Six-Office Professional
For Sale
$950,000
1940 W Dickerson Street, Bozeman, MT 59718
CommercialSale, Bozeman, MT
Property Size2,959 SF
Price / SF$321.05
Days on Market9
Property Features for 1940 W Dickerson Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Neighborhood Business
Zoning description
B1
Directions
The building is on the west side of the parking lot as you drive in. The suite is on the ground floor. First door on your right as you walk into the building.
Subdivision
1SM - Boz Main to Kagy
Standard status
Active
APN
RGG6567
Size
2,959 SF
Taxes and HOA fees
Tax Year
2025
Tax Description
DICKERSON PROFESSIONAL CENTER CONDO, S11, T02 S, R05 E, UNIT 1940-101
Tax Annual Amount
5405
HOA Fee
$13,977 Annually
Legal Description
DICKERSON PROFESSIONAL CENTER CONDO, S11, T02 S, R05 E, UNIT 1940-101
Utilities
Sewer type
Public Sewer
Heating system
Forced Air
Cooling system
Central Air
Water source
Public
Building Details
Year built
2005
Listing Agency:
Starner Commercial Real Estate
(406) 586-0302
Listed By:
Lauren John · License #RBS-52525
(406) 600-2927
Added: Sep 24
Changed: Sep 29
Last Checked: Oct 2 at 6:06AM
MLS# 415100
Copyright © 2026 Big Sky Country MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 2,959-square-foot office suite at Dickerson Professional Center contains six private offices, a reception area, kitchenette, and half bath. Built in 2005, the space has natural light, forced-air heating, and central air conditioning. Public water and sewer serve the property, and shared parking is available. Neighborhood Business zoning is in place.
The suite is at 1940 W Dickerson Street in Bozeman, with access described as just off S. 19th. Medical, legal, accounting, counseling, and other professional activities are identified as potential uses. The property is offered for sale and available for immediate occupancy.
The suite is at 1940 W Dickerson Street in Bozeman, with access described as just off S. 19th. Medical, legal, accounting, counseling, and other professional activities are identified as potential uses. The property is offered for sale and available for immediate occupancy.
Key Highlights
- 2,959 square feet with six private offices
- Reception area, kitchenette, and half bath
- Built in 2005; forced‑air heating and central air conditioning
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
$43,528
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
4.58%
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%
$870,560
$870.6K
Cap Rate 7%
$621,829
$621.8K
Cap Rate 9%
$483,644
$483.6K
Market Conditions
NOI Build-Up for 2,959 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
$62.1K $21.00/SF
− Vacancy
−$4.1K −$1.39/SF
EGI
$58.0K $19.61/SF
− OpEx
−$14.5K −$4.90/SF
NOI
$43.5K $14.71/SF
Area
Gallatin County, MT
Vacancy
6.60%
Lease Rate
$21.00 /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%
$870,560
Cap Rate 7%
$621,829
Cap Rate 9%
$483,644
Alternative Uses
Best Use
Office B
$621.8K
$544.1K – $725.5K
NOI $43,528 @ 7.0% cap · market cap 4.58%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$772.7K
$676.1K – $901.4K
NOI $54,086 @ 7.0% cap · market cap 5.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
1,267
Businesses Nearby
Explore this area
Business Placement
Demographics for 59718, MT
43,831
Population
19,765
Households
2.2
Avg Household Size
33
Median Age
57%
College-Educated
97%
High-School Grad
164.5 sq mi
ZIP Area
266
Density / Sq Mi
$91,852
Median Household Income
$44,915
Median Earnings
$1,748
Median Rent
$579,800
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 West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - A reception area, kitchenette, and half bath support a range of professional office configurations.
Where is this office units located?
The property is located at 1940 W Dickerson Street Bozeman, MT.
What is the asking price?
The asking price for this property is $950,000.
What are key features of this property?
This property features: 2,959 square feet with six private offices; Reception area, kitchenette, and half bath; Built in 2005; forced‑air heating and central air conditioning
