Two-Property Quadplex
New
For Sale
$1,159,000
2 Hill St, Southbridge, MA 01550
Eight two-bedroom units with tenant-paid gas heat and electricity, separate meters, garages, laundry, and off-street parking.
Property Size3,260 SF
Days on Market2
Property Features for 2 Hill St
General Information
Standard status
Active
Size
3,260 SF
Total Parking Spaces
20
Property subtype
Multifamily
Additional Details
Multifamily Units
8
Taxes and HOA fees
Annual Taxes
$6,128
Building Details
Building Size
3,260 SF
Year Built
1900
Buildings
2
Listing Agency:
Settlers Realty Group, LLC
Listed By:
Sergio Froes Oliveira · License #9557598
(508) 371-7469
Source:
Classifiedrealtygroup
Added: Sep 12
Last Checked: Sep 13 at 5:41AM
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 Settlers Realty Group, LLC
Investment Insights
Based on property information with market context.
This offering combines the neighboring properties at 2 Hill St and 6 Hill St in Southbridge as a single transaction. Each building is configured as a 4-family property, creating a combined total of 8 residential units with 2 bedrooms per unit. The buildings date to 1900 and are being offered in as-is condition.
Residential units are tenant occupied except for any vacancy disclosed at the time of showing. Tenants pay their own gas heat and electricity, while high-efficiency gas heating systems and separately metered electric service support the property configuration. Additional property features include garage bays leased separately, coin-operated laundry, and a large off-street parking area. The two properties must be purchased together and will not be sold individually.
Residential units are tenant occupied except for any vacancy disclosed at the time of showing. Tenants pay their own gas heat and electricity, while high-efficiency gas heating systems and separately metered electric service support the property configuration. Additional property features include garage bays leased separately, coin-operated laundry, and a large off-street parking area. The two properties must be purchased together and will not be sold individually.
Key Highlights
- Package includes 2 Hill St and 6 Hill St; properties will not be sold separately
- Two neighboring 4‑family properties with a combined total of 8 residential units
- Each residential unit has 2 bedrooms
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
$44,068
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
3.80%
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%
$881,360
$881.4K
Cap Rate 7%
$629,543
$629.5K
Cap Rate 9%
$489,644
$489.6K
Market Conditions
NOI Build-Up for 3,260 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
$64.5K $19.80/SF
− Vacancy
−$1.6K −$0.49/SF
EGI
$63.0K $19.31/SF
− OpEx
−$18.9K −$5.79/SF
NOI
$44.1K $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%
$881,360
Cap Rate 7%
$629,543
Cap Rate 9%
$489,644
Alternative Uses
Best Use
Multifamily LT 5
$629.5K
$550.9K – $734.5K
NOI $44,068 @ 7.0% cap · market cap 3.80%
Second Best
Apartment 5plus
$547.9K
$479.4K – $639.2K
NOI $38,351 @ 7.0% cap · market cap 3.31%
Theoretical Best
Office A
$1.11M
$974.1K – $1.30M
NOI $77,927 @ 7.0% cap · market cap 6.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
8
Residential units
Location Intelligence
Trade Area within ½ mile
894
Businesses Nearby
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Business Placement
Demographics for 01550, MA
17,740
Population
7,644
Households
2.3
Avg Household Size
39
Median Age
18%
College-Educated
82%
High-School Grad
20.2 sq mi
ZIP Area
878
Density / Sq Mi
$59,397
Median Household Income
$41,365
Median Earnings
$1,157
Median Rent
$267,000
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in Northeast region
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Frequently Asked Questions
What type of property is this?
Quadplex - Eight two-bedroom units with tenant-paid gas heat and electricity, separate meters, garages, laundry, and off-street parking.
Where is this quadplex located?
The property is located at 2 Hill St Southbridge, MA.
What is the asking price?
The asking price for this property is $1,159,000.
What are key features of this property?
This property features: Package includes 2 Hill St and 6 Hill St; properties will not be sold separately; Two neighboring 4‑family properties with a combined total of 8 residential units; Each residential unit has 2 bedrooms
