Three-Unit Mixed-Use
For Sale
Contact for pricing
24 Lake Ave, Worcester, MA 01604
Three-unit building with two commercial spaces and one residential apartment, plus on-site parking along a high-traffic corridor.
Property Size4,607 SF
Price / SF$200.78
Days on Market229
Property Features for 24 Lake Ave
General Information
Standard status
Active
Size
4,607 SF
Property subtype
RETAIL
Site & Location
Highway Access
Yes
Road Access
Yes
Additional Details
Multifamily Units
1
Building Details
Tenancy
Multi
Listing Agency:
Kelleher & Sadowsky
(508) 755-0707
Listed By:
Madison O'Brien · License #9567655
(508) 320-7352
Source:
Moodyscre
Added: Jan 20
Changed: Aug 14
Last Checked: Aug 14 at 7:59AM
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 Kelleher & Sadowsky
Investment Insights
Based on property information with market context.
24 Lake Avenue presents a three-unit mixed-use building totaling approximately 3,091 SF, configured with two commercial units and one residential apartment. The property provides diversified in-place income, with the commercial spaces occupied by Designs by Joseph and Hot Set Hair Studio, and the residential unit contributing additional cash flow. On-site parking is included for convenient access.
The property is positioned off the Boston–Worcester Turnpike (Route 9) between two signalized intersections. Traffic counts are reported at 32,863 vehicles per day on Belmont Street and 13,687 vehicles per day on Lake Avenue, supporting strong visibility to passersby.
For sale as a mixed-use asset, it features below-market current rents, creating potential for growth through lease renewals, re-tenanting, or repositioning.
The property is positioned off the Boston–Worcester Turnpike (Route 9) between two signalized intersections. Traffic counts are reported at 32,863 vehicles per day on Belmont Street and 13,687 vehicles per day on Lake Avenue, supporting strong visibility to passersby.
For sale as a mixed-use asset, it features below-market current rents, creating potential for growth through lease renewals, re-tenanting, or repositioning.
Key Highlights
- ±3,091 SF three‑unit mixed‑use building with two commercial units and one residential apartment
- Commercial tenants include Designs by Joseph (tailor) and Hot Set Hair Studio (salon), providing in‑place income
- Current rents are below market, with upside through lease renewals, re‑tenanting, or repositioning to grow NOI
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
$63,321
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
6.85%
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%
$1,266,420
$1.3M
Cap Rate 7%
$904,586
$904.6K
Cap Rate 9%
$703,567
$703.6K
Market Conditions
NOI Build-Up for 4,607 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
$96.7K $21.00/SF
− Vacancy
−$6.3K −$1.37/SF
EGI
$90.5K $19.64/SF
− OpEx
−$27.1K −$5.89/SF
NOI
$63.3K $13.74/SF
Area
Worcester, MA
Vacancy
6.50%
Lease Rate
$21.00 /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%
$1,266,420
Cap Rate 7%
$904,586
Cap Rate 9%
$703,567
Alternative Uses
Best Use
Retail
$904.6K
$791.5K – $1.06M
NOI $63,321 @ 7.0% cap · market cap 6.85%
Second Best
Mixed Use
$888.5K
$777.4K – $1.04M
NOI $62,195 @ 7.0% cap · market cap 6.72%
Theoretical Best
Office A
$1.54M
$1.35M – $1.79M
NOI $107,640 @ 7.0% cap · market cap 11.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Multi-tenant
Tenancy
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
2,206
Businesses Nearby
241k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 37%
Groceries 36%
Dining 24%
Apparel 2%
Trader Joe's
Groceries
51,378 visits/mo
0.5 miles
Five Below
Shops & Services
46,789 visits/mo
0.4 miles
Shaw's Supermarket
Groceries
34,446 visits/mo
0.4 miles
Panera Bread
Dining
19,029 visits/mo
0.4 miles
Petco
Shops & Services
17,885 visits/mo
0.5 miles
Demographics for 01604, MA
41,301
Population
18,166
Households
2.3
Avg Household Size
37
Median Age
31%
College-Educated
86%
High-School Grad
6.6 sq mi
ZIP Area
6,258
Density / Sq Mi
$72,911
Median Household Income
$45,596
Median Earnings
$1,570
Median Rent
$321,900
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Three-unit building with two commercial spaces and one residential apartment, plus on-site parking along a high-traffic corridor.
Where is this mixed-use property located?
The property is located at 24 Lake Ave Worcester, MA.
What is the asking price?
The asking price for this property is $925,000.
What are key features of this property?
This property features: ±3,091 SF three‑unit mixed‑use building with two commercial units and one residential apartment; Commercial tenants include Designs by Joseph (tailor) and Hot Set Hair Studio (salon), providing in‑place income; Current rents are below market, with upside through lease renewals, re‑tenanting, or repositioning to grow NOI
