Six-Office Suite
For Sale
Contact for pricing
208 N 28th St, Billings, MT 59101
Second-floor office suites with elevator-served ADA access and covered parking in an adjacent garage.
Property Size7,945 SF
Price / SF$120.83
Days on Market51
Property Features for 208 N 28th St
General Information
Standard status
Active
Size
7,945 SF
Elevators
Yes
Property subtype
OFFICE
Additional Details
Floor
2
Office Units
6
Building Details
Tenancy
Multi
Listing Agency:
NAI Business Properties
(406) 256-5000
Listed By:
Tyler Samson · License #RRE-RBS-LIC-25433
(406) 671-8257
Source:
Moodyscre
Added: Jul 27
Changed: Sep 4
Last Checked: Sep 14 at 9:32AM
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 Business Properties
Investment Insights
Based on property information with market context.
Entire second floor of The Fratt Building available for sale, offering six different office suites within a 7,945 SF layout. Five current long-term tenants occupy the space, and the leases are currently all month to month.
The property provides ADA access with an elevator, plus covered parking in an adjacent parking garage for tenant and visitor convenience. Located at 208 N 28th St in Billings, MT, it’s positioned in the heart of Downtown Billings.
This configuration can support either an owner-user setup or an investor approach given the existing tenant footprint and suite-by-suite structure.
The property provides ADA access with an elevator, plus covered parking in an adjacent parking garage for tenant and visitor convenience. Located at 208 N 28th St in Billings, MT, it’s positioned in the heart of Downtown Billings.
This configuration can support either an owner-user setup or an investor approach given the existing tenant footprint and suite-by-suite structure.
Key Highlights
- Entire second floor of The Fratt Building
- Six different office suites
- 7,945 SF total office area
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
$87,093
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
9.07%
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%
$1,741,860
$1.7M
Cap Rate 7%
$1,244,186
$1.2M
Cap Rate 9%
$967,700
$967.7K
Market Conditions
NOI Build-Up for 7,945 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
$138.2K $17.40/SF
− Vacancy
−$22.1K −$2.78/SF
EGI
$116.1K $14.62/SF
− OpEx
−$29.0K −$3.65/SF
NOI
$87.1K $10.96/SF
Area
Billings, MT
Vacancy
16.00%
Lease Rate
$17.40 /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%
$1,741,860
Cap Rate 7%
$1,244,186
Cap Rate 9%
$967,700
Alternative Uses
Best Use
Office B
$1.24M
$1.09M – $1.45M
NOI $87,093 @ 7.0% cap · market cap 9.07%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.73M
$1.52M – $2.02M
NOI $121,349 @ 7.0% cap · market cap 12.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
6
Office units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
3,700
Businesses Nearby
Explore this area
Business Placement
Demographics for 59101, MT
41,522
Population
18,864
Households
2.2
Avg Household Size
37
Median Age
22%
College-Educated
91%
High-School Grad
590.8 sq mi
ZIP Area
70
Density / Sq Mi
$58,165
Median Household Income
$36,258
Median Earnings
$930
Median Rent
$243,000
Median Home Value
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 - Second-floor office suites with elevator-served ADA access and covered parking in an adjacent garage.
Where is this office units located?
The property is located at 208 N 28th St Billings, MT.
What is the asking price?
The asking price for this property is $960,000.
What are key features of this property?
This property features: Entire second floor of The Fratt Building; Six different office suites; 7,945 SF total office area
