649East7thPrint

GRIFFITH | PEPDJONOVIC 649

EAST 7TH STREET

BOSTON, MA

LUXURY
3-UNIT

MULTI-FAMILY

INVESTMENT SUMMARY

649 East 7th Street is a newly renovated 3-unit apartment
building located in South Boston. The property is fully-occupied
and is comprised of (2) two-bedroom / one-bathroom units and (1)
one-bedroom / 1 bathroom unit. The apartments feature spacious
open floorplans and are fully equipped with luxury appointments.
649 East 7th Street is a versatile offering that bodes well as a long
term rental property or a condominium conversion play. South
Boston continues to be one of New England’s strongest real estate
markets and investors will be able to take advantage of the
tremendous rent growth and property appreciation this area
continues to experience year after year.
South Boston has become one of Boston’s most desirable
neighborhoods to live and work. It offers superior convenience to
Downtown Boston and the Financial District. The energetic South
Boston Waterfront now has dozens of restaurants and entertainment
options, hotels, major attractions, and continues to grow at a rapid
pace. Many of the nation’s prominent employers in the technology,
healthcare, biotechnology, apparel, and financial service sectors have
moved into South Boston.
The property is only 8 minutes to Downtown Boston by car and
also has two Red Line MBTA stations nearby. There is also highway
access to I-93 only 4 minutes away.

DOWNTOWN

BACK BAY SEAPORT
SOUTH END
CHINATOWN FORT POINT

CONVENTION CENTER SEAPORT SQUARE

The Boston Convention The largest real estate
Center features 2.1 million project in Boston’s history.
sqft of space and brings
The development will
in more than a million feature 7.6 million sqft of
attendees per year. space across 20 blocks.

SOUTH BOSTON

CARSON BEACH

AREA MAP LOGAN AIRPORT

DESIGN CENTER South Boston

The 1.4 million sqft South Boston has seen significant
complex is home to 48 development and corporate relocations
different companies and in the past few years. There is currently
over 350,000 square feet millions of square feet currently being
developed. General Electric, Vertex
of showroom space. Pharmaceuticals, Reebok, and many
other companies have chosen South
Boston to be their corporate
headquarters recently. South Boston has
an average household income of $98,000
and a median age of 32 years old.

CASTLE ISLAND

649 EAST 7TH ST.

THE

FASTEST

GROWING

MARKET

10 MILLION
SF OF NEW

DEVELOPMENTS

NEARBY DEVELOPMENTS

Seaport Square

The largest single real estate project in
city history, spanning 23 acres across 20
city blocks. WS Development is
building 7.6 million square feet of mixed
use development. The Square will feature
3.2 million sqt of residential, 2.8 million
sqft of office space, 1.1 million sqft of
retail space and 450,000 sqft hotel space.
There will also be 8.8 acres of public
park space.

Echelon Seaport

Echelon is a 1.33 million sqft development
located steps away from the harbor walk.
Echelon will consist of 733 residential
units and 125,000 SF of retail space spread
across 3 buildings. Echelon Seaport will
also have a 19,000 sqft landscaped
plaza, which will be accessible to the
public. Prices will start at $700,000 for a
studio and $4,000,000 for a 3 bedroom.

Greater Boston Metro

Steeped in history, the Boston metro spans
4,128 square miles across Essex, Middlesex,
Norfolk, Plymouth and Suffolk counties in
Massachusetts, and Rockingham and
Strafford counties in southeastern New
Hampshire. The region is home to
approximately 4.8 million individuals and
accounts for nearly 70 percent of all
Massachusetts’ residents. Boston is the
most populous city in the metro with roughly
675,200 citizens. It is located along the
Atlantic seaboard and fronts Boston Harbor.

Boston has transitioned from a
manufacturing hub to one of the top
innovation, healthcare and education centers
of the world. The metro is home to a thriving
startup ecosystem, with medical research at
world-renowned institutions such as Harvard
and MIT at its core.

