Mixed-Use Retail Property with NNN
For Sale
Contact for pricing
2344 Grand Avenue, Billings, MT 59102
Retail-oriented commercial property with renewed NNN leases, CPI adjustments, and recent exterior and parking improvements.
Property Size12,732 SF
Price / SF$212.06
Days on Market13
Property Features for 2344 Grand Avenue
General Information
Standard status
Active
Size
12,732 SF
Class
B
Property subtype
Retail, Office, Mixed Use
Zoning
CMU1
Occupancy
100%
Lease Type
NNN
Net Operating Income
$176,802
Building Details
Year Built
1975
Year Renovated
2025
Buildings
1
Stories
1
Units
5
Tenancy
Multi
Listing Agency:
Montana Listings
(406) 794-6896
Listed By:
Rica Dombrovski · License #MT RRE-BRO-LIC-53568
Source:
Crexi
Added: Jul 29
Changed: Aug 10
Last Checked: Aug 10 at 10:16AM
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 Montana Listings
Investment Insights
Based on property information with market context.
Built in 1975, this 12,732-square-foot mixed-use retail property includes a tenant roster operating under NNN lease structures. The leases were recently renewed, with at least 3 years remaining and annual CPI adjustments. The property also includes exterior upgrades and improvements to the parking areas.
An adjacent 12,280-square-foot lot provides overflow parking for the property. The site is zoned CMU1 and includes the first Wingstop location in Montana, adding a documented branded retail component to the center.
An adjacent 12,280-square-foot lot provides overflow parking for the property. The site is zoned CMU1 and includes the first Wingstop location in Montana, adding a documented branded retail component to the center.
Key Highlights
- 12,732 SF mixed‑use retail property
- NNN leases recently renewed with minimum 3 years remaining
- Annual CPI adjustments included in the leases
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
$130,344
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
4.83%
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%
$2,606,880
$2.6M
Cap Rate 7%
$1,862,057
$1.9M
Cap Rate 9%
$1,448,267
$1.4M
Market Conditions
NOI Build-Up for 12,732 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
$191.0K $15.00/SF
− Vacancy
−$4.8K −$0.38/SF
EGI
$186.2K $14.63/SF
− OpEx
−$55.9K −$4.39/SF
NOI
$130.3K $10.24/SF
Area
Billings, MT
Vacancy
2.50%
Lease Rate
$15.00 /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%
$2,606,880
Cap Rate 7%
$1,862,057
Cap Rate 9%
$1,448,267
Alternative Uses
Best Use
Retail
$1.86M
$1.63M – $2.17M
NOI $130,344 @ 7.0% cap · market cap 4.83%
Second Best
Mixed Use
$1.76M
$1.54M – $2.05M
NOI $122,991 @ 7.0% cap · market cap 4.56%
Theoretical Best
Office A
$2.78M
$2.43M – $3.24M
NOI $194,463 @ 7.0% cap · market cap 7.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,094
Businesses Nearby
244k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 50%
Shops & Services 24%
Groceries 15%
Home Improvements & Furnishings 10%
Albertsons
Groceries
29,426 visits/mo
0.2 miles
McDonald's
Dining
22,713 visits/mo
0.4 miles
Taco Bell
Dining
18,099 visits/mo
0.4 miles
Wendy's
Dining
17,899 visits/mo
0.4 miles
Red Robin Gourmet Burgers
Dining
17,702 visits/mo
0.3 miles
Demographics for 59102, MT
48,133
Population
22,706
Households
2.1
Avg Household Size
41
Median Age
43%
College-Educated
97%
High-School Grad
15.0 sq mi
ZIP Area
3,209
Density / Sq Mi
$75,140
Median Household Income
$43,203
Median Earnings
$1,148
Median Rent
$307,400
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Retail-oriented commercial property with renewed NNN leases, CPI adjustments, and recent exterior and parking improvements.
Where is this mixed-use property located?
The property is located at 2344 Grand Avenue Billings, MT.
What is the asking price?
The asking price for this property is $2,700,000.
What are key features of this property?
This property features: 12,732 SF mixed‑use retail property; NNN leases recently renewed with minimum 3 years remaining; Annual CPI adjustments included in the leases
