Updated Triplex with Detached
For Sale
$275,000
615 N Minnesota Avenue, Sioux Falls, SD 57104
Three residential units offer a mixed one- and two-bedroom configuration with coin-operated laundry and off-street parking.
Property Size2,048 SF
Days on Market162
Property Features for 615 N Minnesota Avenue
General Information
Standard status
Active
Size
2,048 SF
Class
C
Property subtype
Multi-Family
Units
Unit Mix
2 x 1BR/1BA, 1 x 2BR/1BA
Multifamily Units
3
Additional Details
Road Access
Yes
Amenities
coin-operated laundry
hardwood floors
Building Details
Building Size
2,048 SF
Year Built
1941
Units
3
Listing Agency:
NAI Sioux Falls
Listed By:
Marcus Mahlen, CCIM, SIOR
(605) 228-9744
Source:
Commercialcafe
Added: Mar 28
Changed: Aug 31
Last Checked: Aug 31 at 5:57AM
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 NAI Sioux Falls
Investment Insights
Based on property information with market context.
This triplex contains two one-bedroom, one-bath units and one two-bedroom, one-bath unit. Hardwood flooring runs throughout the property, which has been recently updated. Residents have access to coin-operated laundry, a detached garage, and off-street parking served by an alley.
The property is at 615 N. Minnesota Avenue in Sioux Falls, positioned between W 3rd St and W 4th St just north of downtown. Nearby businesses include Family General, Five Guys, Bread & Circus Sandwich Kitchen, and Shenanigans. The building was constructed in 1941, and real estate taxes are $4,276.42.
The property is at 615 N. Minnesota Avenue in Sioux Falls, positioned between W 3rd St and W 4th St just north of downtown. Nearby businesses include Family General, Five Guys, Bread & Circus Sandwich Kitchen, and Shenanigans. The building was constructed in 1941, and real estate taxes are $4,276.42.
Key Highlights
- Three‑unit residential property with two 1‑bedroom units and one 2‑bedroom unit
- Each unit includes 1 bath
- Hardwood floors throughout
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
$17,879
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
6.50%
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%
$357,580
$357.6K
Cap Rate 7%
$255,414
$255.4K
Cap Rate 9%
$198,656
$198.7K
Market Conditions
NOI Build-Up for 2,048 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
$28.3K $13.80/SF
− Vacancy
−$2.7K −$1.33/SF
EGI
$25.5K $12.47/SF
− OpEx
−$7.7K −$3.74/SF
NOI
$17.9K $8.73/SF
Area
Sioux Falls, SD
Vacancy
9.63%
Lease Rate
$13.80 /SF/Yr
Expense Ratio
30.00%
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%
$357,580
Cap Rate 7%
$255,414
Cap Rate 9%
$198,656
Alternative Uses
Best Use
Multifamily LT 5
$255.4K
$223.5K – $298.0K
NOI $17,879 @ 7.0% cap · market cap 6.50%
Second Best
Apartment 5plus
$234.2K
$205.0K – $273.3K
NOI $16,397 @ 7.0% cap · market cap 5.96%
Theoretical Best
Office A
$556.1K
$486.6K – $648.8K
NOI $38,928 @ 7.0% cap · market cap 14.16%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
1,820
Businesses Nearby
Explore this area
Business Placement
Demographics for 57104, SD
26,998
Population
13,952
Households
1.9
Avg Household Size
37
Median Age
25%
College-Educated
90%
High-School Grad
30.4 sq mi
ZIP Area
888
Density / Sq Mi
$59,161
Median Household Income
$39,101
Median Earnings
$849
Median Rent
$183,700
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Triplex - Three residential units offer a mixed one- and two-bedroom configuration with coin-operated laundry and off-street parking.
Where is this triplex located?
The property is located at 615 N Minnesota Avenue Sioux Falls, SD.
What is the asking price?
The asking price for this property is $275,000.
What are key features of this property?
This property features: Three‑unit residential property with two 1‑bedroom units and one 2‑bedroom unit; Each unit includes 1 bath; Hardwood floors throughout
