Office Unit with Seven
For Sale
$575,000
4050 Valley Commons Dr E, Bozeman, MT 59718
Second-floor office suite with flexible rooms, client waiting space, kitchenette, and dedicated parking.
Property Size1,421 SF
Price / SF$404.64
Days on Market41
Property Features for 4050 Valley Commons Dr E
General Information
Standard status
Active
Size
1,421 SF
Elevators
Yes
Property subtype
Commercial
Additional Details
Office Units
1
Amenities
shared common-area restrooms
individual air-conditioning units
Building Details
Year Built
1998
Listing Agency:
Aspire Realty
Listed By:
Arison Antonucci-Burns · License #BRO-1487
(406) 570-0632
Source:
Bozemanbigskyproperties
Added: Aug 7
Changed: Sep 15
Last Checked: Sep 15 at 2:44PM
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 Aspire Realty
Investment Insights
Based on property information with market context.
Unit E is a 1,421-square-foot office suite configured with seven offices of varying sizes, a reception or waiting area, kitchenette, storage closet, and washer and dryer hookups. Three offices have north-facing mountain windows, while select rooms include water connections for sinks. Individual air-conditioning units, window blinds, and elevator access support day-to-day operations.
The suite is located at 4050 Valley Commons Dr E in Bozeman, with more than 20 designated parking spaces and additional off-street parking for clients and guests. Shared common-area restrooms serve the second-floor offices. Built in 1998, the property has undergone significant exterior improvements, with interior improvements underway. Adjacent Units F and G are also available for purchase, adding approximately 3,100 square feet and 11 office suites for a combined total of approximately 4,732 square feet.
The suite is located at 4050 Valley Commons Dr E in Bozeman, with more than 20 designated parking spaces and additional off-street parking for clients and guests. Shared common-area restrooms serve the second-floor offices. Built in 1998, the property has undergone significant exterior improvements, with interior improvements underway. Adjacent Units F and G are also available for purchase, adding approximately 3,100 square feet and 11 office suites for a combined total of approximately 4,732 square feet.
Key Highlights
- Unit E measures 1,421 square feet and contains 7 offices
- Three offices feature north‑facing mountain windows
- Suite includes kitchenette, storage closet, and washer and dryer hookups
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
$20,904
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
3.64%
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%
$418,080
$418.1K
Cap Rate 7%
$298,629
$298.6K
Cap Rate 9%
$232,267
$232.3K
Market Conditions
NOI Build-Up for 1,421 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
$29.8K $21.00/SF
− Vacancy
−$2.0K −$1.39/SF
EGI
$27.9K $19.61/SF
− OpEx
−$7.0K −$4.90/SF
NOI
$20.9K $14.71/SF
Area
Gallatin County, MT
Vacancy
6.60%
Lease Rate
$21.00 /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%
$418,080
Cap Rate 7%
$298,629
Cap Rate 9%
$232,267
Alternative Uses
Best Use
Office B
$298.6K
$261.3K – $348.4K
NOI $20,904 @ 7.0% cap · market cap 3.64%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$371.1K
$324.7K – $432.9K
NOI $25,974 @ 7.0% cap · market cap 4.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
1
Office units
Location Intelligence
Trade Area within ½ mile
584
Businesses Nearby
Explore this area
Business Placement
Demographics for 59718, MT
43,831
Population
19,765
Households
2.2
Avg Household Size
33
Median Age
57%
College-Educated
97%
High-School Grad
164.5 sq mi
ZIP Area
266
Density / Sq Mi
$91,852
Median Household Income
$44,915
Median Earnings
$1,748
Median Rent
$579,800
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 - Second-floor office suite with flexible rooms, client waiting space, kitchenette, and dedicated parking.
Where is this office units located?
The property is located at 4050 Valley Commons Dr E Bozeman, MT.
What is the asking price?
The asking price for this property is $575,000.
What are key features of this property?
This property features: Unit E measures 1,421 square feet and contains 7 offices; Three offices feature north‑facing mountain windows; Suite includes kitchenette, storage closet, and washer and dryer hookups
