Ground-Floor Office
For Sale
$400,000
108 N 11th Avenue #2, Bozeman, MT 59715
Professional condominium office with private rooms, reception space, kitchenette, and dual access points.
Property Size1,510 SF
Price / SF$264.90
Days on Market138
Property Features for 108 N 11th Avenue #2
General Information
Standard status
Active
Size
1,510 SF
Property subtype
Commercial
Additional Details
Floor
Ground Floor
Taxes and HOA fees
Annual Taxes
$3,570
Building Details
Building Size
1,510 SF
Year Built
1979
Listing Agency:
Starner Commercial Real Estate
(406) 586-0302
Listed By:
Michael Reams · License #BRO-79158
(406) 586-0302
Source:
Avatarrealtymt
Added: Apr 15
Changed: Aug 29
Last Checked: Aug 30 at 5:45PM
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 Starner Commercial Real Estate
Investment Insights
Based on property information with market context.
This 1,510 SF ground-floor office unit is configured for professional operations, with multiple private rooms, a reception area, dedicated office, breakroom with kitchenette, and single-occupant restroom. Two access points support circulation between staff and client areas. The unit sits above a basement level, creating flexibility for future mechanical, electrical, and plumbing improvements. Built in 1979, the property is located at 108 N 11th Avenue, Unit 2, in a professional condominium setting across from Bozeman High School. It is near downtown Bozeman, surrounding neighborhoods, and everyday amenities. The property carries B2M zoning.
Key Highlights
- 1,510 SF ground‑floor office unit
- Multiple private rooms plus reception and dedicated office areas
- Breakroom with kitchenette and single‑occupant restroom
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
$22,213
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
5.55%
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%
$444,260
$444.3K
Cap Rate 7%
$317,329
$317.3K
Cap Rate 9%
$246,811
$246.8K
Market Conditions
NOI Build-Up for 1,510 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
$31.7K $21.00/SF
− Vacancy
−$2.1K −$1.39/SF
EGI
$29.6K $19.61/SF
− OpEx
−$7.4K −$4.90/SF
NOI
$22.2K $14.71/SF
Area
Gallatin County, MT
Vacancy
6.60%
Lease Rate
$21.00 /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%
$444,260
Cap Rate 7%
$317,329
Cap Rate 9%
$246,811
Alternative Uses
Best Use
Office B
$317.3K
$277.7K – $370.2K
NOI $22,213 @ 7.0% cap · market cap 5.55%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$394.3K
$345.0K – $460.0K
NOI $27,600 @ 7.0% cap · market cap 6.90%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,520
Businesses Nearby
Explore this area
Business Placement
Demographics for 59715, MT
37,286
Population
17,116
Households
2.2
Avg Household Size
30
Median Age
68%
College-Educated
98%
High-School Grad
294.9 sq mi
ZIP Area
126
Density / Sq Mi
$85,000
Median Household Income
$31,646
Median Earnings
$1,376
Median Rent
$755,300
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Professional condominium office with private rooms, reception space, kitchenette, and dual access points.
Where is this office units located?
The property is located at 108 N 11th Avenue #2 Bozeman, MT.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: 1,510 SF ground‑floor office unit; Multiple private rooms plus reception and dedicated office areas; Breakroom with kitchenette and single‑occupant restroom
