Modern Office Unit with Private
For Sale
$1,500,000
2315 McDonald Avenue Unit 300, Missoula, MT 59801
Open, light-filled professional workspace with ADA access, secured entry, in-suite restrooms, and flexible office areas.
Property Size4,538 SF
Days on Market196
Property Features for 2315 McDonald Avenue Unit 300
General Information
Standard status
Active
Size
4,538 SF
Class
A
Property subtype
Multi Tenant Office
Building Details
Building Size
4,538 SF
Year Built
2020
Listing Agency:
Sterling Commercial Real Estate Advisors
Listed By:
Matt Mellott
(406) 203-4547
Source:
Thebrokerlist
Added: Feb 18
Changed: Aug 30
Last Checked: Aug 30 at 8:36AM
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 Sterling Commercial Real Estate Advisors
Investment Insights
Based on property information with market context.
Suite 300 is an office condominium in the Executive Building, constructed in 2020. The approximately 4,000-square-foot workspace includes an additional approximately 538 square feet of storage. Its interior combines an open layout with two glass-partitioned areas, large windows, an open-concept kitchenette, three private in-suite restrooms, and a private deck or atrium. The executive office includes south-facing views toward Lolo Peak.
The suite is ADA-compliant and accessible by elevator, supporting professional or medical office use. Secured building and elevator entry is provided through an app and door-code system. The property offers abundant on-site and street parking, with access to Brooks Street and Reserve Street from its Midtown Missoula location at 2315 McDonald Avenue.
The suite is ADA-compliant and accessible by elevator, supporting professional or medical office use. Secured building and elevator entry is provided through an app and door-code system. The property offers abundant on-site and street parking, with access to Brooks Street and Reserve Street from its Midtown Missoula location at 2315 McDonald Avenue.
Key Highlights
- Approximately ±4,000 square feet of office space plus ±538 square feet of storage
- Built in 2020 with an open layout, large windows, and two glass‑partitioned areas
- Private deck/atrium, open kitchenette, and three in‑suite restrooms
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
$61,410
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
4.09%
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%
$1,228,200
$1.2M
Cap Rate 7%
$877,286
$877.3K
Cap Rate 9%
$682,333
$682.3K
Market Conditions
NOI Build-Up for 4,538 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
$114.4K $25.20/SF
− Vacancy
−$12.0K −$2.65/SF
EGI
$102.4K $22.55/SF
− OpEx
−$40.9K −$9.02/SF
NOI
$61.4K $13.53/SF
Area
Missoula County, MT
Vacancy
10.50%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
40.00%
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%
$1,228,200
Cap Rate 7%
$877,286
Cap Rate 9%
$682,333
Alternative Uses
Best Use
Healthcare Medical
$877.3K
$767.6K – $1.02M
NOI $61,410 @ 7.0% cap · market cap 4.09%
Second Best
Office B
$755.6K
$661.1K – $881.5K
NOI $52,890 @ 7.0% cap · market cap 3.53%
Theoretical Best
Specialty Retail
$1.31M
$1.14M – $1.53M
NOI $91,588 @ 7.0% cap · market cap 6.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
773
Businesses Nearby
Explore this area
Business Placement
Demographics for 59801, MT
30,629
Population
15,814
Households
1.9
Avg Household Size
34
Median Age
51%
College-Educated
97%
High-School Grad
7.7 sq mi
ZIP Area
3,978
Density / Sq Mi
$55,022
Median Household Income
$34,320
Median Earnings
$1,086
Median Rent
$393,400
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 - Open, light-filled professional workspace with ADA access, secured entry, in-suite restrooms, and flexible office areas.
Where is this office units located?
The property is located at 2315 McDonald Avenue Unit 300 Missoula, MT.
What is the asking price?
The asking price for this property is $1,500,000.
What are key features of this property?
This property features: Approximately ±4,000 square feet of office space plus ±538 square feet of storage; Built in 2020 with an open layout, large windows, and two glass‑partitioned areas; Private deck/atrium, open kitchenette, and three in‑suite restrooms
