86 S Broadway · Lawrence, MA 01843

$2,395,000

1444 bd · 152.0 ba · 11,800 sqft · MultiFamily · 37 Days on market

Built 1900 Good condition 6,995 sqft lot $203/sqft · 50% above area

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Why this score? — see what drove the B- grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• Cash flow +30.0/30.0
• 1% rule +10.0/10.0
• DSCR +10.0/10.0
• ARV discount +7.5/15.0
• Condition / age +3.8/5.0
• Livability +3.5/5.0
• Rent growth +3.2/5.0
• Schools +1.2/10.0
• Appreciation +0.0/10.0

Multi-family units

County records classify this as Multi-Family (5+ Unit). Listing-text estimate: 38 units. confirmed

5+ unit building — per-unit beds/baths from public records are typically unavailable; the breakdown below (if shown) is an estimate from the listing text.

Listing remarks MLS

This 38-unit rooming house consists of (38) SRO (single room occupancy) units across 11,800 SF. The property sits on 0.16 acres, the properties second and third floor are being offered for sale separate to the retail commerical units on the first floor. This asset is well-maintained, featuring a new roof, a new heating system, and a state-of-the-art security system. All upgrades to the building have been completed in the past 3 years. The property is well-positioned on the south side of Lawrence and provides direct access to Boston via Interstates 93 and 495, MA Route 28, and The Lawrence Train Station with service on the MBTA’s Haverhill Line (0.6 miles). The property is walkable to local retail establishments, grocery stores, and parks. The cap rate upon acquisition is 10.03%. The property is currently professionally managed and they are prepared to continue managing the property for new owner. Seller will consider other property in trade to help accommodate a 1031 exchange.

Key facts

• Well-maintained
• Walkable to parks
• New roof

Tags

• NEW ROOF
• NEW HEATING SYSTEM
• WELL-MAINTAINED
• DIRECT ACCESS TO BOSTON
• WALKABLE TO GROCERY STORES
• WALKABLE TO PARKS

What this means for you Summary

Snapshot

• This is a 38 × 1-bed/1-bath units multifamily listed at $2.40M. Condition is rated good.

Deal economics

• At list price, monthly cash flow is $35k ($421k/yr) — positive. Per door: $923/mo.
• The deal already cash-flows at list — no discount required.
• Meets the 1% rule at list price ($65k rent vs $2.40M).
• Recommended offer: $2.32M (3.0% below list) — sets the bar for market timing.
• Cap rate 23.9% vs local median 4.1% in Lawrence — 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.

Location & tenants

• Location reads 70/100 on livability (#133 in MA) — a middle-class / working-renter tenant base. Strengths: commute A+, health & safety A+; Watch: crime C-, schools D, amenities D.
• Lawrence (suburban): math 10% / reading 19% proficiency, ranked #300 of 302 in MA (top 99%) — low school quality limits family demand, transient renter base, plan for 1-2y turnover; 83% free/reduced lunch — lower-income household profile, screen leases tightly.
• Market conditions: Rents rising (+2.7%/yr); 12 active listings in the ZIP; 1,032 units permitted in Essex County in 2024 (590 in 5+ unit buildings).
• At $65,354/mo this rent would consume 1160% of the median local household income ($68k/yr) (locally 1661% of renters already pay >50% of income on rent) — very limited rent-growth headroom before tenants either downsize or default.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $17k of loan paydown is wiped out by about $72k of value loss. Plan a longer hold.
• Essex County population projected at +15% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.
• At projected returns (-3.0% appreciation + 2.7% rent growth), your $671k cash investment doubles in ~2 years — after that, you're playing with house money.

Negotiation context

• It's been on market 37 days — a 3% lower offer ($2.32M) is reasonable based on typical stale-listing flexibility.

Risks & watch-outs

• Watch-outs: built in 1900 — expect roof / HVAC / electrical / plumbing capex.
• Climate carrying-cost: extreme-heat days projected 7→16/yr by 2055 (HVAC capex compounding) — expect insurance premiums to compound above CPI over the hold.

Recommended offer $2,323,150 (3.0% below list)

Questions for the listing agent

1. It's been on market 37 days. Have you received any prior offers? Is the seller open to a 3% concession, seller financing, or rate buy-down credit?
2. Can we see the unit-by-unit rent roll, current vacancy, and any below-market leases? What's the average tenancy length?
3. What capital expenditures (roof, boiler, parking lot, exteriors) have been made in the last 5 years, and what's planned in the next 2?
4. Built in 1900 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
5. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
6. 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?
7. What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
8. What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
9. How much new apartment / multifamily construction is in the pipeline within 1–3 miles? Heavy new supply (>2% of stock underway) typically softens rents 12–24 months out; light construction supports rent growth.

