355 Madison St 6 Unit Apartment Building $1,150,000 ($191,667/Unit) 7.57% Cap Rate Passaic, NJ 07055

Located in the heart of Passaic, NJ, 355 Madison Street presents a stabilized, income-producing 6-unit multifamily asset with immediate upside potential. The unit mix includes two 2-bedroom/1-bath units and four 3-bedroom/1-bath units, catering to a broad tenant demographic. The property is situated on a 2,901 square foot lot and benefits from proximity to shopping, schools, and NJ Transit, making it highly attractive to renters seeking convenience and accessibility.
With five of six units currently occupied—including two Section 8 tenants with scheduled rent increases in early 2026—the property generates a gross annual income of approximately $110,717. After accounting for operating expenses, the net operating income stands at $87,100, delivering a solid 7.57% capitalization rate. The building holds a current Green Card, ensuring compliance with local housing standards.
The five-year financial projection, even without major renovations or rent escalations beyond standard increases, shows a steady rise in NOI, reaching nearly $100,000 by year five. This conservative forecast underscores the property’s strong fundamentals and potential for enhanced returns through strategic upgrades or rent repositioning.
Whether you're a seasoned investor or entering the multifamily space, this asset offers a compelling blend of stability, location, and long-term upside.