Active real-estate-and-business operating-home

718 Main Street

Price
$775,000.00
Listing Tags
turnkey
Beds
25
Size
4120 sqft
Type
Two-Family
718 Main Street

Overview

718 Main Street is an established men's recovery residence in Southbridge, Massachusetts, offered at $775,000. The two-family home runs 4,120 square feet, is configured for 25 beds, and is operating now with nearly ten years of history behind it. The sale includes both the real estate and the business.

Lease and Income Structure

718 Main Street is a bold historic home in picturesque Southbridge, Massachusetts. Worcester County, about an hour southwest of Boston and under an hour north of Hartford.

Southbridge is a town of roughly 17,000, and growing. Like much of south-central Massachusetts it has been hit hard by substance use, and it has built an active recovery community in response. For an operator that means steady demand for beds and local support for the people in them.

The house has run as a men's recovery residence for about ten years, under a couple of different operators. It is offered as the real estate and the operating business together, so a buyer takes over a program with a decade behind it instead of starting one.

The asking price includes owner financing. For a qualified buyer that can mean a relatively low down payment. Terms are negotiable; call and we'll walk through what works.

Property Financials
Bed Data
Private Beds 4
Shared Beds 21
Total Beds 25
Vacancy Rate (estimated) 20%
House Mentors 1
Revenue-Producing Beds 19.00
Weekly Rent $180.00
Intake Fee $200.00
Revenue (Annual)
Total Potential Rent Income $234,000.00
Less: Vacancy & Loss $46,800.00
Less: Mentor Rent Credit $9,360.00
Plus: Intake Fee Revenue $8,000.00
Plus: Laundry Service Revenue $4,160.00
Total Revenue $190,000.00
Expenses (Annual)
Operating Expenses $26,453.00
Property Taxes $6,024.00
Property Insurance $3,150.00
Operator Compensation $24,000.00
Total Expenses $59,627.00
Net Income
Net Operating Income $130,373.00
Valuation
Capitalization Rate 10.50%
Value on Cap Rate $1,241,648.00