Insulated Warehouse with Overhead
For Sale
Contact for pricing
10160 72nd St NE, Otsego, MN 55301
Insulated warehouse with 18-foot clear height, 5-inch drained concrete floors, and an insulated overhead door.
Property Size1,200 SF
Price / SF$236.58
Days on Market212
Property Features for 10160 72nd St NE
General Information
Standard status
Active
Size
1,200 SF
Property subtype
INDUSTRIAL
Listing Agency:
Commercial Realty Solutions LLC
(763) 682-2400
Listed By:
Sheila Zachman
(763) 244-0600
Source:
Moodyscre
Added: Feb 12
Changed: Aug 12
Last Checked: Sep 12 at 11:39AM
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 features steel-lined interior walls and ceilings, along with 5-inch concrete floors with drains. The space is supported by 100 amp electrical service with three-phase power, LED lighting, and a hanging natural gas heater. An insulated 12' x 14' overhead door with windows and a jack-shaft heavy duty opener provides access, along with a steel entry door. Plumbing is stubbed for a bathroom, and exterior lighting along with landscaping are included. High-speed internet is also available.
City water and sewer are provided. The property is maintained through an association that includes trash removal, lawn maintenance, and snow removal.
With an 18' clear height and a compact warehouse footprint, the building is well suited for light storage or small work operations that benefit from insulated interior construction and functional floor drainage.
City water and sewer are provided. The property is maintained through an association that includes trash removal, lawn maintenance, and snow removal.
With an 18' clear height and a compact warehouse footprint, the building is well suited for light storage or small work operations that benefit from insulated interior construction and functional floor drainage.
Key Highlights
- 18' clear height insulated warehouse with steel‑lined interior walls and ceilings
- 5‑inch concrete floors with drains
- 12' x 14' insulated overhead door with windows and jack‑shaft heavy‑duty opener
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
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Open Analytics
Current Use
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
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Industrial in Midwest region
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Frequently Asked Questions
What type of property is this?
Warehouse - Insulated warehouse with 18-foot clear height, 5-inch drained concrete floors, and an insulated overhead door.
Where is this warehouse located?
The property is located at 10160 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: 18' clear height insulated warehouse with steel‑lined interior walls and ceilings; 5‑inch concrete floors with drains; 12' x 14' insulated overhead door with windows and jack‑shaft heavy‑duty opener
