Building Details

Year Built 1900

Buildings 1

Units 1

Listing Agency: ABG Commercial Realty

Listed By: Clare Thompson · License #MA 7492 Show Phone

Source: Crexi

Added: Mar 26 Changed: Sep 10 Last Checked: Sep 13 at 3:56AM

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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 ABG Commercial Realty

Investment Insights

Based on property information with market context.

This industrial building in Charlestown, Massachusetts, offers approximately 25,000 square feet of usable space on a 14,700 square foot parcel of land. It has functioned as a manufacturing facility for leather softening products for over a century. The property is equipped for industrial operations with industrial grade utility service, steam boiler heating, and two loading docks. The property has grandfathered industrial zoning, along with recently upgraded overlay zoning for redevelopment. Situated at the Sullivan Square rotary of Charlestown, the location provides convenient access to Boston, interstate routes (rte 93, rt 1 Tobin Bridge, rte 99 Everett), and the MBTA Sullivan Sq Orange Line train and bus station. The property is located amidst new developments such as Encore Casino, Hood Park mixed use/life science development, Berkeley Development's The Graphic Lofts, and several recently approved projects, creating potential for redevelopment.

Key Highlights

• Prime location at Sullivan Square rotary in Charlestown, offering convenient access to Boston, major highways, and MBTA Sullivan Sq Orange Line train and bus station.
• Grandfathered industrial zoning with recently upgraded overlay zoning, creating redevelopment potential.
• Approximately 25,000 square feet of usable space on a 14,700 square foot parcel.

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

$263,109

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

5.85%

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%

$5,262,180 $5.3M

Cap Rate 7%

$3,758,700 $3.8M

Cap Rate 9%

$2,923,433 $2.9M

Market Conditions

NOI Build-Up for 25,000 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

$402.0K $16.08/SF

− Vacancy

−$26.1K −$1.05/SF

EGI

$375.9K $15.03/SF

− OpEx

−$112.8K −$4.51/SF

NOI

$263.1K $10.52/SF

Area

Boston, MA

Vacancy

6.50%

Lease Rate

$16.08 /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%

$5,262,180

Cap Rate 7%

$3,758,700

Cap Rate 9%

$2,923,433

Alternative Uses

Best Use

Industrial

$3.76M

$3.29M – $4.39M (±1% cap)

NOI $263,109 @ 7.0% cap · market cap 5.85%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$18.72M

$16.38M – $21.84M (±1% cap)

NOI $1,310,400 @ 7.0% cap · market cap 29.12%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

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Current Use

Manufacturing properties

Suggested Use

Top Pick Real Estate Agency Building Supply Dental Office Big Box & Wholesale Store Spa & Massage Center Auto Parts Store

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

1,569

Businesses Nearby

Explore this area Business Placement

Demographics for 02129, MA

19,120

Population

9,987

Households

1.9

Avg Household Size

36

Median Age

71%

College-Educated

94%

High-School Grad

1.4 sq mi

ZIP Area

13,657

Density / Sq Mi

$157,192

Median Household Income

$101,310

Median Earnings

$2,258

Median Rent

$926,000

Median Home Value

Market

Vacancy Rate% for Industrial in Northeast region

5.4% 2019

4.6% 2020

3.2% 2021

3.3% 2022

5.3% 2023

6.6% 2024

7.6% 2025

Questions? Ask Rey

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What type of property is this? Where is this manufacturing properties located? What is the asking price? Find similar properties What are key features of this property?

Frequently Asked Questions

What type of property is this?

Manufacturing property - 25,000 SF industrial building in Charlestown with redevelopment potential.

Where is this manufacturing property located?

The property is located at 62 Alford Street Charlestown, MA.

What is the asking price?

The asking price for this property is $4,500,000.

What are key features of this property?

This property features: Prime location at Sullivan Square rotary in Charlestown, offering convenient access to Boston, major highways, and MBTA Sullivan Sq Orange Line train and bus station.; Grandfathered industrial zoning with recently upgraded overlay zoning, creating redevelopment potential.; Approximately 25,000 square feet of usable space on a 14,700 square foot parcel.