10-Unit Apartment
For Sale
$1,100,000
338 NE 18th Ave, Minneapolis, MN 55418
Fully occupied multifamily community with updated finishes, varied unit layouts, and off-street parking.
Property Size7,500 SF
Lot Size0.44 Acres
Days on Market10
Property Features for 338 NE 18th Ave
General Information
Standard status
Active
Size
7,500 SF
Total Parking Spaces
12
Lot size
0.44 Acres
Property subtype
Multifamily
Occupancy
100%
Units
Unit Mix
1 x studio, 7 x 1BR, 2 x 2BR
Multifamily Units
10
Additional Details
Average Monthly Rent
$1,152
Amenities
Separately Parceled Duplex: One structure has two units on it's own parcel. This will give the owner the option of selling off the duplex.
Diverse unit mix: 1 studio, 7 one-bedrooms, and 2 two-bedrooms; average unit size of 660 and average rent of $1,152
Parking: The property boasts 12 off-street parking spaces consisting of eight surface spaces and four garage stalls.
Location: Northeast Minneapolis has become a hot spot for young professionals looking to settle down. Renters are attracted to the neighborhoods art culture, dining & brewery scene, historic charm, location & proximity, and relative value.
Updated Interiors: A majority of the units have been updated with granite countertops, subway tile backsplashes and dishwashers. All the units have been updated with new LVT or tile flooring.
Building Details
Building Size
7,500 SF
Year Built
1961
Buildings
2
Units
10
Listed By:
Mike Jacobs · License #License(s): MN: 40760249, CA: 01979550
(952) 852-9718
Source:
Marcusmillichap
Added: Sep 18
Changed: Sep 24
Last Checked: Sep 26 at 3:40AM
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 Mike Jacobs
Investment Insights
Based on property information with market context.
This apartment property comprises two neighboring buildings constructed in 1961 on a combined 0.44-acre site. The 10 residences include one studio, seven one-bedroom units, and two two-bedroom units. All units are occupied. Interiors in the 338 18th Avenue NE building have been refreshed with new LVT or tile flooring, while most residences there also feature granite countertops, subway tile backsplashes, and dishwashers.
Parking includes 12 off-street spaces, with eight surface spaces and four garage stalls. The property is located at 338-346 18th Avenue NE in Minneapolis’s Holland neighborhood, a few blocks from Bottineau Field Park and Recreation Center. The recreation center includes a baseball diamond, soccer fields, an indoor gym, and additional recreational facilities.
Parking includes 12 off-street spaces, with eight surface spaces and four garage stalls. The property is located at 338-346 18th Avenue NE in Minneapolis’s Holland neighborhood, a few blocks from Bottineau Field Park and Recreation Center. The recreation center includes a baseball diamond, soccer fields, an indoor gym, and additional recreational facilities.
Key Highlights
- 10‑unit multifamily property with one studio, seven one‑bedroom, and two two‑bedroom residences
- Two neighboring apartment buildings constructed in 1961
- Combined 0.44‑acre site with 12 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
$100,648
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
9.15%
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%
$2,012,960
$2.0M
Cap Rate 7%
$1,437,829
$1.4M
Cap Rate 9%
$1,118,311
$1.1M
Market Conditions
NOI Build-Up for 7,500 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
$195.3K $26.04/SF
− Vacancy
−$12.3K −$1.64/SF
EGI
$183.0K $24.40/SF
− OpEx
−$82.3K −$10.98/SF
NOI
$100.6K $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%
$2,012,960
Cap Rate 7%
$1,437,829
Cap Rate 9%
$1,118,311
Alternative Uses
Best Use
Apartment 5plus
$1.44M
$1.26M – $1.68M
NOI $100,648 @ 7.0% cap · market cap 9.15%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.79M
$1.57M – $2.09M
NOI $125,254 @ 7.0% cap · market cap 11.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
10
Residential units
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
1,328
Businesses Nearby
Explore this area
Business Placement
Demographics for 55418, MN
31,887
Population
14,859
Households
2.1
Avg Household Size
37
Median Age
51%
College-Educated
93%
High-School Grad
7.0 sq mi
ZIP Area
4,555
Density / Sq Mi
$95,630
Median Household Income
$56,491
Median Earnings
$1,349
Median Rent
$332,500
Median Home Value
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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?
Apartment building - Fully occupied multifamily community with updated finishes, varied unit layouts, and off-street parking.
Where is this apartment building located?
The property is located at 338 NE 18th Ave Minneapolis, MN.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: 10‑unit multifamily property with one studio, seven one‑bedroom, and two two‑bedroom residences; Two neighboring apartment buildings constructed in 1961; Combined 0.44‑acre site with 12 off‑street parking spaces
