In 2025, the Queens mixed-use market saw a surge of investors and owner-users. The greatest activity occurred in vacant free market buildings, with both investors and owner-users being an option as the highest probable buyer.

• A total of 117 mixed-use properties were sold in 2025, generating $219.79 million in total transaction volume—a 19% increase in total transactions from 2024.
• A total of 48 retail properties were sold in 2025, generating $257.23 million in transaction volume— a 32% increase in total transactions from 2024.
• The average transaction size was $1.88 million for mixed-use properties.
• The average transaction size was $4.96 million for retail properties.
• The average price per square foot was $484 for mixed-use properties and $697 for retail properties.

 

Key Takeaways From 2025

Regulation Matters

Buyer trends in 2025 revealed a strong preference for free market buildings. Of the 117 mixed-use transactions, only five involved rent stabilized mixed-use buildings, making rent stabilization a burden.

 

Vacancy Drives Premium Pricing

The most aggressively priced transactions in 2025 involved buildings with vacant retail spaces. Owner-users, eager to occupy these spaces while benefiting from additional residential rental income, paid an average of 22% more than traditional investors.

 

Impacts of Air Rights

Development has been the primary driver behind the significantly higher price per square foot for properties. This trend is largely attributed to the zoning designations in which these assets are located.

 

Astoria Leads Deal Volume

With 23 mixed-use transactions and 6 retail deals, 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.

 

Largest Transaction

Malachite Group purchased a 9-property retail portfolio for $66 million on Queens Boulevard in Rego Park.

 

Neigboorhood Overviews

Ridgewood

Ridgewood is one of the top-performing markets in New York City. Recently, its prices have risen as the neighborhood is primarily made up of multifamily homes and converted industrial lofts. The majority of Ridgewood’s workforce is imployed in white-collar professional or administrative roles, with a high concentration of residents in the creative and tech industries. It has also recorded a rise in residents in the age 25 to 44 group, which relocated to Ridgewood from the higher-priced markets in Brooklyn.

 

Forest Hills

The Forest Hills neighborhood is made up of a high level of educational attainment and a stable, multi-generational population. Over 60% of residents hold a bachelor’s degree, contributing to its reputation as a professional neighborhood. While pricing is high, Forest Hills lacks the volatility of other neighborhoods. Its real estate market is dominated by co-ops, which offer a more affordable entry into the neighborhood compared to the multi-million dollar homes in the Gardens.

 

Long Island City

Long Island City is the fastest-growing neighborhood in New York City and has transitioned from an industrial hub into a luxury residential and tech center. The neighborhood is dominated by high-rise buildings, providing thousands of top-tier units with high-end amenities. Unlike the co-ops in Forest Hills, Long Island City is mostly made up of rentals newly-constructed condos. As it is home to major offices, like Jet Blue, and a growing number of life sciences and biotech firms, Long Island City is set to maintain top performance levels throughout 2026.

 

Elmhurst

Elmhurst stands out for its mix of pre-war multifamily buildings, detached multifamily homes, and a growing number of newly-constructed condominiums. The neighborhood is also attractive to residents for its well-connected access to the 7, M, and R trains. While property values have remained resilient, Elmhurst is viewed as a buyer’s market, due to the high volume of multifamily inventory compared to the high-demand condos located in Long Island City.

 

Neighboorhoods to Watch in 2026

Woodside/Maspeth

This neighborhood recorded one of the highest rent increases in Queens in 2025, with average rents up sharply year-over-year. Rents rose 11.7%, followed by Ridgewood at 6.68% and Astoria at 4.65%. Its central location and transit access (7 train, LIRR) continue to attract rents priced out of Manhattan and Brooklyn.

 

Ridgewood

Ridgewood saw significant rent growth and heightened interest from renters and buyers heading into 2025 and is likely to continue, due to recent development interest and large site transactions along Myrtle and Wyckoff avenues.

 

There is accelerating gentrification in Ridgewood, driven by increased in-migration, retail upgrades like the arrival of Whole Foods on Myrtle Avenue, and stronger buyer demand. This has created sustained upward pressure on rents heading into 2026, positioning the neighborhood for continued income growth and long-term appreciation.

 

Astoria and Long Island City

Astoria and Long Island City are showing above-average rent and lease growth in early 2025. Long Island City, in particular, continues to experience a building boom and large pipeline of new housing units, with the new OneLIC plan being approved, allowing 14,000 new residential units to be built. This will fuel both rent trends and development velocity.