Remodeled Historic Apartment
For Sale
Contact for pricing
400-408 1st Ave. SW, Chisholm, MN 55719
Apartment suites feature tall ceilings, large windows, new appliances, and one- or two-bedroom layouts.
Property Size33,778 SF
Price / SF$93.26
Days on Market61
Property Features for 400-408 1st Ave. SW
General Information
Standard status
Active
Size
33,778 SF
Class
A
Total Parking Spaces
33
Property subtype
Multifamily
Zoning
Residential
Building Details
Year Built
1920
Year Renovated
2025
Buildings
1
Units
20
Tenancy
Multi
Listing Agency:
Consulting, Management & Realty Associates LLC
(218) 727-0064
Listed By:
Beth Wentzlaff · License #MN 20396394
Source:
Crexi
Added: Jul 3
Changed: Aug 30
Last Checked: Aug 30 at 2:57AM
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 Consulting, Management & Realty Associates LLC
Investment Insights
Based on property information with market context.
Originally built in 1920, this 33,778-square-foot apartment property occupies a converted historic school building with remodeled interior spaces. The suites offer tall ceilings, oversized windows, generous rooms, and new appliances. Most units also retain fireplaces and refinished hardwood flooring.
Apartments on the second and third floors include galley kitchens, bedrooms, and baths, with both one- and two-bedroom configurations represented. One suite includes two bedrooms, two baths, a large living room, walk-in closet, spacious kitchen, and private laundry room.
The property is located in the southwest portion of downtown Chisholm, with access to local amenities, major roads, and the Iron Range region. The address is 400-408 1st Ave. SW, Chisholm, MN 55719.
Apartments on the second and third floors include galley kitchens, bedrooms, and baths, with both one- and two-bedroom configurations represented. One suite includes two bedrooms, two baths, a large living room, walk-in closet, spacious kitchen, and private laundry room.
The property is located in the southwest portion of downtown Chisholm, with access to local amenities, major roads, and the Iron Range region. The address is 400-408 1st Ave. SW, Chisholm, MN 55719.
Key Highlights
- 33,778‑square‑foot apartment building originally constructed in 1920
- Historic school building converted into remodeled apartment suites
- One- and two‑bedroom layouts with galley kitchens, bedrooms, and baths
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
$276,617
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
8.78%
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%
$5,532,340
$5.5M
Cap Rate 7%
$3,951,671
$4.0M
Cap Rate 9%
$3,073,522
$3.1M
Market Conditions
NOI Build-Up for 33,778 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
$535.0K $15.84/SF
− Vacancy
−$32.1K −$0.95/SF
EGI
$502.9K $14.89/SF
− OpEx
−$226.3K −$6.70/SF
NOI
$276.6K $8.19/SF
Area
St. Louis County, MN
Vacancy
6.00%
Lease Rate
$15.84 /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%
$5,532,340
Cap Rate 7%
$3,951,671
Cap Rate 9%
$3,073,522
Alternative Uses
Best Use
Apartment 5plus
$3.95M
$3.46M – $4.61M
NOI $276,617 @ 7.0% cap · market cap 8.78%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$13.10M
$11.47M – $15.29M
NOI $917,211 @ 7.0% cap · market cap 29.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
279
Businesses Nearby
Explore this area
Business Placement
Demographics for 55719, MN
5,668
Population
2,568
Households
2.2
Avg Household Size
43
Median Age
16%
College-Educated
93%
High-School Grad
84.3 sq mi
ZIP Area
67
Density / Sq Mi
$63,497
Median Household Income
$38,045
Median Earnings
$784
Median Rent
$121,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Apartment suites feature tall ceilings, large windows, new appliances, and one- or two-bedroom layouts.
Where is this apartment building located?
The property is located at 400-408 1st Ave. SW Chisholm, MN.
What is the asking price?
The asking price for this property is $3,150,000.
What are key features of this property?
This property features: 33,778‑square‑foot apartment building originally constructed in 1920; Historic school building converted into remodeled apartment suites; One- and two‑bedroom layouts with galley kitchens, bedrooms, and baths
