Q1 2026 Long Island Retail Investment Market Recap

I don’t track every retail deal that closes on Long Island. I track the ones that matter — quality strip malls, NNN single-tenant assets with real credit tenancy, and mixed-use buildings that reflect where the market actually is. In Q1 2026, 14 transactions made that cut across Nassau and Suffolk. Here is what the data shows.

Cap Rates by Property Type

The most notable story in Q1 is the spread between NNN and everything else. Credit-tenanted single-tenant product continued to compress. Strip malls held in a consistent range. Mixed-use widened slightly, reflecting increased selectivity from buyers in that category.

NNN product with investment-grade tenancy is trading in a tight band — the Franklin Square QSR transactions in March hit 4.99%, which reflects institutional-level pricing. Strip malls tracked across Nassau and Suffolk show more variance, which is expected given the range of locations, tenancy profiles, and building condition in that category. The high-end outlier in the strip segment reflects a value-add situation and is not representative of where well-leased assets are trading.

Nassau vs. Suffolk

Nine of the 14 transactions I tracked were in Nassau County, including every NNN deal. That is consistent with broader market patterns — Nassau corridors attract buyers who prioritize density and traffic counts, and they accept tighter returns accordingly.

Suffolk was active across a wider geographic spread than Nassau. The deals I tracked ranged from well-located strips trading above $500/SF to a Montauk Highway NNN at 5.87% — evidence that buyer appetite for credit-tenanted product extends well into the county when the location supports it.

Deal of the Quarter: Citizens Bank, Franklin Square

The standout NNN transaction I tracked in Q1 was the sale of 675 Hempstead Turnpike in Franklin Square — a freestanding Citizens Bank on a long-term net lease. Tommy Sansone and Dylan Silber of Silber Investment Properties handled this transaction in-house, representing both buyer and seller. The property closed at a 5.28% cap rate, $3,750,000, and $1,667 per square foot on 2,250 square feet.

Representing both sides of a transaction at this price point reflects the depth of Silber’s relationships in this market. Freestanding bank branches with investment-grade credit tenancy remain among the most sought-after NNN assets on Long Island, and the Hempstead Turnpike corridor in Franklin Square continues to validate that demand.

Also Notable: The Franklin Avenue NNN Pair

Two adjacent NNN properties on Franklin Avenue in Franklin Square — a Starbucks and a Taco Bell — closed on the same day in March at identical 4.99% cap rates, $4,850,000 each. At $1,925/SF and $2,076/SF respectively, these represent the highest per-square-foot prices I tracked in Q1. QSR and coffee tenancy on established Nassau corridors continues to command a premium that reflects institutional-level demand. Buyers paid for the credit and the location, and the numbers reflect both.

What This Means for Owners

The transactions I track are selected because they represent real market conditions — not outliers, not distressed situations, not trades driven by factors unrelated to value. What Q1 shows is a market that continues to move for quality product. NNN with credit tenancy is at a premium. Strip malls in the right locations are trading. Mixed-use is softer but not stalled.

If you own retail on Long Island and have been watching the market, Q1 gives you a clear point of reference for where your property likely stands. The best way to know precisely is a direct conversation.

Anthony Ciafardoni  ·  Silber Investment Properties  ·  (631) 872-2199  ·  anthonyc@silberproperties.com