Prime Retail/Office
For Sale
Contact for pricing
3220 Great Northern Ave, Missoula, MT 59808
Versatile commercial property in high-traffic retail corridor.
Property Size6,096 SF
Lot Size1.34 Acres
Price / SF$310.86
Days on Market726
Property Features for 3220 Great Northern Ave
General Information
Standard status
Active
Size
6,096 SF
Lot size
1.34 Acres
Property subtype
Retail, Office
Zoning
M1R-2 (Light Industrial Residential)
Investment Type
Owner/User
Building Details
Year Built
1994
Year Renovated
2015
Buildings
1
Listing Agency:
Sterling CRE Advisors
Listed By:
Matt Mellott, CCIM, SIOR · License #MT RRE-RBS-BRO-52907
Source:
Crexi
Added: Aug 15, 2024
Changed: Aug 7
Last Checked: May 12 at 11:00PM
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 Sterling CRE Advisors
Investment Insights
Based on property information with market context.
This property presents an opportunity for office or retail use, situated on a 1.34-acre parcel featuring a 6,096-square-foot building. Located within the North Reserve Street Retail Corridor, the site benefits from high visibility with approximately 33,193 daily drivers along North Reserve Street, and convenient access to West Broadway and Interstate 90. The location is near Costco, Lowe’s, Chick-fil-A, and Target, along with other retail and restaurant franchises. The property has commercial zoning (City of Missoula, M1R-2) and access to all utilities. A private, dedicated parking lot offers ample space to install a drive-thru if needed. The site is suitable for medical office, professional office, or retail purposes. Financial institutions are not permitted.
Key Highlights
- High‑traffic location on North Reserve Street with ±33,193 daily drivers.
- Versatile commercial zoning suitable for office or retail.
- Proximity to major retailers like Costco, Lowe’s, Chick‑fil‑A, and Target.
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
$75,273
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
3.97%
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%
$1,505,460
$1.5M
Cap Rate 7%
$1,075,329
$1.1M
Cap Rate 9%
$836,367
$836.4K
Market Conditions
NOI Build-Up for 6,096 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
$109.7K $18.00/SF
− Vacancy
−$2.2K −$0.36/SF
EGI
$107.5K $17.64/SF
− OpEx
−$32.3K −$5.29/SF
NOI
$75.3K $12.35/SF
Area
Missoula County, MT
Vacancy
2.00%
Lease Rate
$18.00 /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%
$1,505,460
Cap Rate 7%
$1,075,329
Cap Rate 9%
$836,367
Alternative Uses
Best Use
Retail
$1.08M
$940.9K – $1.25M
NOI $75,273 @ 7.0% cap · market cap 3.97%
Second Best
Office B
$1.01M
$888.1K – $1.18M
NOI $71,049 @ 7.0% cap · market cap 3.75%
Theoretical Best
Specialty Retail
$1.76M
$1.54M – $2.05M
NOI $123,033 @ 7.0% cap · market cap 6.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,102
Businesses Nearby
Explore this area
Business Placement
Demographics for 59808, MT
21,546
Population
9,938
Households
2.2
Avg Household Size
38
Median Age
40%
College-Educated
97%
High-School Grad
157.1 sq mi
ZIP Area
137
Density / Sq Mi
$76,795
Median Household Income
$39,324
Median Earnings
$1,236
Median Rent
$419,800
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Versatile commercial property in high-traffic retail corridor.
Where is this office units located?
The property is located at 3220 Great Northern Ave Missoula, MT.
What is the asking price?
The asking price for this property is $1,895,000.
What are key features of this property?
This property features: High‑traffic location on North Reserve Street with ±33,193 daily drivers.; Versatile commercial zoning suitable for office or retail.; Proximity to major retailers like Costco, Lowe’s, Chick‑fil‑A, and Target.
