By Northeast Private Client GroupMarket Overview
The Worcester County commercial investment market has demonstrated steady momentum through 2025. Despite elevated interest rates, pricing has remained resilient, supported by sustained demand across multifamily, industrial, and retail sectors. Tim McGeary, Vice President of Investment Sales at Northeast Private Client Group, notes that Worcester County remains a favorable market for investors as limited supply and low vacancy continue to drive rent growth and support stronger returns than markets closer to Boston. His perspective reflects broader market behavior, as the county’s proximity to Boston offers renters and commuters a more affordable alternative, reinforcing both tenant demand and investor confidence. Annual sales volume has stabilized following the volatility of prior years, while cap rates continue to hover near historic averages, reflecting a balanced buyer–seller dynamic.
Worcester County Commercial Sales
| Period | # Trans. | Volume | Avg. Price | Avg. Price/SF | Avg. Cap |
|---|---|---|---|---|---|
| 2025 YTD | 459 | $1.42B | $3.61M | $176.62 | 7.7% |
| 2024 | 453 | $1.37B | $3.21M | $130.74 | 7.3% |
| 2023 | 482 | $984M | $2.27M | $122.72 | 7.6% | 2022 | 595 | $1.67B | $2.98M | $124.99 | 6.8% | 2021 | 554 | $1.97B | $4.01M | $115.28 | 7.6% | 2020 | 519 | $800M | $1.91M | $83.39 | 7.6% | 2019 | 454 | $1.18B | $3.19M | $97.15 | 8.1% | 2018 | 358 | $873M | $2.89M | $83.97 | 8.4% | 2017 | 336 | $613M | $2.41M | $71.43 | 8.5% | 2016 | 345 | $576M | $1.84M | $68.59 | 8.1% | 2015 | 381 | $846M | $2.36M | $102.05 | 8.5% |
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Quarterly Property Sales
The Worcester County commercial real estate market is not just holding steady in 2025, it is expanding. With 144 trades totaling $571 million recorded through the third quarter, the county is on track for its third-highest annual transaction volume in the past decade, surpassed only by the peak years of 2021 and 2022. Early fourth-quarter figures show this momentum continuing, reinforcing the market’s upward trajectory. Pricing has also moved meaningfully higher, averaging about $176 per square foot through the first three quarters of 2025 and climbing to $314 per square foot in the fourth quarter, driven in part by a greater share of high-quality and smaller assets. While cap rates have normalized into the seven to eight percent range, sales volume and pricing remain well above pre-pandemic levels, highlighting a market that is growing rather than merely stabilizing. Worcester County continues to attract strong investor interest, supported by resilient demand and solid property performance even in a higher-rate environment.
| Period | # Trans. | Volume | Avg. Price | Avg. Price/SF | Avg. Cap |
|---|---|---|---|---|---|
| 2025 Q4 QTD | 20 | $218.47M | $13.65M | $314.12 | 8.0% |
| 2025 Q3 | 144 | $571.09M | $4.64M | $152.13 | 8.9% |
| 2025 Q2 | 136 | $262.63M | $2.19M | $146.35 | 7.1% |
| 2025 Q1 | 159 | $372.03M | $2.76M | $98.58 | 6.5% |
| 2024 Q4 | 123 | $486.79M | $4.20M | $153.52 | 7.2% |
| 2024 Q3 | 113 | $281.14M | $2.58M | $118.65 | 7.6% |
| 2024 Q2 | 137 | $270.67M | $2.10M | $115.04 | 7.2% |
| 2024 Q1 | 80 | $330.09M | $4.52M | $143.58 | 7.4% |
| 2023 Q4 | 112 | $187.98M | $1.86M | $110.45 | 8.0% |
| 2023 Q3 | 126 | $338.70M | $3.08M | $123.09 | 7.0% |
| 2023 Q2 | 138 | $296.92M | $2.32M | $111.62 | 7.9% |
| 2023 Q1 | 106 | $161.22M | $1.72M | $67.83 | 6.5% |
| 2022 Q4 | 134 | $313.80M | $2.43M | $125.21 | 7.6% |
| 2022 Q3 | 172 | $461.28M | $2.92M | $127.63 | 6.3% |
| 2022 Q2 | 163 | $435.04M | $2.82M | $130.53 | 6.8% |
| 2022 Q1 | 126 | $458.21M | $3.88M | $120.87 | 6.4% |
