Industrial Space with Expansion
For Sale
$1,995,000
Vadnais Heights, MN 55127, Vadnais Heights, MN 55127
Industrial space with convenient access to highways and future expansion.
Property Size14,010 SF
Price / SF$142.40
Days on Market197
Property Features
General Information
Standard status
Active
Size
14,010 SF
Property subtype
Industrial
Listing Agency:
Cetra Partners
(612) 430-9991
Listed By:
Dan Friedner
Source:
Nmrk
Added: Jan 27
Changed: Aug 11
Last Checked: Aug 11 at 6:25AM
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 Cetra Partners
Investment Insights
Based on property information with market context.
This industrial space, located with convenient access to Highway 96, Interstate 35E, and Interstate 694, offers a blend of warehouse and office areas. The property features a restored roof from 2017 and is equipped with five AC roof top units, an air exhaust handler, and an air compressor. Heavy power is available. The layout includes a 10,110 square foot warehouse, a 1,200 square foot office on the first floor, and a 2,700 square foot office on the second floor. The property also presents a future expansion opportunity.
Key Highlights
- Convenient access to Highway 96, Interstate 35E, and Interstate 694.
- Heavy Power.
- Future Expansion Opportunity.
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
$166,367
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
8.34%
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%
$3,327,340
$3.3M
Cap Rate 7%
$2,376,671
$2.4M
Cap Rate 9%
$1,848,522
$1.8M
Market Conditions
NOI Build-Up for 14,010 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
$307.7K $21.96/SF
− Vacancy
−$85.8K −$6.13/SF
EGI
$221.8K $15.83/SF
− OpEx
−$55.5K −$3.96/SF
NOI
$166.4K $11.87/SF
Area
Ramsey County, MN
Vacancy
27.90%
Lease Rate
$21.96 /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%
$3,327,340
Cap Rate 7%
$2,376,671
Cap Rate 9%
$1,848,522
Alternative Uses
Best Use
Warehouse
$2.64M
$2.31M – $3.08M
NOI $184,815 @ 7.0% cap · market cap 9.26%
Second Best
Office B
$2.38M
$2.08M – $2.77M
NOI $166,367 @ 7.0% cap · market cap 8.34%
Theoretical Best
Office A
$3.34M
$2.92M – $3.90M
NOI $233,975 @ 7.0% cap · market cap 11.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
134
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 55127, MN
18,071
Population
7,825
Households
2.3
Avg Household Size
47
Median Age
53%
College-Educated
97%
High-School Grad
13.5 sq mi
ZIP Area
1,339
Density / Sq Mi
$113,355
Median Household Income
$62,148
Median Earnings
$1,764
Median Rent
$409,400
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Warehouse - Industrial space with convenient access to highways and future expansion.
Where is this warehouse located?
The property is located at Vadnais Heights, MN.
What is the asking price?
The asking price for this property is $1,995,000.
What are key features of this property?
This property features: Convenient access to Highway 96, Interstate 35E, and Interstate 694.; Heavy Power.; Future Expansion Opportunity.
