Iconic Corner Property in
For Sale
$699,000
Pending
988-994 Main St, Springfield, MA 01105
Prime location with storefronts, residential opportunity, and parking.
Property Size3,990 SF
Lot Size0.11 Acres
Days on Market165
Property Features for 988-994 Main St
General Information
Standard status
Pending
Size
3,990 SF
Lot size
0.11 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$11,914
Building Details
Building Size
3,990 SF
Year Built
1890
Listing Agency:
BHHS - Realty Professionals | East Longmeadow
(413) 246-9982
Listed By:
Paul Zingarelli · License #452507261
(413) 246-9982
Source:
Elliman
Added: Mar 10
Changed: Aug 16
Last Checked: Aug 20 at 10:16AM
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 BHHS - Realty Professionals | East Longmeadow
Investment Insights
Based on property information with market context.
Located at the corner of Main Street and Union Street in Springfield, this property is home to Milano Imported Fine Foods, Inc. The location offers visibility and foot traffic, situated steps from the MGM Casino and outdoor concert venues, and near the Mass Mutual Center. The property is surrounded by businesses and provides access to I-91. The property includes two storefronts, an upper-level residential opportunity, and a parking lot. It is located in a commercial hub and may be suitable for a franchise opportunity and residential leasing.
Key Highlights
- Prime corner location at Main Street and Union Street with high visibility and foot traffic.
- Includes two storefronts, offering immediate commercial leasing potential.
- Upper‑level residential opportunity for additional income or owner occupancy.
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
$46,252
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
6.62%
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%
$925,040
$925.0K
Cap Rate 7%
$660,743
$660.7K
Cap Rate 9%
$513,911
$513.9K
Market Conditions
NOI Build-Up for 3,990 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
$71.8K $18.00/SF
− Vacancy
−$5.7K −$1.44/SF
EGI
$66.1K $16.56/SF
− OpEx
−$19.8K −$4.97/SF
NOI
$46.3K $11.59/SF
Area
Springfield, MA
Vacancy
8.00%
Lease Rate
$18.00 /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%
$925,040
Cap Rate 7%
$660,743
Cap Rate 9%
$513,911
Alternative Uses
Best Use
Retail
$660.7K
$578.2K – $770.9K
NOI $46,252 @ 7.0% cap · market cap 6.62%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.08M
$948.0K – $1.26M
NOI $75,842 @ 7.0% cap · market cap 10.85%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,467
Businesses Nearby
120k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 54%
Shops & Services 19%
Leisure 18%
Hotels & Casinos 8%
Regal MGM Springfield
Leisure
22,010 visits/mo
0.1 miles
Starbucks
Dining
18,583 visits/mo
0.1 miles
Burger King
Dining
16,461 visits/mo
0.1 miles
Dunkin' Donuts
Dining
11,451 visits/mo
0.2 miles
UNO Pizzeria & Grill
Dining
9,249 visits/mo
0.4 miles
Demographics for 01105, MA
12,051
Population
5,554
Households
2.2
Avg Household Size
33
Median Age
8%
College-Educated
64%
High-School Grad
1.2 sq mi
ZIP Area
10,043
Density / Sq Mi
$22,994
Median Household Income
$24,078
Median Earnings
$976
Median Rent
$238,400
Median Home Value
Market
Vacancy Rate% for Retail in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
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Frequently Asked Questions
What type of property is this?
Storefront property - Prime location with storefronts, residential opportunity, and parking.
Where is this storefront property located?
The property is located at 988-994 Main St Springfield, MA.
What is the asking price?
The asking price for this property is $699,000.
What are key features of this property?
This property features: Prime corner location at Main Street and Union Street with high visibility and foot traffic.; Includes two storefronts, offering immediate commercial leasing potential.; Upper‑level residential opportunity for additional income or owner occupancy.
