Two-Story
For Sale
$199,900
1009 E Center St, Rochester, MN 55904
Vacant main-level apartment paired with an upstairs tenant under a long-term lease.
Property Size1,488 SF
Price / SF$134.34
Days on Market198
Property Features for 1009 E Center St
General Information
Standard status
Active
Size
1,488 SF
Property subtype
Residential Income
Taxes and HOA fees
Annual Taxes
$3,302
Building Details
Buildings
1
Stories
2
Tenancy
Multi
Listing Agency:
Larson Realty
(507) 271-4125
Listed By:
David Gibson
(507) 271-4125
Source:
Exprealty
Added: Jan 29
Changed: Aug 15
Last Checked: Aug 15 at 11:48AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Larson Realty
Investment Insights
Based on property information with market context.
This two-story duplex at 1009 E Center St in Rochester, MN, includes a vacant main-level apartment and an upstairs unit leased to a tenant under a long-term lease. The configuration supports an owner-occupied rental arrangement while retaining an established tenancy in the upper unit.
Recent improvements to the main-level apartment include new egress windows and a new front door, along with other recent updates. The property is described as a short walk from the Mayo Clinic, providing proximity to a major local employment and medical destination.
Recent improvements to the main-level apartment include new egress windows and a new front door, along with other recent updates. The property is described as a short walk from the Mayo Clinic, providing proximity to a major local employment and medical destination.
Key Highlights
- Two‑story duplex at 1009 E Center St, Rochester, MN
- Vacant main‑level apartment supports an owner‑occupied rental arrangement
- Upstairs tenant has signed a long‑term lease
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
$16,030
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
8.02%
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%
$320,600
$320.6K
Cap Rate 7%
$229,000
$229.0K
Cap Rate 9%
$178,111
$178.1K
Market Conditions
NOI Build-Up for 1,488 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
$24.1K $16.20/SF
− Vacancy
−$1.2K −$0.81/SF
EGI
$22.9K $15.39/SF
− OpEx
−$6.9K −$4.62/SF
NOI
$16.0K $10.77/SF
Area
Rochester, MN
Vacancy
5.00%
Lease Rate
$16.20 /SF/Yr
Expense Ratio
30.00%
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%
$320,600
Cap Rate 7%
$229,000
Cap Rate 9%
$178,111
Alternative Uses
Best Use
Multifamily LT 5
$229.0K
$200.4K – $267.2K
NOI $16,030 @ 7.0% cap · market cap 8.02%
Second Best
Apartment 5plus
$201.0K
$175.9K – $234.5K
NOI $14,068 @ 7.0% cap · market cap 7.04%
Theoretical Best
Office A
$573.1K
$501.5K – $668.6K
NOI $40,117 @ 7.0% cap · market cap 20.07%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
7,100
Businesses Nearby
Explore this area
Business Placement
Demographics for 55904, MN
29,813
Population
12,984
Households
2.3
Avg Household Size
35
Median Age
37%
College-Educated
93%
High-School Grad
60.1 sq mi
ZIP Area
496
Density / Sq Mi
$76,434
Median Household Income
$47,250
Median Earnings
$1,253
Median Rent
$237,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - Vacant main-level apartment paired with an upstairs tenant under a long-term lease.
Where is this duplex located?
The property is located at 1009 E Center St Rochester, MN.
What is the asking price?
The asking price for this property is $199,900.
What are key features of this property?
This property features: Two‑story duplex at 1009 E Center St, Rochester, MN; Vacant main‑level apartment supports an owner‑occupied rental arrangement; Upstairs tenant has signed a long‑term lease