Investment metrics

• 1% rule: 2.73% ✓
• Cap rate: 23.87%
• Cash-on-cash: 62.77%
• DSCR: 3.79
• GRM: 3.1

CMA / ARV

• ARV (median comp): $1,595,182
• List price: $2,395,000
• Delta: 50.14%
• Verdict: OVERPRICED
• Comps: 2 within 1.0 mi

Projected returns pro-forma

-3.0% appreciation · 2.74% rent growth · sell at horizon

5-year hold

• IRR: 61.5%
• Equity multiple: 3.73×
• Total profit: $1,829,999
• Equity at exit: $357,102

10-year hold

• IRR: 66.0%
• Equity multiple: 7.57×
• Total profit: $4,404,764
• Equity at exit: $207,076

Cash invested: $670,600 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (STATE): 20 Strongly Tenant-Friendly
• State Massachusetts: 20 Strongly Tenant-Friendly · D+15
• County: — inherits STATE
• City: — inherits STATE

Cambridge / Boston historically rent-controlled (preempted 1994 but consideration ongoing); strong tenant protections; court backlogs.

Methodology + full state rankings →

ZIP-level market 01843

• Home prices YoY: -10.4%
• Rents YoY: 2.7%
• Active inventory: 12
• Price-to-rent: 116.0×

Monthly cashflow live

• Estimated rent: $65,354 medium
• Mortgage (P&I): −$12,560
• Tax est. 1.5%: −$2,994 /mo · $35,925/yr
• Insurance: −$998
• HOA: −$0
• Vacancy / Maint / Mgmt: −$13,724
• Net cashflow: $35,078

Break-even live

Break-even rent $20,951

Max offer price $2,395,000

Occupancy floor 41%

Sensitivity live

Price	-10% $36,733	-5% $35,906	+0% $35,078	+5% $34,251	+10% $33,423
Rent	-10% $29,915	-5% $32,497	+0% $35,078	+5% $37,660	+10% $40,241
Rate	-1.0pp $36,284	-0.5pp $35,687	base $35,078	+0.5pp $34,458	+1.0pp $33,826

38-unit breakdown (identical units grouped — click to expand)

Units	Beds	Baths	Est. rent
▸ 38× units	1	1	$65,360
Total (38 units)			$65,354

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $598,750
• Closing costs: $71,850
• Reserves months: —
• Total cash needed: —

Listing history 15 events

1. 2026-06-18
   days on market $2,395,000 Active 37 DOM
2. 2026-06-17
   days on market $2,395,000 Active 36 DOM
3. 2026-06-16
   days on market $2,395,000 Active 35 DOM
4. 2026-06-15
   days on market $2,395,000 Active 34 DOM
5. 2026-06-13
   days on market $2,395,000 Active 32 DOM
6. 2026-06-13
   days on market $2,395,000 Active 31 DOM
7. 2026-06-09
   days on market $2,395,000 Active 28 DOM
8. 2026-06-08
   days on market $2,395,000 Active 27 DOM
9. 2026-06-07
   days on market $2,395,000 Active 26 DOM
10. 2026-06-04
    days on market $2,395,000 Active 23 DOM
11. 2026-06-03
    days on market $2,395,000 Active 22 DOM
12. 2026-06-02
    days on market $2,395,000 Active 21 DOM
13. 2026-06-01
    days on market $2,395,000 Active 20 DOM
14. 2026-05-31
    days on market $2,395,000 Active 19 DOM
15. 2026-05-12
    listed $2,395,000 New 997-char remark

    Show marketing remark (997 chars)

    This 38-unit rooming house consists of (38) SRO (single room occupancy) units across 11,800 SF. The property sits on 0.16 acres, the properties second and third floor are being offered for sale separate to the retail commerical units on the first floor. This asset is well-maintained, featuring a new roof, a new heating system, and a state-of-the-art security system. All upgrades to the building have been completed in the past 3 years. The property is well-positioned on the south side of Lawrence and provides direct access to Boston via Interstates 93 and 495, MA Route 28, and The Lawrence Train Station with service on the MBTA’s Haverhill Line (0.6 miles). The property is walkable to local retail establishments, grocery stores, and parks. The cap rate upon acquisition is 10.03%. The property is currently professionally managed and they are prepared to continue managing the property for new owner. Seller will consider other property in trade to help accommodate a 1031 exchange.