4.8M $82K #3

GREATER BOSTON HOUSEHOLD INCOME HIGHEST INCOME PER
POPULATION IN GREATER BOSTON CAPITA IN THE US

1.9M 3.1% 500K

GREATER BOSTON UNEMPLOYMENT COLLEGE STUDENTS IN
HOUSEHOLDS RATE IN BOSTON GREATER BOSTON

100+ 16M+ 36M

LEADING EDUCATION VISITORS TO BOSTON PASSENGERS OUT
INSTITUTIONS AND CAMBRIDGE OF LOGAN AIRPORT

130+ #1

HOSPITALS IN STATE IN THE US BY
GREATER BOSTON US NEWS AND WORLD

REPORT

PRICING DETAILS $1,325,000 RETURNS Current Year 1

Price 3 Returns 5.26% 5.43%
$441,667 15.34 14.92
Number of Units $695.17 CAP Rate 5.26% 5.43%
Price Per Unit GRM
Price Per Sqft 1,906 Cash-on-Cash
Rentable SqFt 0.76 Acres
Lot Size

DETAILED RENT ROLL

Unit Unit Type Current Rent/Month Potential Rent/Month
1 Bedroom / 1 Bathroom
Unit 1 2 Bedroom / 1 Bathroom $2,200 $2,200
Unit 2 2 Bedroom / 1 Bathroom $2,500 $2,600
Unit 3 $2,500 $2,600
Total $7,200 $7,400

OPERATING STATEMENT Current Year 1 Per Unit Per SF
$29,600 $46.59
Income $86,400 $88,800 ($888) ($1.40)
($2,592) 3.0% ($2,664) 3.0% $28,712 $45.19
Gross Scheduled Rent
Total Vacancy $83,808 $86,136 -- --
Effective Rental Income -- -- $500 $0.79
Other Income $29,212 $45.98
Laundry Income $1,500 $1,500 Per Unit Per SF
Effective Gross Income $85,308 $87,636 $$2,281 $$3.59
Current Year 1 $$715 $$1.13
Operating Expenses $$120 $$0.19
Real Estate Taxes $$6,842 $$6,842 $$213 $$0.33
Insurance $$2,146 $$2,146 $$500 $$0.79
Utilities - Electric $$360 $$360 $$1,168 $$1.84
Utilities - Water & Sewer $$638 $$638 $$250 $$0.39
Repairs & Maintenance $$1,500 $$1,500 $5,247 $8.26
Management/Grounds Maintenance $$3,412 (4.0%) $$3,505 (4.0%)
Operating Reserves $$750 $$750 $23,965 $37.72
Total Expenses $15,648 $15,741
Expenses as % of EGI 18.3% 18.0%
Net Operating Income $69,660 $71,895

Marcus & Millichap is the leading real estate investment $42B
services firm in the United States. With over 80 offices and
1,800 sales agents across the United States and Canada, RECENTLY CLOSED
Marcus & Millichap brings national experience to local TRANSACTIONS
market expertise.
............................................................................
George M. Marcus and William A. Millichap revolutionized the
real estate brokerage industry. Marcus & Millichap was designed 8,979
to go far beyond simply facilitating real estate transactions. It
was developed as an entire system dedicated to maximizing TRANSACTIONS
value for real estate investors. CLOSED IN 2017

............................................................................

1,819+

INVESTMENT
PROFESSIONALS

3,500+ GRIFFITH | PEPDJONOVIC

TOTAL MULTI-FAMILY Evan Griffith and Tony Pepdjonovic lead the top-producing team in the
UNITS SOLD Boston Marcus & Millichap office. Evan and Tony have formed a collaborative
investment sales team focusing on the New England market. They are
.............................................................................. dedicated to being relationship-oriented with the crux of the team’s focus on
multi-family, mixed-use buildings as well as guiding clients through the 1031
1031 exchange process.

EXCHANGE The team’s foremost goal is to exceed the expectations
SPECIALISTS of each client, deliver superior results and solidify
strong lifetime relationships. Griffith & Pepdjonovic
.............................................................................. are known for their honesty and integrity and take
pride in their many repeat clients.
#1

TEAM BOSTON OFFICE
IN 2016, 2017, 2018

GRIFFITH | PEPDJONOVIC

Evan Griffith

First Vice President Investments
Boston Office

Tel: (617) 896-7221
Fax: (617) 701-7019
[email protected]

Tony Pepdjonovic

Senior Associate
Boston Office

Tel: (617) 896-7277
Fax: (617) 539-8331
[email protected]