Mixed-Use Retail and Office
New
For Sale
$2,100,000
238 Cabot St, Beverly, MA 01915
Corner-lot property combines retail space, basement area, and individual second-floor offices.
Property Size11,278 SF
Days on Market2
Property Features for 238 Cabot St
General Information
Standard status
Active
Size
11,278 SF
Property subtype
Commercial
Occupancy
95%
Additional Details
Corner Location
Yes
Taxes and HOA fees
Annual Taxes
$24,981
Building Details
Building Size
11,278 SF
Year Built
1890
Buildings
1
Tenancy
Multi
Listing Agency:
The Drumlin Group Inc.
(978) 741-3696
Listed By:
David Hark · License #9010260
Source:
Classifiedrealtygroup
Added: Aug 21
Changed: Aug 22
Last Checked: Aug 22 at 6:00AM
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 The Drumlin Group Inc.
Investment Insights
Based on property information with market context.
Built in 1890, this mixed-use property includes retail and office space arranged across three levels. The second floor contains nine individual offices, while the first floor and basement are leased to a single long-term tenant. Tenants separately cover their electricity, and the landlord pays heating costs.
The building is positioned at 238 Cabot St in Ellis Square within Beverly’s central business district. City Hall, The Cabot Theatre, shops, and restaurants are all within walking distance. Occupancy is 95%, and 75% of tenants have leases extending through 2029. Operating expenses are reimbursed by 75% of tenant occupancy.
The building is positioned at 238 Cabot St in Ellis Square within Beverly’s central business district. City Hall, The Cabot Theatre, shops, and restaurants are all within walking distance. Occupancy is 95%, and 75% of tenants have leases extending through 2029. Operating expenses are reimbursed by 75% of tenant occupancy.
Key Highlights
- 95% occupied; 75% of tenants are leased through 2029
- Nine individual offices occupy the second floor
- First floor and basement leased to one long‑term tenant
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
$185,302
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
8.82%
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%
$3,706,040
$3.7M
Cap Rate 7%
$2,647,171
$2.6M
Cap Rate 9%
$2,058,911
$2.1M
Market Conditions
NOI Build-Up for 11,278 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
$270.7K $24.00/SF
− Vacancy
−$6.0K −$0.53/SF
EGI
$264.7K $23.47/SF
− OpEx
−$79.4K −$7.04/SF
NOI
$185.3K $16.43/SF
Area
Essex County, MA
Vacancy
2.20%
Lease Rate
$24.00 /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%
$3,706,040
Cap Rate 7%
$2,647,171
Cap Rate 9%
$2,058,911
Alternative Uses
Best Use
Office B
$4.49M
$3.93M – $5.24M
NOI $314,352 @ 7.0% cap · market cap 14.97%
Second Best
Mixed Use
$3.26M
$2.85M – $3.81M
NOI $228,380 @ 7.0% cap · market cap 10.88%
Theoretical Best
Office A
$6.68M
$5.84M – $7.79M
NOI $467,357 @ 7.0% cap · market cap 22.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
95%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,398
Businesses Nearby
Explore this area
Business Placement
Demographics for 01915, MA
42,341
Population
17,318
Households
2.4
Avg Household Size
40
Median Age
51%
College-Educated
97%
High-School Grad
14.2 sq mi
ZIP Area
2,982
Density / Sq Mi
$102,347
Median Household Income
$57,989
Median Earnings
$1,684
Median Rent
$619,600
Median Home Value
Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Corner-lot property combines retail space, basement area, and individual second-floor offices.
Where is this mixed-use property located?
The property is located at 238 Cabot St Beverly, MA.
What is the asking price?
The asking price for this property is $2,100,000.
What are key features of this property?
This property features: 95% occupied; 75% of tenants are leased through 2029; Nine individual offices occupy the second floor; First floor and basement leased to one long‑term tenant
