Insulated Warehouse Unit with Overhead
For Sale
Contact for pricing
10120 72nd St NE, Otsego, MN 55301
Insulated warehouse space with 18' clear height, 5-inch concrete floors with drains, and a 12' x 14' overhead door.
Property Size1,200 SF
Price / SF$236.58
Days on Market212
Property Features for 10120 72nd St NE
General Information
Standard status
Active
Size
1,200 SF
Property subtype
INDUSTRIAL
Additional Details
Utilities to Site
Yes
Clear Height
18 ft
Amenities
high speed internet
exterior lighting
landscaping
trash removal
lawn maintenance
snow removal
Listing Agency:
Commercial Realty Solutions LLC
(763) 682-2400
Listed By:
Sheila Zachman
(763) 244-0600
Source:
Moodyscre
Added: Feb 12
Changed: Aug 14
Last Checked: Sep 12 at 4:12AM
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 Commercial Realty Solutions LLC
Investment Insights
Based on property information with market context.
This insulated warehouse unit features steel-lined, insulated interior walls and ceilings, along with 5-inch concrete floors with drains. Lighting includes LED fixtures, and the space is supported by a hanging natural gas heater. Electrical service is 100 amps with 3-phase power, and high-speed internet is available.
The facility offers an insulated 12' x 14' overhead door with windows and a jack-shaft heavy-duty opener, plus one steel entry door. Plumbing is stubbed for a bathroom. Exterior lighting and landscaping are included.
The association covers trash removal, lawn maintenance, and snow removal. City water and sewer are available, and the unit is stated to have PIDs and 2026 taxes reflected in the listing information.
The facility offers an insulated 12' x 14' overhead door with windows and a jack-shaft heavy-duty opener, plus one steel entry door. Plumbing is stubbed for a bathroom. Exterior lighting and landscaping are included.
The association covers trash removal, lawn maintenance, and snow removal. City water and sewer are available, and the unit is stated to have PIDs and 2026 taxes reflected in the listing information.
Key Highlights
- Insulated warehouse space with steel‑lined interior walls and ceilings
- 18' clear height with LED lighting and exterior lighting/landscaping
- 5‑inch concrete floors with drains for improved functionality
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
$15,830
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
5.58%
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%
$316,600
$316.6K
Cap Rate 7%
$226,143
$226.1K
Cap Rate 9%
$175,889
$175.9K
Market Conditions
NOI Build-Up for 1,200 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
$19.4K $16.20/SF
− Vacancy
−$816 −$0.68/SF
EGI
$18.6K $15.52/SF
− OpEx
−$2.8K −$2.33/SF
NOI
$15.8K $13.19/SF
Area
Hennepin County, MN
Vacancy
4.20%
Lease Rate
$16.20 /SF/Yr
Expense Ratio
15.00%
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%
$316,600
Cap Rate 7%
$226,143
Cap Rate 9%
$175,889
Alternative Uses
Best Use
Warehouse
$226.1K
$197.9K – $263.8K
NOI $15,830 @ 7.0% cap · market cap 5.58%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$286.3K
$250.5K – $334.0K
NOI $20,041 @ 7.0% cap · market cap 7.06%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
18 ft
Clear height
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
91
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 55301, MN
12,791
Population
4,720
Households
2.7
Avg Household Size
33
Median Age
44%
College-Educated
98%
High-School Grad
8.2 sq mi
ZIP Area
1,560
Density / Sq Mi
$131,157
Median Household Income
$65,890
Median Earnings
$1,458
Median Rent
$324,000
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - Insulated warehouse space with 18' clear height, 5-inch concrete floors with drains, and a 12' x 14' overhead door.
Where is this warehouse located?
The property is located at 10120 72nd St NE Otsego, MN.
What is the asking price?
The asking price for this property is $283,900.
What are key features of this property?
This property features: Insulated warehouse space with steel‑lined interior walls and ceilings; 18' clear height with LED lighting and exterior lighting/landscaping; 5‑inch concrete floors with drains for improved functionality
