Building Details

Year Built 1985

Listing Agency: The Murphys REALTORS,Inc. d***@comcast.net Show Phone

Listed By: David A. Murphy · License #449000181 Show Phone

Source: Murphyrealtors

Added: Nov 12, 2023 Changed: Aug 20 Last Checked: Aug 21 at 10:50AM

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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 The Murphys REALTORS,Inc.

Investment Insights

Based on property information with market context.

This storage facility, established in 1985, comprises five buildings with a total area of 26,100 square feet. It features 219 units, with sizes ranging from 5x5 to 10x30. The property is situated on a 2.59-acre site located on Northfield Road (Route 63) in Erving, Massachusetts.

Key Highlights

• Large 26,100 sq ft storage facility.
• Established in 1985.
• Consists of five buildings.

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

$229,106

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

7.39%

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%

$4,582,120 $4.6M

Cap Rate 7%

$3,272,943 $3.3M

Cap Rate 9%

$2,545,622 $2.5M

Market Conditions

NOI Build-Up for 26,100 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

$344.5K $13.20/SF

− Vacancy

−$17.2K −$0.66/SF

EGI

$327.3K $12.54/SF

− OpEx

−$98.2K −$3.76/SF

NOI

$229.1K $8.78/SF

Area

Franklin County, MA

Vacancy

5.00%

Lease Rate

$13.20 /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%

$4,582,120

Cap Rate 7%

$3,272,943

Cap Rate 9%

$2,545,622

Alternative Uses

Best Use

Self Storage

$3.27M

$2.86M – $3.82M (±1% cap)

NOI $229,106 @ 7.0% cap · market cap 7.39%

Second Best

Industrial

$2.31M

$2.02M – $2.69M (±1% cap)

NOI $161,422 @ 7.0% cap · market cap 5.21%

Theoretical Best

Healthcare Medical

$10.82M

$9.47M – $12.63M (±1% cap)

NOI $757,603 @ 7.0% cap · market cap 24.44%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Self storage facilities

Suggested Use

Top Pick Building Supply Storage Facility Grocery & Convenience Store Restaurant Auto Repair Shop Food Market

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

26

Businesses Nearby

Explore this area Business Placement

Demographics for 01344, MA

1,665

Population

751

Households

2.2

Avg Household Size

44

Median Age

25%

College-Educated

95%

High-School Grad

13.8 sq mi

ZIP Area

121

Density / Sq Mi

$74,550

Median Household Income

$41,915

Median Earnings

$992

Median Rent

$241,500

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

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Frequently Asked Questions

What type of property is this?

Self storage facility - 26,100 SF storage facility on 2.59 acres in Erving.

Where is this self storage facility located?

The property is located at 8 Northfield Road Erving, MA.

What is the asking price?

The asking price for this property is $3,100,000.

What are key features of this property?

This property features: Large 26,100 sq ft storage facility.; Established in 1985.; Consists of five buildings.