Shrewsbury Street Three-Family with
For Sale
$625,000
Pending
247 Shrewsbury St, Worcester, MA 01604
Three-family property with equity potential on Shrewsbury Street.
Property Size3,567 SF
Days on Market121
Property Features for 247 Shrewsbury St
General Information
Standard status
Pending
Size
3,567 SF
Property subtype
Investment
Taxes and HOA fees
Annual Taxes
$6,844
Building Details
Building Size
3,567 SF
Year Built
1912
Stories
3
Units
3
Listing Agency:
The DiRoberto Group Inc.
(508) 579-8983
Listed By:
Daniel DiRoberto · License #9568306
(508) 579-8983
Source:
Elliman
Added: Apr 24
Changed: Aug 8
Last Checked: Aug 21 at 10:22AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of The DiRoberto Group Inc.
Investment Insights
Based on property information with market context.
This three-family property is located on Shrewsbury Street. The building features vinyl siding, a fenced yard with a patio, and front and back porches. Laundry hookups are available. The roof was replaced within the last 5 to 7 years. The first floor is currently vacant. The second and third floors are tenant-at-will, with current rents of $800 and $1100, respectively. Market rents for all units are estimated at $1800 per month. All three floors have two bedrooms with the option to convert them into three-bedroom units. The basement includes a finished area that can be used as bonus space. Cosmetic updates to the apartments could increase rents, cash flow, and overall property value. The property has a walk score of 62, indicating it is somewhat walkable, a transit score of 32, indicating some transit options, and a bike score of 21, indicating it is somewhat bikeable.
Key Highlights
- Significant equity potential through rent increases after cosmetic updates.
- Vacant 1st‑floor unit allows immediate occupancy or rental at market rate.
- All units are spacious 2‑bedroom apartments with potential to convert to 3‑bedroom units.
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$52,382
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
8.38%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,047,640
$1.0M
Cap Rate 7%
$748,314
$748.3K
Cap Rate 9%
$582,022
$582.0K
Market Conditions
NOI Build-Up for 3,567 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$79.2K $22.20/SF
− Vacancy
−$4.4K −$1.22/SF
EGI
$74.8K $20.98/SF
− OpEx
−$22.4K −$6.29/SF
NOI
$52.4K $14.69/SF
Area
Worcester, MA
Vacancy
5.50%
Lease Rate
$22.20 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$1,047,640
Cap Rate 7%
$748,314
Cap Rate 9%
$582,022
Alternative Uses
Best Use
Multifamily LT 5
$748.3K
$654.8K – $873.0K
NOI $52,382 @ 7.0% cap · market cap 8.38%
Second Best
Apartment 5plus
$686.9K
$601.1K – $801.4K
NOI $48,085 @ 7.0% cap · market cap 7.69%
Theoretical Best
Office A
$1.19M
$1.04M – $1.39M
NOI $83,341 @ 7.0% cap · market cap 13.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,896
Businesses Nearby
Explore this area
Business Placement
Demographics for 01604, MA
41,301
Population
18,166
Households
2.3
Avg Household Size
37
Median Age
31%
College-Educated
86%
High-School Grad
6.6 sq mi
ZIP Area
6,258
Density / Sq Mi
$72,911
Median Household Income
$45,596
Median Earnings
$1,570
Median Rent
$321,900
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Triplex - Three-family property with equity potential on Shrewsbury Street.
Where is this triplex located?
The property is located at 247 Shrewsbury St Worcester, MA.
What is the asking price?
The asking price for this property is $625,000.
What are key features of this property?
This property features: Significant equity potential through rent increases after cosmetic updates.; Vacant 1st‑floor unit allows immediate occupancy or rental at market rate.; All units are spacious 2‑bedroom apartments with potential to convert to 3‑bedroom units.
