Remodeled Live-Work
For Sale
$395,000
15 W Redwing St, Duluth, MN 55803
Completely remodeled building with office space and a rented one-bedroom apartment, plus off-street parking.
Property Size2,080 SF
Price / SF$189.90
Days on Market33
Property Features for 15 W Redwing St
General Information
Standard status
Active
Size
2,080 SF
Additional Details
Multifamily Units
1
Taxes and HOA fees
Annual Taxes
$4,928
Amenities
high ceilings
off-street parking
Listing Agency:
Greg Follmer Commercial Real Estate
(218) 310-0013
Listed By:
Greg Follmer · License #27078
(218) 310-0013
Source:
Exprealty
Added: Jul 25
Changed: Aug 25
Last Checked: Aug 26 at 1:38PM
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 Greg Follmer Commercial Real Estate
Investment Insights
Based on property information with market context.
This remodeled live-work building offers office space along with a one-bedroom apartment. The property is described as being in excellent condition, with fresh updates throughout. Reported improvements include a new furnace with air exchange, high ceilings, and electric baseboard heating.
The apartment is currently rented month-to-month. The property also provides off-street parking as well as convenient street parking.
The building configuration supports either combined living and work or separating the two uses while generating rental income from the apartment, depending on how the space is occupied.
The apartment is currently rented month-to-month. The property also provides off-street parking as well as convenient street parking.
The building configuration supports either combined living and work or separating the two uses while generating rental income from the apartment, depending on how the space is occupied.
Key Highlights
- Completely remodeled building with office space and a rented one‑bedroom apartment
- One‑bedroom apartment is rented month‑to‑month for $950 gross
- New furnace with air exchange
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
$28,853
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
7.30%
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%
$577,060
$577.1K
Cap Rate 7%
$412,186
$412.2K
Cap Rate 9%
$320,589
$320.6K
Market Conditions
NOI Build-Up for 2,080 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
$51.9K $24.96/SF
− Vacancy
−$13.4K −$6.46/SF
EGI
$38.5K $18.50/SF
− OpEx
−$9.6K −$4.62/SF
NOI
$28.9K $13.87/SF
Area
St. Louis County, MN
Vacancy
25.90%
Lease Rate
$24.96 /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%
$577,060
Cap Rate 7%
$412,186
Cap Rate 9%
$320,589
Alternative Uses
Best Use
Mixed Use
$672.4K
$588.3K – $784.5K
NOI $47,067 @ 7.0% cap · market cap 11.92%
Second Best
Office B
$412.2K
$360.7K – $480.9K
NOI $28,853 @ 7.0% cap · market cap 7.30%
Theoretical Best
Specialty Retail
$806.9K
$706.0K – $941.3K
NOI $56,480 @ 7.0% cap · market cap 14.30%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
157
Businesses Nearby
Explore this area
Business Placement
Demographics for 55803, MN
17,796
Population
8,690
Households
2
Avg Household Size
43
Median Age
49%
College-Educated
97%
High-School Grad
295.5 sq mi
ZIP Area
60
Density / Sq Mi
$104,250
Median Household Income
$58,758
Median Earnings
$1,391
Median Rent
$300,400
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?
Live-work space - Completely remodeled building with office space and a rented one-bedroom apartment, plus off-street parking.
Where is this live-work space located?
The property is located at 15 W Redwing St Duluth, MN.
What is the asking price?
The asking price for this property is $395,000.
What are key features of this property?
This property features: Completely remodeled building with office space and a rented one‑bedroom apartment; One‑bedroom apartment is rented month‑to‑month for $950 gross; New furnace with air exchange
