Three-Unit Apartment
For Sale
$350,000
155 4th Ave Sw, Perham, MN 56573
Downtown multifamily property with private entrances and dedicated off-street parking for each residence.
Property Size2,412 SF
Price / SF$145.11
Days on Market247
Property Features for 155 4th Ave Sw
General Information
Standard status
Active
Size
2,412 SF
Property subtype
Residential Income
Additional Details
Multifamily Units
3
Taxes and HOA fees
Annual Taxes
$3,544
Amenities
private entrance
Building Details
Buildings
1
Listing Agency:
eXp Realty
(218) 298-0771
Listed By:
Stephen Sweere
(218) 298-0771
Source:
Exprealty
Added: Dec 15, 2025
Changed: Aug 17
Last Checked: Aug 17 at 9:40PM
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 eXp Realty
Investment Insights
Based on property information with market context.
This 2,412-square-foot triplex contains three apartment units, each with a separate private entrance. Dedicated off-street parking serves the property and provides a practical amenity for residents.
The building is located in downtown Perham, within walking distance of local shops, restaurants, services, and employers. Its central setting places daily destinations close to the residences and supports convenient access to the surrounding community.
The building is located in downtown Perham, within walking distance of local shops, restaurants, services, and employers. Its central setting places daily destinations close to the residences and supports convenient access to the surrounding community.
Key Highlights
- Three‑unit apartment building totaling 2,412 square feet
- Each unit has its own private entrance
- Dedicated off‑street parking
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
$20,210
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
5.77%
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%
$404,200
$404.2K
Cap Rate 7%
$288,714
$288.7K
Cap Rate 9%
$224,556
$224.6K
Market Conditions
NOI Build-Up for 2,412 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
$30.4K $12.60/SF
− Vacancy
−$1.5K −$0.63/SF
EGI
$28.9K $11.97/SF
− OpEx
−$8.7K −$3.59/SF
NOI
$20.2K $8.38/SF
Area
Otter Tail County, MN
Vacancy
5.00%
Lease Rate
$12.60 /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%
$404,200
Cap Rate 7%
$288,714
Cap Rate 9%
$224,556
Alternative Uses
Best Use
Multifamily LT 5
$288.7K
$252.6K – $336.8K
NOI $20,210 @ 7.0% cap · market cap 5.77%
Second Best
Apartment 5plus
$267.1K
$233.7K – $311.7K
NOI $18,699 @ 7.0% cap · market cap 5.34%
Theoretical Best
Office A
$524.0K
$458.5K – $611.3K
NOI $36,678 @ 7.0% cap · market cap 10.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Location Intelligence
Trade Area within ½ mile
544
Businesses Nearby
Explore this area
Business Placement
Demographics for 56573, MN
7,066
Population
3,632
Households
1.9
Avg Household Size
42
Median Age
29%
College-Educated
91%
High-School Grad
137.5 sq mi
ZIP Area
51
Density / Sq Mi
$68,080
Median Household Income
$44,945
Median Earnings
$805
Median Rent
$256,900
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 - Downtown multifamily property with private entrances and dedicated off-street parking for each residence.
Where is this triplex located?
The property is located at 155 4th Ave Sw Perham, MN.
What is the asking price?
The asking price for this property is $350,000.
What are key features of this property?
This property features: Three‑unit apartment building totaling 2,412 square feet; Each unit has its own private entrance; Dedicated off‑street parking
