Cambridge Multifamily Investment
For Sale
$3,800,000
Pending
178 Richdale Ave, Cambridge, MA 02140
Six-unit building near Avon Hill and Porter Square neighborhoods.
Property Size6,279 SF
Lot Size0.24 Acres
Days on Market111
Property Features for 178 Richdale Ave
General Information
Standard status
Pending
Size
6,279 SF
Lot size
0.24 Acres
Property subtype
Investment
Taxes and HOA fees
Annual Taxes
$18,699
Building Details
Building Size
6,279 SF
Year Built
1920
Stories
5
Units
6
Listing Agency:
Horvath & Tremblay
(617) 213-7880
Listed By:
Tess Kohanski · License #9528992
(617) 213-7880
Source:
Elliman
Added: Apr 24
Changed: Aug 8
Last Checked: Aug 11 at 10:39AM
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 Horvath & Tremblay
Investment Insights
Based on property information with market context.
Located between the Avon Hill and Porter Square neighborhoods, 178 Richdale Ave is a three-story building containing six units. The unit mix consists of three 4-bedroom/1-bathroom units and three 2-bedroom/1-bathroom units. The building features 6,279 square feet of gross living area and 8,404 square feet of gross area, situated on a 10,506 sqft (0.24-acre) parcel. Sixteen parking spaces are available via a large lot to the side and rear of the property. The property has been well-maintained and features large units with generously sized common and kitchen areas, offering a highly desirable and functional layout. In-place rents are significantly below current market rates, presenting an opportunity to increase rents in the competitive Cambridge multi-family market. The large, well-situated lot lends itself to higher density redevelopment, given recent changes to Cambridge zoning. The location has a bike score of 90, a walk score of 92, and a transit score of 79.
Key Highlights
- Significant opportunity to increase rental income by raising rents to current market rates.
- Ample parking with sixteen (16) spaces, a rare and valuable amenity in Cambridge.
- Large lot (10,506 sqft) with potential for higher density redevelopment due to recent zoning changes.
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
$147,200
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
3.87%
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%
$2,944,000
$2.9M
Cap Rate 7%
$2,102,857
$2.1M
Cap Rate 9%
$1,635,556
$1.6M
Market Conditions
NOI Build-Up for 6,279 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
$278.8K $44.40/SF
− Vacancy
−$11.2K −$1.78/SF
EGI
$267.6K $42.62/SF
− OpEx
−$120.4K −$19.18/SF
NOI
$147.2K $23.44/SF
Area
Cambridge, MA
Vacancy
4.00%
Lease Rate
$44.40 /SF/Yr
Expense Ratio
45.00%
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%
$2,944,000
Cap Rate 7%
$2,102,857
Cap Rate 9%
$1,635,556
Alternative Uses
Best Use
Apartment 5plus
$2.10M
$1.84M – $2.45M
NOI $147,200 @ 7.0% cap · market cap 3.87%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.84M
$4.24M – $5.65M
NOI $338,856 @ 7.0% cap · market cap 8.92%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,971
Businesses Nearby
Explore this area
Business Placement
Demographics for 02140, MA
21,447
Population
11,117
Households
1.9
Avg Household Size
35
Median Age
79%
College-Educated
95%
High-School Grad
1.2 sq mi
ZIP Area
17,873
Density / Sq Mi
$136,382
Median Household Income
$77,506
Median Earnings
$2,581
Median Rent
$1,070,200
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?
Apartment building - Six-unit building near Avon Hill and Porter Square neighborhoods.
Where is this apartment building located?
The property is located at 178 Richdale Ave Cambridge, MA.
What is the asking price?
The asking price for this property is $3,800,000.
What are key features of this property?
This property features: Significant opportunity to increase rental income by raising rents to current market rates.; Ample parking with sixteen (16) spaces, a rare and valuable amenity in Cambridge.; Large lot (10,506 sqft) with potential for higher density redevelopment due to recent zoning changes.
