Mixed-Use Portfolio in
For Sale
$1,999,999
262 Adams St, Newton, MA 02458
Fully-tenanted mixed-use portfolio with income and expansion potential.
Property Size4,500 SF
Price / SF$444.44
Days on Market463
Property Features for 262 Adams St
General Information
Standard status
Active
Size
4,500 SF
Taxes and HOA fees
Annual Taxes
$24,365
Building Details
Year Built
1920
Listing Agency:
Shilalis Real Estate
Listed By:
Ethan Piani-Hohmann
Source:
Corcoran
Added: May 27, 2025
Changed: Mar 16
Last Checked: Mar 16 at 9:09AM
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 Shilalis Real Estate
Investment Insights
Based on property information with market context.
This fully-tenanted mixed-use corner portfolio consists of two separate buildings, located at 262 Adams St and 40 Middle St, situated on one lot within Newton’s BU2 zoning district. The property offers an exceptional opportunity, featuring four residential units and one commercial office space. The gross rental income is $11,650 per month. There is potential to expand into a sixth residential unit, subject to city approvals. The commercial tenant is leased through August 2027, while all residential units are Tenant-at-Will, providing flexibility for future rent adjustments or repositioning. All current rents are well below market, offering considerable upside. The properties, totaling 4,500 square feet, feature Queen Anne Colonial and Victorian architecture, separate utilities, and off-street parking. The location provides close proximity to the Mass Pike, Rt. 95, Whole Foods, YMCA, and public transit. This property is ideal for investors, 1031 exchange buyers, long-term hold strategies, or future development opportunities.
Key Highlights
- Fully‑tenanted mixed‑use corner portfolio with strong income ($11,650/month).
- Significant rental upside due to below‑market rents.
- Prime location in Newton's BU2 zoning district, close to Mass Pike, Rt. 95, Whole Foods, YMCA, and public transit.
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
$142,787
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
7.14%
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%
$2,855,740
$2.9M
Cap Rate 7%
$2,039,814
$2.0M
Cap Rate 9%
$1,586,522
$1.6M
Market Conditions
NOI Build-Up for 4,500 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
$244.1K $54.24/SF
− Vacancy
−$53.7K −$11.93/SF
EGI
$190.4K $42.31/SF
− OpEx
−$47.6K −$10.58/SF
NOI
$142.8K $31.73/SF
Area
Middlesex County, MA
Vacancy
22.00%
Lease Rate
$54.24 /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%
$2,855,740
Cap Rate 7%
$2,039,814
Cap Rate 9%
$1,586,522
Alternative Uses
Best Use
Office B
$2.04M
$1.78M – $2.38M
NOI $142,787 @ 7.0% cap · market cap 7.14%
Second Best
Apartment 5plus
$1.28M
$1.12M – $1.49M
NOI $89,535 @ 7.0% cap · market cap 4.48%
Theoretical Best
Office A
$2.66M
$2.33M – $3.11M
NOI $186,479 @ 7.0% cap · market cap 9.32%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,797
Businesses Nearby
Explore this area
Business Placement
Demographics for 02458, MA
12,817
Population
5,238
Households
2.4
Avg Household Size
40
Median Age
76%
College-Educated
97%
High-School Grad
2.0 sq mi
ZIP Area
6,409
Density / Sq Mi
$151,782
Median Household Income
$72,008
Median Earnings
$2,313
Median Rent
$1,116,600
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 - Fully-tenanted mixed-use portfolio with income and expansion potential.
Where is this mixed-use property located?
The property is located at 262 Adams St Newton, MA.
What is the asking price?
The asking price for this property is $1,999,999.
What are key features of this property?
This property features: Fully‑tenanted mixed‑use corner portfolio with strong income ($11,650/month).; Significant rental upside due to below‑market rents.; Prime location in Newton's BU2 zoning district, close to Mass Pike, Rt. 95, Whole Foods, YMCA, and public transit.
