Multi-Unit Flex Office
For Sale
$450,000
1045 Central Avenue, Billings, MT 59102
COMMERCIAL - Billings, MT
Property Size2,417 SF
Lot Size0.67 Acres
Price / SF$186.18
Days on Market43
Property Features for 1045 Central Avenue
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
CX - Heavy Commercial
Subdivision
Moorberg
Standard status
Active
APN
A20306
Size
2,417 SF
Lot size
0.67 Acres
Taxes and HOA fees
Tax Description
MOORBERG SUBD, S05, T01 S, R26 E, BLOCK 1, Lot 1, S124' & Lot 2, & N16' LT 1
Tax Annual Amount
4325
Legal Description
MOORBERG SUBD, S05, T01 S, R26 E, BLOCK 1, Lot 1, S124' & Lot 2, & N16' LT 1
Utilities
Sewer type
Public Sewer
Heating system
Forced Air, Natural Gas
Cooling system
Central Air
Water source
Public
Building Details
Year built
1943
Floors in Building
1
Building materials
Brick, WoodSiding
Roof type
Asphalt
Listing Agency:
Real Estate Hub LLLP
(406) 206-4886
Listed By:
Laura Scheetz · License #RRE-BRO-LIC-11390
(406) 591-5556
Added: Jul 10
Changed: Aug 19
Last Checked: Aug 21 at 5:06PM
MLS# 359569
Copyright © 2026 Billings Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This sale includes 1045 Central Ave and 1045 1/2 Central Ave, offering flexible space for businesses that need both office and work area. The front unit totals 2,417 square feet, including attic space. There is also a garage/shop area of approximately 1,070 square feet, not including attic space, plus a back unit of approximately 1,084 square feet.
The property includes a fenced area intended for parking machinery and vehicles. Zoning is described as heavy commercial, and the seller is open to allowing a zone change if needed by the buyer.
For operations, the layout supports using the entire two-property setup as one combined facility or operating from one building and renting the other.
The property includes a fenced area intended for parking machinery and vehicles. Zoning is described as heavy commercial, and the seller is open to allowing a zone change if needed by the buyer.
For operations, the layout supports using the entire two-property setup as one combined facility or operating from one building and renting the other.
Key Highlights
- Sale includes 1045 Central Ave and 1045 1/2 Central Ave for flexible owner‑occupant and rental use
- Front unit offers 2,417 sq ft (including attic space) plus a garage/shop of approx. 1,070 sq ft (not including attic space)
- Back unit has approx. 1,084 sq ft and can be used in combination with the front building
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$26,495
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.89%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$529,900
$529.9K
Cap Rate 7%
$378,500
$378.5K
Cap Rate 9%
$294,389
$294.4K
Market Conditions
NOI Build-Up for 2,417 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$42.1K $17.40/SF
− Vacancy
−$6.7K −$2.78/SF
EGI
$35.3K $14.62/SF
− OpEx
−$8.8K −$3.65/SF
NOI
$26.5K $10.96/SF
Area
Billings, MT
Vacancy
16.00%
Lease Rate
$17.40 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$529,900
Cap Rate 7%
$378,500
Cap Rate 9%
$294,389
Alternative Uses
Best Use
Office B
$378.5K
$331.2K – $441.6K
NOI $26,495 @ 7.0% cap · market cap 5.89%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$527.4K
$461.5K – $615.3K
NOI $36,916 @ 7.0% cap · market cap 8.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
739
Businesses Nearby
Explore this area
Business Placement
Demographics for 59102, MT
48,133
Population
22,706
Households
2.1
Avg Household Size
41
Median Age
43%
College-Educated
97%
High-School Grad
15.0 sq mi
ZIP Area
3,209
Density / Sq Mi
$75,140
Median Household Income
$43,203
Median Earnings
$1,148
Median Rent
$307,400
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office units - Sale includes two connected commercial buildings with a fenced yard for parking vehicles and machinery.
Where is this office units located?
The property is located at 1045 Central Avenue Billings, MT.
What is the asking price?
The asking price for this property is $450,000.
What are key features of this property?
This property features: Sale includes 1045 Central Ave and 1045 1/2 Central Ave for flexible owner‑occupant and rental use; Front unit offers 2,417 sq ft (including attic space) plus a garage/shop of approx. 1,070 sq ft (not including attic space); Back unit has approx. 1,084 sq ft and can be used in combination with the front building