| 2021 Q4 | 170 | $882.61M | $6.05M | $109.47 | 7.2% |
| 2021 Q3 | 154 | $548.44M | $3.68M | $125.79 | 6.7% |
| 2021 Q2 | 134 | $378.83M | $3.27M | $85.02 | 7.4% |
| 2021 Q1 | 96 | $160.33M | $2.00M | $92.15 | 9.8% |
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Multifamily Market Overview
Investment Momentum Remains Strong Across Worcester County
Worcester County multifamily investment activity has accelerated sharply in 2025 with total sales volume reaching about $710 million year-to-date, nearly triple last year’s pace as larger transactions and renewed investor confidence drive the market. Average pricing has climbed to roughly $222,000 per unit while cap rates have compressed slightly to around 7.2 percent, reflecting continued demand despite elevated financing costs. At the same time, market asking rents, which had risen steadily for several years, have begun to ease from their recent highs near $1,900 per unit. The softening in rents suggests that while investment momentum and pricing remain strong, fundamentals are starting to stabilize as the market absorbs new supply and faces affordability pressures.
| Period | Volume | Avg. Price/Unit | Avg. Cap |
|---|---|---|---|
| 2025 YTD | $710M | $221,949 | 7.2% |
| 2024 | $257M | $186,923 | 7.4% |
| 2023 | $198M | $162,993 | 7.2% |
| 2022 | $331M | $167,432 | 6.4% |
| 2021 | $368M | $210,252 | 8.0% |
| 2020 | $130M | $99,923 | 7.9% |
Market Asking Rent Trend
Office Market Overview
Office Market Holds Steady as Pricing Firms and Rent Growth Persists
Office investment activity in Worcester County has moderated in 2025, with total sales volume reaching about $54 million to date as investors remain cautious in a higher rate environment. Average pricing has shown slight growth, rising to roughly $115 per square foot and signaling resilience among stabilized assets and well located office properties. Cap rates have widened to approximately 8.9 percent, reflecting adjusted return expectations and more selective buyer behavior. At the same time, market asking rents have continued their upward trend, reaching nearly $24 per square foot, supported by limited new construction and consistent tenant demand across the county’s core office corridors.
| Period | Volume | Avg. Price/SF | Avg. Cap |
|---|---|---|---|
| 2025 YTD | $54.21M | $114.80 | 8.9% |
| 2024 | $42.20M | $99.07 | 6.9% |
| 2023 | $115.85M | $97.20 | 8.2% |
| 2022 | $138.96M | $113.08 | 7.9% |
| 2021 | $164.63M | $94.19 | 7.2% |
| 2020 | $144.47M | $85.26 | 7.4% |
Office Market Asking Rent Trend
Retail Market Overview
Retail Market Holds Steady as Pricing Strengthens and Rents Continue to Rise
Retail properties in Worcester County continue to attract steady investor interest in 2025, supported by a tenant base that has proven both resilient and adaptable. Year to date, the market has recorded approximately $218 million in retail sales across a wide mix of neighborhood centers, service oriented strips, and single tenant assets. Buyers have been particularly active in well trafficked corridors, helping push average pricing to about $165 per square foot as confidence grows around the performance of necessity driven and experiential retail. Cap rates are averaging near 7.1 percent, a level that reflects disciplined underwriting but also a recognition that stabilized centers in strong locations continue to generate reliable income. At the same time, asking rents have been rising, now reaching roughly $18.40 per square foot. Limited new development, healthy tenant sales, and consistent demand from service providers have kept space tight and allowed landlords to steadily move rents higher throughout the county.
