Five-Unit Multifamily
For Sale
$1,095,000
2445 Aldrich Avenue S, Minneapolis, MN 55405
Four 2-bedroom units plus one top-floor 4-bedroom unit with remodeled interiors and porches.
Property Size7,253 SF
Price / SF$150.97
Days on Market44
Property Features for 2445 Aldrich Avenue S
General Information
Standard status
Active
Size
7,253 SF
Property subtype
Commercial
Zoning
Business/Commercial
Additional Details
Highway Access
Yes
Multifamily Units
5
Taxes and HOA fees
Annual Taxes
$14,754
Amenities
original hardwood floors
built-ins
front porch
back porch
Building Details
Building Size
7,253 SF
Year Built
1911
Stories
3
Units
5
Tenancy
Multi
Listing Agency:
Pemberton RE
(612) 743-2975
Listed By:
Nathan J Labatt
(612) 743-2975
Source:
Juverealestate
Added: Jul 13
Changed: Aug 8
Last Checked: Aug 25 at 9:25AM
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 Pemberton RE
Investment Insights
Based on property information with market context.
This five-unit multifamily building features four 2-bedroom, 1-bath units and one spacious 4-bedroom, 1-bath unit on the top floor. Units include original hardwood floors and built-ins, and all units were remodeled within the last 10–12 years. The property also offers inviting front and back porches that add outdoor living space.
Located at 2445 Aldrich Avenue S in Minneapolis, the building is situated just minutes from Uptown, Downtown Minneapolis, and the Chain of Lakes. Residents benefit from convenient access to public transportation and major roadways, with nearby recreation and dining options including Lake of the Isles, Bde Maka Ska, and the Midtown Greenway.
Located at 2445 Aldrich Avenue S in Minneapolis, the building is situated just minutes from Uptown, Downtown Minneapolis, and the Chain of Lakes. Residents benefit from convenient access to public transportation and major roadways, with nearby recreation and dining options including Lake of the Isles, Bde Maka Ska, and the Midtown Greenway.
Key Highlights
- Five‑unit multifamily built in 1911 with four 2BR/1BA units and one top‑floor 4BR/1BA unit
- Original hardwood floors and built‑ins in the building
- All units remodeled within the last 10–12 years
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
$97,333
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
8.89%
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%
$1,946,660
$1.9M
Cap Rate 7%
$1,390,471
$1.4M
Cap Rate 9%
$1,081,478
$1.1M
Market Conditions
NOI Build-Up for 7,253 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
$188.9K $26.04/SF
− Vacancy
−$11.9K −$1.64/SF
EGI
$177.0K $24.40/SF
− OpEx
−$79.6K −$10.98/SF
NOI
$97.3K $13.42/SF
Area
Minneapolis, MN
Vacancy
6.30%
Lease Rate
$26.04 /SF/Yr
Expense Ratio
45.00%
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%
$1,946,660
Cap Rate 7%
$1,390,471
Cap Rate 9%
$1,081,478
Alternative Uses
Best Use
Apartment 5plus
$1.39M
$1.22M – $1.62M
NOI $97,333 @ 7.0% cap · market cap 8.89%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.73M
$1.51M – $2.02M
NOI $121,129 @ 7.0% cap · market cap 11.06%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
3,066
Businesses Nearby
Explore this area
Business Placement
Demographics for 55405, MN
15,497
Population
8,724
Households
1.8
Avg Household Size
34
Median Age
59%
College-Educated
95%
High-School Grad
2.8 sq mi
ZIP Area
5,535
Density / Sq Mi
$70,425
Median Household Income
$47,271
Median Earnings
$1,188
Median Rent
$450,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Four 2-bedroom units plus one top-floor 4-bedroom unit with remodeled interiors and porches.
Where is this apartment building located?
The property is located at 2445 Aldrich Avenue S Minneapolis, MN.
What is the asking price?
The asking price for this property is $1,095,000.
What are key features of this property?
This property features: Five‑unit multifamily built in 1911 with four 2BR/1BA units and one top‑floor 4BR/1BA unit; Original hardwood floors and built‑ins in the building; All units remodeled within the last 10–12 years
