3-Unit Spa & Wellness
New
For Sale
$340,000
2850 Farragut Avenue, Butte, MT 59701
CommercialSale, Butte, MT
Property Size2,184 SF
Lot Size0.22 Acres
Price / SF$155.68
Days on Market3
Property Features for 2850 Farragut Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
C2
Bathrooms
3
Full bathrooms
3
Rooms
Bathroom 1, Bathroom 3, Bathroom 2
Directions
GPS to take you there
Subdivision
10BE - Butte - E of Harrison to 4 Mi V
Standard status
Active
APN
0000008400
Size
2,184 SF
Lot size
0.22 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
FLORAL PARK, S29, T03 N, R07 W, BLOCK 9, LOT 10 - 12
Tax Annual Amount
3563
Legal Description
FLORAL PARK, S29, T03 N, R07 W, BLOCK 9, LOT 10 - 12
Utilities
Sewer type
Public Sewer
Heating system
Forced Air
Water source
Public
Building Details
Year built
1973
Listing Agency:
Berkshire Hathaway - Butte · Berkshire Hathaway HomeServices
(406) 299-3980
Listed By:
Tina West · License #RBS-16861
(406) 593-0324
Added: Aug 31
Changed: Sep 2
Last Checked: Sep 2 at 5:06PM
MLS# 414509
Copyright © 2026 Big Sky Country MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 2,184-square-foot spa and wellness property is configured as three separate units, each with its own entrance and dedicated space. The building is currently used by Red Leaf Spa and includes three bathrooms, forced-air heating, public water, and public sewer. Constructed in 1973, the property occupies 0.224 acres.
Located in Butte, Montana, the building includes on-site parking and offers a compact commercial configuration for continued spa use or other supported operations. The separate entrances provide clear division among the three spaces while maintaining a single-building footprint.
Located in Butte, Montana, the building includes on-site parking and offers a compact commercial configuration for continued spa use or other supported operations. The separate entrances provide clear division among the three spaces while maintaining a single-building footprint.
Key Highlights
- 2,184‑square‑foot spa and wellness property in Butte, MT
- Three separate units, each with its own entrance and dedicated space
- Currently used by Red Leaf Spa
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
$28,197
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
8.29%
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%
$563,940
$563.9K
Cap Rate 7%
$402,814
$402.8K
Cap Rate 9%
$313,300
$313.3K
Market Conditions
NOI Build-Up for 2,184 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
$43.8K $20.04/SF
− Vacancy
−$6.2K −$2.83/SF
EGI
$37.6K $17.21/SF
− OpEx
−$9.4K −$4.30/SF
NOI
$28.2K $12.91/SF
Area
Silver Bow County, MT
Vacancy
14.10%
Lease Rate
$20.04 /SF/Yr
Expense Ratio
25.00%
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%
$563,940
Cap Rate 7%
$402,814
Cap Rate 9%
$313,300
Alternative Uses
Best Use
Office B
$402.8K
$352.5K – $470.0K
NOI $28,197 @ 7.0% cap · market cap 8.29%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$476.0K
$416.5K – $555.3K
NOI $33,319 @ 7.0% cap · market cap 9.80%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Office units
Location Intelligence
Trade Area within ½ mile
451
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 59701, MT
33,937
Population
16,834
Households
2
Avg Household Size
42
Median Age
27%
College-Educated
94%
High-School Grad
509.7 sq mi
ZIP Area
67
Density / Sq Mi
$56,799
Median Household Income
$34,793
Median Earnings
$811
Median Rent
$219,200
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- The Higher Standard — 3215 Harrison Ave, Butte, MT 59701
- Prima Natural Wellness — 2837 Amherst Ave, Butte, MT 59701
- Amber Edwards FNP LLC — 2000 Ottawa St, Butte, MT 59701
Frequently Asked Questions
What type of property is this?
Spa & wellness property - Three separately accessed spaces support a flexible wellness-oriented commercial layout with on-site parking.
Where is this spa & wellness property located?
The property is located at 2850 Farragut Avenue Butte, MT.
What is the asking price?
The asking price for this property is $340,000.
What are key features of this property?
This property features: 2,184‑square‑foot spa and wellness property in Butte, MT; Three separate units, each with its own entrance and dedicated space; Currently used by Red Leaf Spa