| Period | Sales Volume | Avg. $/SF | Avg. Cap |
|---|---|---|---|
| 2025 YTD | $217.8M | $165.63 | 7.1% |
| 2024 | $304.1M | $151.43 | 7.3% |
| 2023 | $222.0M | $161.87 | 7.9% |
| 2022 | $374.1M | $140.77 | 7.1% |
| 2021 | $267.0M | $129.68 | 7.7% |
| 2020 | $138.6M | $133.62 | 7.7% |
Retail Market Asking Rent Trend
Industrial Market Overview
Industrial Sector Strengthens as Pricing Climbs
Industrial assets continue to set the pace in Worcester County’s commercial market, with activity in 2025 shaped by both rising user demand and a shift in investor strategy. Year to date, roughly $285 million in sales have traded hands, driven in large part by the region’s appeal to distributors, manufacturers, and service operators seeking affordable space with strong highway access. This demand has pushed pricing to about $134 per square foot, a noticeable step up from the prior year and a reflection of how tightly the market is being bid for modern logistics and flex product. Cap rates, now averaging around 7.8 percent, show that investors are adjusting to borrowing costs while still valuing the durability of industrial cash flows. Asking rents are approaching $10.50 per square foot as absorption remains healthy and new supply remains limited, allowing landlords to maintain leverage as tenants compete for functional space in well-connected submarkets.
| Period | Volume | Avg. Price/SF | Avg. Cap |
|---|---|---|---|
| 2025 YTD | $285M | $134.48 | 7.8% |
| 2024 | $413M | $96.71 | 7.0% |
| 2023 | $278M | $108.88 | 8.5% |
| 2022 | $476M | $95.55 | 6.9% |
| 2021 | $855M | $101.83 | 7.2% |
| 2020 | $257M | $70.13 | 6.8% |
Industrial Market Asking Rent Trend
NPCG Transactions
| Property & Address | Sale Price | Units | SF | PPU/PPSF | |
|---|---|---|---|---|---|
|
13 Elizabeth St, 2 Delldale St, 201 Dewey
St Worcester MA Multi-family |
$7,100,000 | 39 | 35,903 | $182,051 / Unit |
|
Providence Road Portfolio Northbridge & Whitinsville MA Multifamily |
$3,000,000 | 18 | – | $166,667 / Unit |
|
Ferry Street Apartments Everett MA Multi-family |
$3,160,000 | 10 | 9,264 | $316,000 / Unit |
|
31 Jewett St Lowell MA Multifamily |
$2,132,500 | 9 | 6,032 | $236,944 / Unit |
Notable Transactions
| Property & Address | Sale Price | Units | SF | PPU/PPSF | |
|---|---|---|---|---|---|
|
5 Suburban Rd Worcester MA Multifamily |
$25,725,000 | 92 | 106,088 | $279,620 / Unit |
|
1 Oak St Westborough MA Retail |
$10,000,000 | – | 35,371 | $282.72 / SF |
|
169-171 Mill St Worcester MA Multifamily |
$5,000,000 | 23 | 22,609 | $217,391 / Unit |
|
109 Creeper Hill Rd North Grafton MA Industrial |
$4,040,000 | – | 24,900 | $162.25 / SF |
|
416 Belmont St Worcester MA Office |
$2,299,000 | – | 12,915 | $178.01 / SF |
Your Market Expert
| Agent Information | Contact | |
|---|---|---|
|
Tim McGeary Vice President, Investment Sales Licensed in: MA, CT, RI |
(857) 990-6804 tmcgeary@northeastpcg.com |
Interested in more information?
Data gathered from CoStar Inc. & Analyzed by Northeast Private Client Group. Data verified by Northeast Private Client Group Q4 2025.
