Owner-User Office
For Sale
Contact for pricing
1335 Industrial Blvd NE, Minneapolis, MN 55413
Office building on a full-acre site with ample off-street parking and excellent access to major highways.
Property Size12,858 SF
Lot Size1.00 Acre
Price / SF$198.32
Days on Market52
Property Features for 1335 Industrial Blvd NE
General Information
Standard status
Active
Size
12,858 SF
Total Parking Spaces
43
Lot size
1.00 Acre
Property subtype
Industrial
Zoning
PR2
Investment Type
Owner/User
Additional Details
Highway Access
Yes
Building Details
Year Built
2006
Listing Agency:
RYZO Commercial Realty
Listed By:
Tyler Van Eps · License #40710857
(612) 708-2631
Source:
Crexi
Added: Jul 23
Changed: Sep 10
Last Checked: Sep 12 at 3:56AM
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 RYZO Commercial Realty
Investment Insights
Based on property information with market context.
This office building presents a strong owner-user setup, situated on a full 1-acre site. The property is configured to support workplace use, with ample off-street parking for occupants and visitors.
Located with excellent access to I-35W, Hwy 280, and I-94, the site is positioned near the University of Minnesota and the Northeast Minneapolis business corridor.
Offered for sale as a commercial office property, the asset combines highway access with on-site parking on a larger lot size.
Located with excellent access to I-35W, Hwy 280, and I-94, the site is positioned near the University of Minnesota and the Northeast Minneapolis business corridor.
Offered for sale as a commercial office property, the asset combines highway access with on-site parking on a larger lot size.
Key Highlights
- On a full 1‑acre site with ample off‑street parking
- Excellent access to I‑35W, Hwy 280, and I‑94
- Adjacent to the University of Minnesota
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
$160,682
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
6.30%
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%
$3,213,640
$3.2M
Cap Rate 7%
$2,295,457
$2.3M
Cap Rate 9%
$1,785,356
$1.8M
Market Conditions
NOI Build-Up for 12,858 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
$268.5K $20.88/SF
− Vacancy
−$54.2K −$4.22/SF
EGI
$214.2K $16.66/SF
− OpEx
−$53.6K −$4.17/SF
NOI
$160.7K $12.50/SF
Area
Minneapolis, MN
Vacancy
20.20%
Lease Rate
$20.88 /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%
$3,213,640
Cap Rate 7%
$2,295,457
Cap Rate 9%
$1,785,356
Alternative Uses
Best Use
Office B
$2.30M
$2.01M – $2.68M
NOI $160,682 @ 7.0% cap · market cap 6.30%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.07M
$2.68M – $3.58M
NOI $214,736 @ 7.0% cap · market cap 8.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
477
Businesses Nearby
Explore this area
Business Placement
Demographics for 55413, MN
13,914
Population
8,080
Households
1.7
Avg Household Size
34
Median Age
58%
College-Educated
95%
High-School Grad
3.1 sq mi
ZIP Area
4,488
Density / Sq Mi
$84,252
Median Household Income
$57,091
Median Earnings
$1,497
Median Rent
$354,200
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Office building on a full-acre site with ample off-street parking and excellent access to major highways.
Where is this office building located?
The property is located at 1335 Industrial Blvd NE Minneapolis, MN.
What is the asking price?
The asking price for this property is $2,550,000.
What are key features of this property?
This property features: On a full 1‑acre site with ample off‑street parking; Excellent access to I‑35W, Hwy 280, and I‑94; Adjacent to the University of Minnesota
