91 E Park St

Springfield, MA 01105

$2,150,000C-

17 bd · 289.0 ba · 12,184 sqft · Built 1930 · MultiFamily · Active · 63 DOM

Cashflow @ list (25.0% down · 7.5%)

• Estimated rent: $20,428/mo
• Mortgage (P&I): −$11,275
• Tax + insurance: −$2,188
• HOA: −$0
• Vac / Maint / Mgmt: −$4,290
• Net cashflow: $2,675/mo
• Annual: $32,104/yr
• Cap rate: 7.79%
• Cash-on-cash: 5.33%
• DSCR: 1.24
• 1% rule: 0.95%
• Cash to close: $602,000

Investor read

• This is a 17 × 1-bed/1-bath units multifamily listed at $2.15M.
• At list price, monthly cash flow is $3k ($32k/yr) — positive. Per door: $157/mo.
• The deal already cash-flows at list — no discount required.
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $2.04M (5.0% below list).
• It's been on market 63 days — a 6% lower offer ($2.02M) is reasonable based on typical stale-listing flexibility.
• Recommended offer: $2.02M (6.0% below list) — sets the bar for market timing.
• In year one you build about $38k of equity ($15k loan paydown + $23k appreciation (1.1% local appreciation)).
• Location reads 73/100 on livability (#97 in MA) — a middle-class / working-renter tenant base. Strengths: commute A+, health & safety A+, amenities A; Watch: crime F, employment D-.
• Springfield (urban): math 13% / reading 25% proficiency, ranked #296 of 302 in MA (top 98%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 81% free/reduced lunch — lower-income household profile, screen leases tightly.
• Zoned schools: Milton Bradley School (math 7% / reading 22%, grade F, #873 of 938 statewide, top 94%, 515 students, 0% FRL); Stem Middle Academy (math 14% / reading 23%, grade F, #263 of 305 statewide, top 86%, 297 students, 0% FRL); Springfield Central High (math 27% / reading 41%, grade F, #250 of 343 statewide, top 73%, 2,095 students, 0% FRL) — zoned schools average 0% FRL vs 81% district-wide (81 pts lower); this property's tenant base skews higher-income than the district average.
• Watch-outs: built in 1930 — expect roof / HVAC / electrical / plumbing capex.
• Market conditions: 21 active listings in the ZIP; 453 units permitted in Hampden County in 2024 (116 in 5+ unit buildings).
• Hampden County population projected at +5% by 2050 — modest demand growth; plan on rents tracking national, not racing it.
• Current owner paid $1.19M; list at $2.15M implies a 81% gain — meaningful room to come down on a strong offer.
• At projected returns (1.1% appreciation + 3.0% rent growth), your $602k cash investment doubles in ~7 years — after that, you're playing with house money.
• By year 4, paydown + projected appreciation supports a ~$138k cash-out refi (75% LTV) — recoverable capital for the next deal without selling this one.
• Cap rate 7.8% vs local median 5.0% in Springfield — top-decile yield for the area; either an underpriced asset or a hidden risk that comps aren't pricing in. Stress-test before assuming the spread holds.

Questions for listing agent

• It's been on market 63 days. Have you received any prior offers? Is the seller open to a 6% concession, seller financing, or rate buy-down credit?
• Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
• What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
• Built in 1930 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
• Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
• Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
• Schools are D-rated, which usually means shorter tenancies and higher turnover. Who's the typical renter profile here, and what's been the actual vacancy rate?
• Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?