Leased Office
For Sale
$325,000
2-380 Elm St, Gardner, MA 01440
Professional office condominium offered for sale with NNN lease and annual escalation.
Property Size1,456 SF
Price / SF$223.21
Days on Market285
Property Features for 2-380 Elm St
General Information
Standard status
Active
Size
1,456 SF
Taxes and HOA fees
Annual Taxes
$3,201
Listing Agency:
Foster-Healey Real Estate
(978) 537-8301
Listed By:
Wendy Poudrette · License #454501685
(978) 407-1342
Source:
Exprealty
Added: Dec 5, 2025
Changed: Sep 5
Last Checked: Sep 15 at 12:36PM
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 Foster-Healey Real Estate
Investment Insights
Based on property information with market context.
This leased office condominium is structured as a professional space on an NNN basis. It is described as starting its third year of a five-year lease, with an option for a five-year renewal. The lease includes annual escalation.
The property is for sale and presented as an investor-oriented opportunity. Public remarks also indicate a currently stated 8% cap rate and an investment focus tied to the lease structure.
The offering includes a professional office condominium configuration under the specified lease term and renewal option.
The property is for sale and presented as an investor-oriented opportunity. Public remarks also indicate a currently stated 8% cap rate and an investment focus tied to the lease structure.
The offering includes a professional office condominium configuration under the specified lease term and renewal option.
Key Highlights
- Professional office condominium offered for sale with a NNN lease structure
- Lease is in its 3rd year of a 5‑year term, with an option for a 5‑year renewal
- NNN lease includes annual escalation
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
$26,536
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
8.16%
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%
$530,720
$530.7K
Cap Rate 7%
$379,086
$379.1K
Cap Rate 9%
$294,844
$294.8K
Market Conditions
NOI Build-Up for 1,456 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
$43.7K $30.00/SF
− Vacancy
−$8.3K −$5.70/SF
EGI
$35.4K $24.30/SF
− OpEx
−$8.8K −$6.08/SF
NOI
$26.5K $18.23/SF
Area
Worcester County, MA
Vacancy
19.00%
Lease Rate
$30.00 /SF/Yr
Expense Ratio
25.00%
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%
$530,720
Cap Rate 7%
$379,086
Cap Rate 9%
$294,844
Alternative Uses
Best Use
Office B
$379.1K
$331.7K – $442.3K
NOI $26,536 @ 7.0% cap · market cap 8.16%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$497.2K
$435.1K – $580.1K
NOI $34,804 @ 7.0% cap · market cap 10.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
551
Businesses Nearby
Explore this area
Business Placement
Demographics for 01440, MA
21,577
Population
9,600
Households
2.2
Avg Household Size
42
Median Age
23%
College-Educated
88%
High-School Grad
24.5 sq mi
ZIP Area
881
Density / Sq Mi
$63,526
Median Household Income
$43,737
Median Earnings
$1,071
Median Rent
$270,500
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office units - Professional office condominium offered for sale with NNN lease and annual escalation.
Where is this office units located?
The property is located at 2-380 Elm St Gardner, MA.
What is the asking price?
The asking price for this property is $325,000.
What are key features of this property?
This property features: Professional office condominium offered for sale with a NNN lease structure; Lease is in its 3rd year of a 5‑year term, with an option for a 5‑year renewal; NNN lease includes annual escalation
