Building Details

Building Size 2,000 SF

Year Built 1938

Stories 2

Units 1

Listing Agency: National Realty Guild j**@earthpaversllc.com Show Phone

Listed By: Joseph Lemmerman Show Phone

Source: Ivyrealestategroup

Added: Jun 4 Changed: Aug 9 Last Checked: Aug 10 at 11:38AM

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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 National Realty Guild

Investment Insights

Based on property information with market context.

This tavern and restaurant property dates to 1938 and has operated as a tavern for more than 60 years. The building is associated with the T-Road Tavern name, which has been used for more than 50 years. A replacement roof was installed in fall 2025, providing a recent building improvement.

Outdoor amenities include a rear patio constructed in 2019 and measuring 60 feet by 60 feet. The patio is enclosed by an 8-foot fence made from solid cedar planks, with telephone-pole posts set 5 feet into the ground. Recycled AZEK pavers form the walkways, and the patio includes artificial turf sourced from the Minnesota Gophers practice field. The property is located at 110 Broadway Street E in New Germany, Minnesota, and is zoned Business/Commercial.

Key Highlights

• Tavern and restaurant property built in 1938
• Tavern operation has continued for more than 60 years
• New total roof installed in fall of 2025

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

$29,610

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

6.58%

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%

$592,200 $592.2K

Cap Rate 7%

$423,000 $423.0K

Cap Rate 9%

$329,000 $329.0K

Market Conditions

NOI Build-Up for 2,000 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

$42.0K $21.00/SF

− Vacancy

−$2.5K −$1.26/SF

EGI

$39.5K $19.74/SF

− OpEx

−$9.9K −$4.94/SF

NOI

$29.6K $14.81/SF

Area

Carver County, MN

Vacancy

6.00%

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%

$592,200

Cap Rate 7%

$423,000

Cap Rate 9%

$329,000

Alternative Uses

Best Use

Specialty Retail

$423.0K

$370.1K – $493.5K (±1% cap)

NOI $29,610 @ 7.0% cap · market cap 6.58%

Second Best

—

—

no second resolved use

Theoretical Best

Office A

$477.2K

$417.5K – $556.7K (±1% cap)

NOI $33,401 @ 7.0% cap · market cap 7.42%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

T-Road Tavern Bar & Pub

Suggested Use

Top Pick HVAC Service Plumbing Service Building Supply Butcher Home Appliance Store Auto Repair Shop

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

37

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 55367, MN

992

Population

410

Households

2.4

Avg Household Size

38

Median Age

18%

College-Educated

94%

High-School Grad

19.3 sq mi

ZIP Area

51

Density / Sq Mi

$89,896

Median Household Income

$50,729

Median Earnings

$1,075

Median Rent

$304,500

Median Home Value

Market

Vacancy Rate% for Retail in Midwest region

8% 2020

7.3% 2021

6.5% 2022

6% 2023

5.7% 2024

6.3% 2025

Questions? Ask Rey

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What type of property is this? Where is this bars & pubs located? What is the asking price? Find similar properties ... What are key features of this property?

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Similar Off Market Nearby

• T-Road Tavern — 110 Broadway St E, New Germany, MN 55367
• Heimey's Place — 250 Broadway St E, New Germany, MN 55367
• Fat Boyz — 360 Broadway St E, New Germany, MN 55367

Frequently Asked Questions

What type of property is this?

Bar & Pub - A long-established tavern features a recently replaced roof and dedicated outdoor patio area.

Where is this bar & pub located?

The property is located at 110 Broadway Street E New Germany, MN.

What is the asking price?

The asking price for this property is $450,000.

What are key features of this property?

This property features: Tavern and restaurant property built in 1938; Tavern operation has continued for more than 60 years; New total roof installed in fall of 2025