Three-Cottage Triplex with Water
For Sale
$489,900
2-6 Pond Terrace, Millbury, MA 01527
Three detached units offer single-level layouts, private laundry, kitchens, baths, and dedicated off-street parking.
Property Size1,440 SF
Price / SF$340.21
Days on Market82
Property Features for 2-6 Pond Terrace
General Information
Standard status
Active
Size
1,440 SF
Total Parking Spaces
3
Property subtype
Multi-Family
Zoning
R
Net Operating Income
$28,272
Units
Unit Mix
3 x 1BR/1BA
Multifamily Units
3
Parking per Unit
1
Taxes and HOA fees
Annual Taxes
$5,656
Amenities
in-unit laundry
water views
Building Details
Building Size
1,440 SF
Year Built
1950
Buildings
3
Stories
3
Listing Agency:
Stephen Cefalo Real Estate
(978) 578-5013
Listed By:
Chris Bernier
(978) 578-5013
Source:
Churchillprop
Added: Jun 10
Changed: Aug 30
Last Checked: Aug 30 at 8:05AM
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 Stephen Cefalo Real Estate
Investment Insights
Based on property information with market context.
This triplex consists of three separate cottages totaling 1,440 SF. Each residence is arranged for single-level living with one bedroom, a living room, kitchen, bathroom, in-unit laundry, and one dedicated off-street parking space. The property was built in 1950 and is zoned R.
The cottages sit across from Dorothy Pond in Millbury, providing water views and a lakeside setting. Unit 6 received a mini-split replacement in 2023, while the mini-split systems in Units 2 and 4 were serviced in 2025. The standalone configuration offers three individually defined residential units within one multifamily property.
The cottages sit across from Dorothy Pond in Millbury, providing water views and a lakeside setting. Unit 6 received a mini-split replacement in 2023, while the mini-split systems in Units 2 and 4 were serviced in 2025. The standalone configuration offers three individually defined residential units within one multifamily property.
Key Highlights
- Three standalone cottages totaling 1,440 SF
- Each cottage includes one bedroom, living room, kitchen, bath, and in‑unit laundry
- Dedicated off‑street parking space for each unit
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
$19,465
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
3.97%
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%
$389,300
$389.3K
Cap Rate 7%
$278,071
$278.1K
Cap Rate 9%
$216,278
$216.3K
Market Conditions
NOI Build-Up for 1,440 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
$28.5K $19.80/SF
− Vacancy
−$704 −$0.49/SF
EGI
$27.8K $19.31/SF
− OpEx
−$8.3K −$5.79/SF
NOI
$19.5K $13.52/SF
Area
Worcester County, MA
Vacancy
2.47%
Lease Rate
$19.80 /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%
$389,300
Cap Rate 7%
$278,071
Cap Rate 9%
$216,278
Alternative Uses
Best Use
Multifamily LT 5
$278.1K
$243.3K – $324.4K
NOI $19,465 @ 7.0% cap · market cap 3.97%
Second Best
Apartment 5plus
$242.0K
$211.8K – $282.3K
NOI $16,940 @ 7.0% cap · market cap 3.46%
Theoretical Best
Office A
$491.7K
$430.3K – $573.7K
NOI $34,422 @ 7.0% cap · market cap 7.03%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
3
Residential units
Location Intelligence
Trade Area within ½ mile
61
Businesses Nearby
Explore this area
Business Placement
Demographics for 01527, MA
13,799
Population
5,603
Households
2.5
Avg Household Size
44
Median Age
33%
College-Educated
94%
High-School Grad
15.6 sq mi
ZIP Area
885
Density / Sq Mi
$116,000
Median Household Income
$62,911
Median Earnings
$1,507
Median Rent
$415,600
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 detached units offer single-level layouts, private laundry, kitchens, baths, and dedicated off-street parking.
Where is this triplex located?
The property is located at 2-6 Pond Terrace Millbury, MA.
What is the asking price?
The asking price for this property is $489,900.
What are key features of this property?
This property features: Three standalone cottages totaling 1,440 SF; Each cottage includes one bedroom, living room, kitchen, bath, and in‑unit laundry; Dedicated off‑street parking space for each unit
