Leased Retail
For Sale
Contact for pricing
574 Southbridge Street, Worcester, MA 01610
The property is occupied under a long-term triple-net lease with an established furniture and mattress retailer.
Property Size14,958 SF
Price / SF$157.11
Days on Market9
Property Features for 574 Southbridge Street
General Information
Standard status
Active
Size
14,958 SF
Total Parking Spaces
11
Property subtype
Retail
Zoning
BL-1
Occupancy
100%
Additional Details
Cap Rate
7.7%
Building Details
Buildings
1
Tenancy
Single
Listing Agency:
Greater Boston Commercial Properties, Inc
Listed By:
Bret O'Brien · License ##8994
(508) 925-7477
Source:
Crexi
Added: Sep 17
Changed: Sep 24
Last Checked: Sep 24 at 2:05PM
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 Greater Boston Commercial Properties, Inc
Investment Insights
Based on property information with market context.
The 14,958-square-foot retail building is fully leased to Better Home Furniture & Mattress. Its 10-year triple-net lease began August 1, 2024, and the property carries BL-1 zoning.
Located at 574 Southbridge Street in Worcester, the property has 11 off-street parking spaces, with additional street parking on Washburn Street.
Located at 574 Southbridge Street in Worcester, the property has 11 off-street parking spaces, with additional street parking on Washburn Street.
Key Highlights
- 14,958‑square‑foot retail building
- Fully leased to Better Home Furniture & Mattress
- 10‑year triple‑net lease commenced August 1, 2024
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
$205,590
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
8.75%
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%
$4,111,800
$4.1M
Cap Rate 7%
$2,937,000
$2.9M
Cap Rate 9%
$2,284,333
$2.3M
Market Conditions
NOI Build-Up for 14,958 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
$314.1K $21.00/SF
− Vacancy
−$20.4K −$1.37/SF
EGI
$293.7K $19.64/SF
− OpEx
−$88.1K −$5.89/SF
NOI
$205.6K $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%
$4,111,800
Cap Rate 7%
$2,937,000
Cap Rate 9%
$2,284,333
Alternative Uses
Best Use
Retail
$2.94M
$2.57M – $3.43M
NOI $205,590 @ 7.0% cap · market cap 8.75%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.99M
$4.37M – $5.82M
NOI $349,486 @ 7.0% cap · market cap 14.87%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Unlock full access to Insights
Subscribe to Realmo Intelligence
Open Analytics
Current Use
Lease Details
100%
Occupancy
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,165
Businesses Nearby
118k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 41%
Shops & Services 34%
Groceries 21%
Electronics 3%
Price Rite
Groceries
24,625 visits/mo
Wendy's
Dining
22,799 visits/mo
0.3 miles
Dollar Tree
Shops & Services
16,237 visits/mo
0.1 miles
Gulf Oil
Shops & Services
15,181 visits/mo
0.1 miles
Dunkin' Donuts
Dining
15,035 visits/mo
0.1 miles
Demographics for 01610, MA
28,717
Population
10,263
Households
2.8
Avg Household Size
28
Median Age
18%
College-Educated
74%
High-School Grad
2.1 sq mi
ZIP Area
13,675
Density / Sq Mi
$43,757
Median Household Income
$22,978
Median Earnings
$1,339
Median Rent
$279,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Storefront property - The property is occupied under a long-term triple-net lease with an established furniture and mattress retailer.
Where is this storefront property located?
The property is located at 574 Southbridge Street Worcester, MA.
What is the asking price?
The asking price for this property is $2,350,000.
What are key features of this property?
This property features: 14,958‑square‑foot retail building; Fully leased to Better Home Furniture & Mattress; 10‑year triple‑net lease commenced August 1, 2024
