Retail Strip Center on
For Sale
$979,000
16-24 Arnold Ave Springfield, Springfield, MA 01119
Retail strip center on busy Boston Road Rt 20.
Property Size6,350 SF
Price / SF$154.17
Days on Market105
Property Features for 16-24 Arnold Ave Springfield
General Information
Standard status
Active
Size
6,350 SF
Zoning
B1
Lease Type
NNN
Building Details
Building Size
6,350 SF
Year Built
1980
Listing Agency:
Perella Real Estate
(508) 501-1443
Listed By:
Crystal Silva · License #9018160
(508) 501-1443
Source:
Milestonerealtyinc
Added: May 16
Changed: Aug 28
Last Checked: Aug 28 at 7:20AM
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 Perella Real Estate
Investment Insights
Based on property information with market context.
This retail strip center is situated on a corner lot along Boston Road, also known as Route 20, in the Pine Point section of Springfield, Massachusetts. The property has a size of 6350 square feet.
Key Highlights
- Retail strip center on busy Boston Road Rt 20.
- Located in Springfield's Pine Point section.
- Corner lot location.
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
$73,609
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
7.52%
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%
$1,472,180
$1.5M
Cap Rate 7%
$1,051,557
$1.1M
Cap Rate 9%
$817,878
$817.9K
Market Conditions
NOI Build-Up for 6,350 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
$114.3K $18.00/SF
− Vacancy
−$9.1K −$1.44/SF
EGI
$105.2K $16.56/SF
− OpEx
−$31.5K −$4.97/SF
NOI
$73.6K $11.59/SF
Area
Springfield, MA
Vacancy
8.00%
Lease Rate
$18.00 /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%
$1,472,180
Cap Rate 7%
$1,051,557
Cap Rate 9%
$817,878
Alternative Uses
Best Use
Retail
$1.05M
$920.1K – $1.23M
NOI $73,609 @ 7.0% cap · market cap 7.52%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.72M
$1.51M – $2.01M
NOI $120,701 @ 7.0% cap · market cap 12.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
417
Businesses Nearby
156k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 46%
Shops & Services 17%
Groceries 16%
Apparel 16%
Price Rite
Groceries
25,606 visits/mo
0.1 miles
Kohl's
Apparel
25,250 visits/mo
0.5 miles
McDonald's
Dining
24,681 visits/mo
0.4 miles
Burger King
Dining
16,021 visits/mo
0.2 miles
Wendy's
Dining
14,796 visits/mo
0.3 miles
Demographics for 01119, MA
14,393
Population
5,517
Households
2.6
Avg Household Size
35
Median Age
20%
College-Educated
88%
High-School Grad
3.5 sq mi
ZIP Area
4,112
Density / Sq Mi
$59,172
Median Household Income
$45,179
Median Earnings
$1,181
Median Rent
$222,900
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Strip mall - Retail strip center on busy Boston Road Rt 20.
Where is this strip mall located?
The property is located at 16-24 Arnold Ave Springfield Springfield, MA.
What is the asking price?
The asking price for this property is $979,000.
What are key features of this property?
This property features: Retail strip center on busy Boston Road Rt 20.; Located in Springfield's Pine Point section.; Corner lot location.
