Flex Space with Overhead
For Sale
$1,100,000
6512 Wagon Trail, Billings, MT 59106
CommercialSale, Billings, MT
Property Size8,400 SF
Lot Size0.50 Acres
Price / SF$130.95
Days on Market39
Property Features for 6512 Wagon Trail
General Information
Property type
Commercial Sale
Property subtype
Office
Subdivision
West King Commercial Park Subd
Standard status
Active
APN
C16600
Size
8,400 SF
Lot size
0.50 Acres
Taxes and HOA fees
Tax Description
WEST KING COMMERCIAL PARK SUB (11), S07, T01 S, R25 E, BLOCK 2, Lot 13
Tax Annual Amount
8128
Legal Description
WEST KING COMMERCIAL PARK SUB (11), S07, T01 S, R25 E, BLOCK 2, Lot 13
Utilities
Sewer type
Septic Tank
Heating system
Natural Gas
Building Details
Year built
2016
Floors in Building
1
Listing Agency:
U Bar S Real Estate
(406) 652-1151
Listed By:
Carlos Davey · License #14186
(406) 690-2564
Added: Aug 3
Changed: Aug 19
Last Checked: Sep 10 at 4:06AM
MLS# 361055
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 8,400-square-foot flex property was built in 2016 with pre-engineered steel construction and a three-unit configuration. The building includes bathrooms, three overhead doors measuring 12 by 14 feet, three man doors, and 16-foot ceilings. Natural gas heating, a cistern, and septic tanks serve the property. Unit A is used by the owner, while Units B and C are occupied by one tenant and include living quarters.
Located at 6512 Wagon Trail in Billings, the property provides a functional layout for commercial, warehouse, and flexible workspace applications. The existing combination of overhead access, man doors, bathrooms, and tall ceilings supports a range of operational needs within the building.
Located at 6512 Wagon Trail in Billings, the property provides a functional layout for commercial, warehouse, and flexible workspace applications. The existing combination of overhead access, man doors, bathrooms, and tall ceilings supports a range of operational needs within the building.
Key Highlights
- 8,400‑square‑foot flex warehouse built in 2016
- Pre‑engineered steel construction with 16‑foot ceilings
- Three overhead doors measuring 12X14 and three man doors
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
$65,586
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
5.96%
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%
$1,311,720
$1.3M
Cap Rate 7%
$936,943
$936.9K
Cap Rate 9%
$728,733
$728.7K
Market Conditions
NOI Build-Up for 8,400 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
$110.9K $13.20/SF
− Vacancy
−$10.0K −$1.19/SF
EGI
$100.9K $12.01/SF
− OpEx
−$35.3K −$4.20/SF
NOI
$65.6K $7.81/SF
Area
Billings, MT
Vacancy
9.00%
Lease Rate
$13.20 /SF/Yr
Expense Ratio
35.00%
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%
$1,311,720
Cap Rate 7%
$936,943
Cap Rate 9%
$728,733
Alternative Uses
Best Use
Flex RnD
$936.9K
$819.8K – $1.09M
NOI $65,586 @ 7.0% cap · market cap 5.96%
Second Best
Warehouse
$784.0K
$686.0K – $914.6K
NOI $54,878 @ 7.0% cap · market cap 4.99%
Theoretical Best
Office A
$1.83M
$1.60M – $2.14M
NOI $128,298 @ 7.0% cap · market cap 11.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
16 ft
Clear height
3
Drive-in doors
Location Intelligence
Trade Area within ½ mile
66
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 59106, MT
20,681
Population
8,164
Households
2.5
Avg Household Size
40
Median Age
52%
College-Educated
98%
High-School Grad
112.0 sq mi
ZIP Area
185
Density / Sq Mi
$122,374
Median Household Income
$52,380
Median Earnings
$1,380
Median Rent
$483,100
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Industrial in West region
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Frequently Asked Questions
What type of property is this?
Flex space - Pre-engineered steel flex space with multiple units, natural gas heat, and septic service in Billings.
Where is this flex space located?
The property is located at 6512 Wagon Trail Billings, MT.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: 8,400‑square‑foot flex warehouse built in 2016; Pre‑engineered steel construction with 16‑foot ceilings; Three overhead doors measuring 12X14 and three man doors
