Six-Unit Multifamily
For Sale
$1,499,000
85 Governor St, Providence, RI 02906
Six-unit multi-family with lead certification and on-demand hot water, plus a six-bay garage for additional income.
Property Size4,257 SF
Price / SF$352.13
Days on Market100
Property Features for 85 Governor St
General Information
Standard status
Active
Size
4,257 SF
Property subtype
Multi-Family
Additional Details
Highway Access
Yes
Multifamily Units
6
Amenities
hardwood floors
stainless steel appliances
updated bathrooms
newer windows
Building Details
Year Built
1940
Tenancy
Multi
Listing Agency:
Archive Realty
Listed By:
Kelly Wilson
(401) 533-4279
Source:
Alpernandmesenbourg
Added: Jun 4
Changed: Sep 8
Last Checked: Sep 9 at 10:34PM
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 Archive Realty
Investment Insights
Based on property information with market context.
This six-unit multifamily property is located in Providence and is lead certified. The building includes hardwood floors throughout, and some units feature updated bathrooms and stainless steel appliances. Recent upgrades noted in the offering include a brand new whole-house boiler system, a brand new on-demand water heater, newer windows, and a newer roof.
The property is described as being in the College Hill area on the East Side of Providence, within walking distance to Brown University, RISD, and Thayer Street. Additional convenience is noted for access to highways, parks, restaurants, shopping, and other nearby amenities.
A six-bay garage is included, providing room for added income or possible ADUs. The information provided also indicates long-term leases and a steady rental income stream.
The property is described as being in the College Hill area on the East Side of Providence, within walking distance to Brown University, RISD, and Thayer Street. Additional convenience is noted for access to highways, parks, restaurants, shopping, and other nearby amenities.
A six-bay garage is included, providing room for added income or possible ADUs. The information provided also indicates long-term leases and a steady rental income stream.
Key Highlights
- Six‑unit multi‑family house in College Hill, Providence (est. 1940 build).
- Lead certified property with all units maintained and featuring hardwood floors.
- Brand new whole‑house boiler system and brand new whole‑house on‑demand water heater.
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
$64,568
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
4.31%
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%
$1,291,360
$1.3M
Cap Rate 7%
$922,400
$922.4K
Cap Rate 9%
$717,422
$717.4K
Market Conditions
NOI Build-Up for 4,257 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
$125.2K $29.40/SF
− Vacancy
−$7.8K −$1.82/SF
EGI
$117.4K $27.58/SF
− OpEx
−$52.8K −$12.41/SF
NOI
$64.6K $15.17/SF
Area
Providence, RI
Vacancy
6.20%
Lease Rate
$29.40 /SF/Yr
Expense Ratio
45.00%
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%
$1,291,360
Cap Rate 7%
$922,400
Cap Rate 9%
$717,422
Alternative Uses
Best Use
Apartment 5plus
$922.4K
$807.1K – $1.08M
NOI $64,568 @ 7.0% cap · market cap 4.31%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.42M
$1.25M – $1.66M
NOI $99,694 @ 7.0% cap · market cap 6.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
6
Residential units
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
2,538
Businesses Nearby
Explore this area
Business Placement
Demographics for 02906, RI
25,559
Population
13,468
Households
1.9
Avg Household Size
35
Median Age
80%
College-Educated
97%
High-School Grad
3.1 sq mi
ZIP Area
8,245
Density / Sq Mi
$102,796
Median Household Income
$57,214
Median Earnings
$1,729
Median Rent
$582,700
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in Northeast region
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Frequently Asked Questions
What type of property is this?
Apartment building - Six-unit multi-family with lead certification and on-demand hot water, plus a six-bay garage for additional income.
Where is this apartment building located?
The property is located at 85 Governor St Providence, RI.
What is the asking price?
The asking price for this property is $1,499,000.
What are key features of this property?
This property features: Six‑unit multi‑family house in College Hill, Providence (est. 1940 build).; Lead certified property with all units maintained and featuring hardwood floors.; Brand new whole‑house boiler system and brand new whole‑house on‑demand water heater.
