Bar and Restaurant Office
For Sale
$4,999,999
Pending
201 Railroad, Missoula, MT 59802
Mixed-use building includes a fully equipped bar and restaurant with two kitchens, plus two fully leased office floors.
Property Size15,977 SF
Days on Market35
Property Features for 201 Railroad
General Information
Standard status
Pending
Size
15,977 SF
Total Parking Spaces
40
Property subtype
Commercial
Additional Details
Furnished
Yes
Business Included
Yes
Liquor License
Yes
Amenities
outdoor deck
elevator
Garage: On Street
On Street
Building Details
Year Built
1907
Stories
3
Tenancy
Multi
Listing Agency:
Windermere R E Missoula
(406) 546-9765
Listed By:
Daniel P McKittrick
Source:
Clearwaterproperties
Added: Jul 21
Changed: Aug 23
Last Checked: Aug 23 at 9:10AM
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 Windermere R E Missoula
Investment Insights
Based on property information with market context.
A 15,900-square-foot bar and restaurant with office component offered for sale, featuring fully equipped spaces on the main floor and leasable office areas on the second and third floors. The main level includes two fully equipped kitchens and bars, and the property includes the furniture, fixtures, and equipment for the Depot Restaurant and Bar. The lower level is described as having an all-beverage liquor license with gambling, along with the related furnishings and equipment, plus the Depot Deck.
The second and third floors are fully leased, with their own entrances and an elevator providing access to service both floors. The property also includes a 40-space parking lot intended to support convenient visits to the restaurant and offices.
This downtown property is presented as a long-held, turnkey operation under one owner for 52 years, combining operating food and beverage space with income-producing office units.
The second and third floors are fully leased, with their own entrances and an elevator providing access to service both floors. The property also includes a 40-space parking lot intended to support convenient visits to the restaurant and offices.
This downtown property is presented as a long-held, turnkey operation under one owner for 52 years, combining operating food and beverage space with income-producing office units.
Key Highlights
- 1907‑built 15,900 SF mixed‑use building with main‑floor bar/restaurant and office space
- Main floor includes a fully equipped bar/restaurant plus two fully equipped kitchens and bars
- Liquor license with gambling included, along with furniture, fixtures, and equipment for the bar/restaurant and Depot Deck
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
$322,456
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
6.45%
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%
$6,449,120
$6.4M
Cap Rate 7%
$4,606,514
$4.6M
Cap Rate 9%
$3,582,844
$3.6M
Market Conditions
NOI Build-Up for 15,977 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
$441.0K $27.60/SF
− Vacancy
−$11.0K −$0.69/SF
EGI
$429.9K $26.91/SF
− OpEx
−$107.5K −$6.73/SF
NOI
$322.5K $20.18/SF
Area
Missoula County, MT
Vacancy
2.50%
Lease Rate
$27.60 /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%
$6,449,120
Cap Rate 7%
$4,606,514
Cap Rate 9%
$3,582,844
Alternative Uses
Best Use
Specialty Retail
$4.61M
$4.03M – $5.37M
NOI $322,456 @ 7.0% cap · market cap 6.45%
Second Best
Office B
$2.66M
$2.33M – $3.10M
NOI $186,212 @ 7.0% cap · market cap 3.72%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Turnkey business
Opportunity
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
2,906
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 59802, MT
19,892
Population
10,416
Households
1.9
Avg Household Size
37
Median Age
52%
College-Educated
96%
High-School Grad
45.4 sq mi
ZIP Area
438
Density / Sq Mi
$65,054
Median Household Income
$36,541
Median Earnings
$1,021
Median Rent
$420,200
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Bar & Pub - Mixed-use building includes a fully equipped bar and restaurant with two kitchens, plus two fully leased office floors.
Where is this bar & pub located?
The property is located at 201 Railroad Missoula, MT.
What is the asking price?
The asking price for this property is $4,999,999.
What are key features of this property?
This property features: 1907‑built 15,900 SF mixed‑use building with main‑floor bar/restaurant and office space; Main floor includes a fully equipped bar/restaurant plus two fully equipped kitchens and bars; Liquor license with gambling included, along with furniture, fixtures, and equipment for the bar/restaurant and Depot Deck
