Attorney Office
For Sale
$599,900
47 Federal Street, Salem, MA 01970
Office building configured with multiple offices, reception, conference room, and central air, with off-street tandem parking.
Property Size2,008 SF
Price / SF$335.70
Days on Market61
Property Features for 47 Federal Street
General Information
Standard status
Active
Size
2,008 SF
Property subtype
Commercial
Building Details
Building Size
2,008 SF
Year Built
2008
Listing Agency:
1 Percent Realty, LLC
(978) 265-0318
Listed By:
George Fallon
(978) 375-6150
Source:
Iverty
Added: Jul 10
Changed: Sep 8
Last Checked: Jul 17 at 5:25AM
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 1 Percent Realty, LLC
Investment Insights
Based on property information with market context.
Well located office building currently used as an attorney at law office. The interior includes multiple offices, a reception area, a conference room, and a law library, along with two half baths and two small kitchen areas. Central air is in place throughout the building.
The property is directly across from the courthouse, with nearby access to a train location and a parking garage. Off-street parking is a key feature, offering tandem parking for two to four cars.
The building layout supports professional office use with separate private offices and shared common areas for client reception and meetings.
The property is directly across from the courthouse, with nearby access to a train location and a parking garage. Off-street parking is a key feature, offering tandem parking for two to four cars.
The building layout supports professional office use with separate private offices and shared common areas for client reception and meetings.
Key Highlights
- 1787 Gambrel office building built in 2008, currently used as an attorney at law office
- Off‑street parking allows 2–4 car tandem parking
- Configured with 4–6 offices plus reception area and a conference room
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
$49,809
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
8.30%
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%
$996,180
$996.2K
Cap Rate 7%
$711,557
$711.6K
Cap Rate 9%
$553,433
$553.4K
Market Conditions
NOI Build-Up for 1,787 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
$81.5K $45.60/SF
− Vacancy
−$15.1K −$8.44/SF
EGI
$66.4K $37.16/SF
− OpEx
−$16.6K −$9.29/SF
NOI
$49.8K $27.87/SF
Area
Essex County, MA
Vacancy
18.50%
Lease Rate
$45.60 /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%
$996,180
Cap Rate 7%
$711,557
Cap Rate 9%
$553,433
Alternative Uses
Best Use
Office B
$711.6K
$622.6K – $830.2K
NOI $49,809 @ 7.0% cap · market cap 8.30%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.06M
$925.7K – $1.23M
NOI $74,053 @ 7.0% cap · market cap 12.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,811
Businesses Nearby
Explore this area
Business Placement
Demographics for 01970, MA
44,451
Population
20,920
Households
2.1
Avg Household Size
39
Median Age
50%
College-Educated
92%
High-School Grad
8.2 sq mi
ZIP Area
5,421
Density / Sq Mi
$85,189
Median Household Income
$52,024
Median Earnings
$1,800
Median Rent
$497,500
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?
Office units - Office building configured with multiple offices, reception, conference room, and central air, with off-street tandem parking.
Where is this office units located?
The property is located at 47 Federal Street Salem, MA.
What is the asking price?
The asking price for this property is $599,900.
What are key features of this property?
This property features: 1787 Gambrel office building built in 2008, currently used as an attorney at law office; Off‑street parking allows 2–4 car tandem parking; Configured with 4–6 offices plus reception area and a conference room
