Prime Missoula Commercial
For Sale
$1,795,000
2501 S Russell St, Missoula, MT 59801
High-exposure commercial property at Brooks and Russell intersection.
Property Size9,807 SF
Lot Size0.50 Acres
Price / SF$154.74
Days on Market201
Property Features for 2501 S Russell St
General Information
Standard status
Active
Size
9,807 SF
Class
C
Lot size
0.50 Acres
Property subtype
Office
Net Operating Income
$163,800
Building Details
Building Size
9,807 SF
Year Built
1953
Listing Agency:
PureWest Real Estate
Listed By:
Devin Khoury · License #MT #14766
(406) 207-8200
Source:
Svn
Added: Mar 11
Changed: Sep 25
Last Checked: Sep 26 at 5:07AM
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 PureWest Real Estate
Investment Insights
Based on property information with market context.
Located at the intersection of Brooks and Russell, this property in Missoula includes the Pruyn Veterinary Clinic and the Point Vitamin shop. The property consists of approximately 11,600 square feet between both buildings, situated on two separate legals and over 1/2 an acre. The location sees almost 50,000 cars per day. The property generates approximately $19,000 per month in net rents. The owner would consider selling each parcel separately.
Key Highlights
- High‑traffic location at the intersection of Brooks and Russell with approximately 50,000 cars/day.
- Generates approximately $19,000/month in net rents.
- Consists of two established businesses: Pruyn Veterinary Clinic and Point Vitamin shop.
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
$156,976
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
8.75%
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%
$3,139,520
$3.1M
Cap Rate 7%
$2,242,514
$2.2M
Cap Rate 9%
$1,744,178
$1.7M
Market Conditions
NOI Build-Up for 11,600 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
$292.3K $25.20/SF
− Vacancy
−$30.7K −$2.65/SF
EGI
$261.6K $22.55/SF
− OpEx
−$104.7K −$9.02/SF
NOI
$157.0K $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%
$3,139,520
Cap Rate 7%
$2,242,514
Cap Rate 9%
$1,744,178
Alternative Uses
Best Use
Healthcare Medical
$2.24M
$1.96M – $2.62M
NOI $156,976 @ 7.0% cap · market cap 8.75%
Second Best
Retail
$2.05M
$1.79M – $2.39M
NOI $143,237 @ 7.0% cap · market cap 7.98%
Theoretical Best
Specialty Retail
$3.34M
$2.93M – $3.90M
NOI $234,117 @ 7.0% cap · market cap 13.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,771
Businesses Nearby
321k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 49%
Dining 20%
Apparel 11%
Leisure 9%
Hobby Lobby
Shops & Services
46,562 visits/mo
0.4 miles
Dillard's
Apparel
36,798 visits/mo
0.4 miles
AMC Dine-In Southgate 9
Leisure
29,686 visits/mo
0.5 miles
Albertsons
Groceries
29,181 visits/mo
0.2 miles
Wendy's
Dining
28,108 visits/mo
0.5 miles
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
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail property - High-exposure commercial property at Brooks and Russell intersection.
Where is this retail property located?
The property is located at 2501 S Russell St Missoula, MT.
What is the asking price?
The asking price for this property is $1,795,000.
What are key features of this property?
This property features: High‑traffic location at the intersection of Brooks and Russell with approximately 50,000 cars/day.; Generates approximately $19,000/month in net rents.; Consists of two established businesses: Pruyn Veterinary Clinic and Point Vitamin shop.
