Mixed-Use Property With Retail
For Sale
$1,895,000
273-279 Grafton Street, Worcester, MA 01604
Combines residential apartments with street-level office and retail space.
Property Size10,000 SF
Price / SF$189.50
Days on Market13
Property Features for 273-279 Grafton Street
General Information
Standard status
Active
Size
10,000 SF
Property subtype
Multi-family
Lease Term
[]
Site & Location
Highway Access
Yes
Road Access
Yes
Public Transit
Yes
Additional Details
Multifamily Units
8
Building Details
Year Built
1900
Tenancy
Multi
Listing Agency:
Cali Realty Group,Inc.
Listed By:
Joseph Cali
(978) 537-8301
Source:
Foster-healey
Added: Sep 14
Changed: Sep 24
Last Checked: Sep 24 at 10:30AM
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 Cali Realty Group,Inc.
Investment Insights
Based on property information with market context.
This 10,000-square-foot mixed-use property contains 8 residential units alongside 3 office/retail units. Built in 1900, the building brings apartment occupancy and commercial space together within one asset, with the commercial component positioned at street level.
The property is located at 273-279 Grafton Street in Worcester, less than 1/2 mile from the Canal District, Polar Park, Shrewsbury Street dining, and Saint Vincent's Hospital. Access to I-290, the MA Pike, Route 146, and public transportation supports connectivity throughout the area.
The property is located at 273-279 Grafton Street in Worcester, less than 1/2 mile from the Canal District, Polar Park, Shrewsbury Street dining, and Saint Vincent's Hospital. Access to I-290, the MA Pike, Route 146, and public transportation supports connectivity throughout the area.
Key Highlights
- 8 residential units
- 3 office/retail units
- 10,000 square feet of property area
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
$137,445
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
7.25%
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%
$2,748,900
$2.7M
Cap Rate 7%
$1,963,500
$2.0M
Cap Rate 9%
$1,527,167
$1.5M
Market Conditions
NOI Build-Up for 10,000 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
$210.0K $21.00/SF
− Vacancy
−$13.7K −$1.37/SF
EGI
$196.4K $19.64/SF
− OpEx
−$58.9K −$5.89/SF
NOI
$137.4K $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%
$2,748,900
Cap Rate 7%
$1,963,500
Cap Rate 9%
$1,527,167
Alternative Uses
Best Use
Retail
$1.96M
$1.72M – $2.29M
NOI $137,445 @ 7.0% cap · market cap 7.25%
Second Best
Mixed Use
$1.93M
$1.69M – $2.25M
NOI $135,000 @ 7.0% cap · market cap 7.12%
Theoretical Best
Office A
$3.34M
$2.92M – $3.89M
NOI $233,645 @ 7.0% cap · market cap 12.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
8
Residential units
Multi-tenant
Tenancy
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
2,630
Businesses Nearby
Explore this area
Business Placement
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 Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Combines residential apartments with street-level office and retail space.
Where is this mixed-use property located?
The property is located at 273-279 Grafton Street Worcester, MA.
What is the asking price?
The asking price for this property is $1,895,000.
What are key features of this property?
This property features: 8 residential units; 3 office/retail units; 10,000 square feet of property area