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Climate risk First Street

• 🌡 Heat 5/10 Major
• 🫁 Air quality 2/10 Low 2 unhealthy d/yr today · 2 by 30 yrs out

Taxation est. · year 1

• Rental income: $784,248
• − Mortgage interest: −$134,157
• − Property taxes: −$35,925
• − Insurance: −$11,975
• − Repairs & maintenance: −$62,740
• − Management: −$62,740
• − Depreciation: −$69,673
• Taxable income: $407,038
• Est. tax owed @ 24.0%: −$97,689
• After-tax cash flow: $323,251/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 13 photos

Good 75/100 Cosmetic rehab

The property is in good condition with no major repairs needed. Painting and flooring upgrades can significantly increase its resale and rental value.

Value-add opportunities

• Both Painting the exterior and interior walls — Painting can enhance the curb appeal and interior aesthetics, making the property more attractive to potential buyers and renters.
• Both Upgrading the flooring — Upgrading the flooring can improve the overall look and feel of the property, making it more appealing to potential buyers and renters.

Renovation cost estimate screening

Value-add ROI direction

• Both Painting the exterior and interior walls — Painting can enhance the curb appeal and interior aesthetics, making the property more attractive to potential buyers and renters. ↑
• Both Upgrading the flooring — Upgrading the flooring can improve the overall look and feel of the property, making it more appealing to potential buyers and renters. ↑

ⓘ Cost ranges are severity-bucket heuristics (US national rule-of-thumb). Get contractor quotes + a written scope before underwriting a rehab budget.

Schools (NCES district)

• District: Lawrence
• NCES district ID: 2506660
• Math proficiency: 10% ▼ -21.00%
• Reading proficiency: 19% ▼ -11.00%
• Median HH income: $34,802
• Composite: 11.87/100
• National rank: #9672
• State rank: #300 of 302 in MA

Livability — Lawrence

• Score: 70/100
• State rank: #133
• US rank: #7750

Category grades

Amenities D Commute A+ Cost of living F Crime C- Employment D- Housing C+ Health & safety A+ User ratings F

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Lawrence, MA
• County: Essex County · 632,995 people
• City population: 35,967
• Metro: Boston-Cambridge-Newton, MA-NH
• Population (ZIP): 27,445
• Household income: $67,585
• Rent vs Own: 68.1% rent · 31.9% own
• Severe rent burden: 1661.0

Population outlook (Essex County) Hauer SSP2

• Today (2025): 840,920 people
• By 2030: 872,201 · +3.7%
• By 2040: 927,918 · +10.3%
• By 2050: 970,206 · +15.4%
• By 2075: 1,077,993 · +28.2%
• By 2100: 1,103,053 · +31.2%

Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly Hispanic (73%)
• Race & ethnicity: Hispanic / Latino 73% White 19% Two or more races 16% Asian 4% Black 3%
• Hispanic origin (detail): Mexican 1% Puerto Rican 18% Dominican 46%
• Common ancestry: Lithuanian 2% Estonian 2% Swedish 1%
• Foreign-born: 40% · Canada, Vietnam, China
• Languages at home: 28% English-only · Spanish 64% Other Indo-European 4% Other Asian/Pacific 1%

Political lean MEDSL · Essex

• 2024 margin: Strong D (+20.3) · D 59.2% · R 38.9% · Other 1.9%
• 2008→2024 swing: 0.0pp no change · 2008: 20.3pp · 2024: 20.3pp
• All cycles: 2024: D+20.3 2020: D+29.1 2016: D+22.5 2012: D+16.2 2008: D+20.3

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -49.58%
• Current HPI: 427.9146
• Rent YoY: ▲ 2.74%
• Metro: Boston-Cambridge-Newton, MA-NH
• State GDP YoY: ▲ 2.28%
• F500 in state: 38

Industry mix (Fortune 500 HQ in MA)

Industry	F500 HQs	Revenue
▸Technology	3	$17B
▸Insurance	2	$84B
▸Retail	2	$76B
▸Life Sciences	1	$43B
▸Energy Technology	1	$31B
▸Aerospace / Defense	1	$18B

Price history

1 event — show timeline

• 2026-05-12 Listed $2,395,000 MLS PIN