For Sale
$360,000
2542 Garfield Ave, Minneapolis, MN 55405
A 2024 roof and siding replacement complements four off-street parking spaces.
Property Size2,211 SF
Price / SF$162.82
Days on Market10
Property Features for 2542 Garfield Ave
General Information
Standard status
Active
Size
2,211 SF
Total Parking Spaces
4
Property subtype
Residential Income
Additional Details
Public Transit
Yes
Multifamily Units
2
Taxes and HOA fees
Annual Taxes
$7,061
Building Details
Year Built
1918
Buildings
1
Listing Agency:
DRG
(612) 777-8005
Listed By:
Richard E Newman
(612) 749-6503
Source:
Exprealty
Added: Sep 18
Changed: Sep 25
Last Checked: Sep 26 at 7:51AM
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 DRG
Investment Insights
Based on property information with market context.
Built in 1918, this 2,211-square-foot duplex features hardwood floors and original Minneapolis architectural character. Exterior work completed in 2024 included a new roof and siding. Four off-street parking spaces serve the property, and the upper unit is leased through May 31, 2027.
The property is in Minneapolis’ Uptown/Whittier area, near Lyndale Avenue restaurants, coffee shops, shopping, nightlife, and public transit. Downtown, Lake of the Isles, and Bde Maka Ska are also accessible from the area. Hospitals, universities, downtown employers, and entertainment are nearby.
The property is in Minneapolis’ Uptown/Whittier area, near Lyndale Avenue restaurants, coffee shops, shopping, nightlife, and public transit. Downtown, Lake of the Isles, and Bde Maka Ska are also accessible from the area. Hospitals, universities, downtown employers, and entertainment are nearby.
Key Highlights
- 2,211‑square‑foot duplex built in 1918
- Upper unit leased through May 31, 2027
- Four off‑street parking spaces
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
$32,304
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
8.97%
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%
$646,080
$646.1K
Cap Rate 7%
$461,486
$461.5K
Cap Rate 9%
$358,933
$358.9K
Market Conditions
NOI Build-Up for 2,211 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
$49.1K $22.20/SF
− Vacancy
−$2.9K −$1.33/SF
EGI
$46.1K $20.87/SF
− OpEx
−$13.8K −$6.26/SF
NOI
$32.3K $14.61/SF
Area
Minneapolis, MN
Vacancy
5.98%
Lease Rate
$22.20 /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%
$646,080
Cap Rate 7%
$461,486
Cap Rate 9%
$358,933
Alternative Uses
Best Use
Multifamily LT 5
$461.5K
$403.8K – $538.4K
NOI $32,304 @ 7.0% cap · market cap 8.97%
Second Best
Apartment 5plus
$423.9K
$370.9K – $494.5K
NOI $29,671 @ 7.0% cap · market cap 8.24%
Theoretical Best
Office A
$527.5K
$461.6K – $615.4K
NOI $36,925 @ 7.0% cap · market cap 10.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
4,293
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
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Multifamily in Midwest region
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Frequently Asked Questions
What type of property is this?
Duplex - A 2024 roof and siding replacement complements four off-street parking spaces.
Where is this duplex located?
The property is located at 2542 Garfield Ave Minneapolis, MN.
What is the asking price?
The asking price for this property is $360,000.
What are key features of this property?
This property features: 2,211‑square‑foot duplex built in 1918; Upper unit leased through May 31, 2027; Four off‑street parking spaces
