A total of 68 mixed-use properties were sold in 2024, generating $117.78 million in transaction volume—a 21.87% decline in total sales volume and a 2.24% drop in transaction count compared to 2023.

• A total of 20 retail properties were sold in 2024. This generated $105.12 million in transaction volume—a 39.2%increase in total sales volume and an 81.8% increase in transaction count compared to 2023.

• The average transaction size was $1.73 million for mixed-use properties.

• The average transaction size was $5.25 million for retail properties.

• The average price per square foot was $461 for mixed-use properties and $804 for retail properties.

Key Takeaways from 2024

Unit Count Matters

Buyer trends in 2024 revealed a strong preference for buildings with five or fewer residential units and a ground-floor retail space. Of the 67 transactions, 59 involved free-market buildings with fewer than six residential units, making this asset type the most sought-after.

Vacancy Drives Premium Pricing

The most aggressively priced transactions in 2024 involved buildings with vacant retail spaces. Owner-users, eager to occupy these spaces while benefiting from additional residential rental income, paid an average of 17% more than traditional investors.

Air Rights

Development has been the primary driver behind the significantly higher price per square foot for retail assets compared to mixed-use properties. This trend is largely attributed to the zoning designations in which these retail assets are located, such as R6A and C4-2A. These zones provide a residential and commercial Floor Area Ratio (FAR) of 3.0, making these properties highly attractive for redevelopment opportunities.

Astoria Leads Transaction Volume

With 33 transactions totaling $91.53 million, Astoria emerged as the top-performing neighborhood in terms of transaction velocity. Its rapid development, enhanced by strong transit options, has made it an increasingly desirable location for both businesses and residents. The recent passage of the City of Yes initiative is expected to further drive development, positioning Astoria as a key market to watch in 2025.

Most Notable Transaction

ZD Jasper Realty purchased a 25,475-square-foot development site for $16.6 million, or $116 per buildable square foot.