6-Unit Apartment
New
For Sale
$550,000
412 S Thompson Ave, Sioux Falls, SD 57103
MULTI_FAMILY - Sioux Falls, SD
Property Size5,376 SF
Lot Size0.23 Acres
Price / SF$102.31
Days on Market2
Property Features for 412 S Thompson Ave
General Information
Property type
Residential Multi Family
Property subtype
Other
Rooms
Basement
Appliances
Dishwasher, Range, Refrigerator
Subdivision
Lyon Homesite Addn
Elementary school
Cleveland ES
Middle school
Ben REifel Middle School
High school
Washington HS
Elementary school district
Sioux Falls
Middle school district
SiouxFalls
High school district
SiouxFalls
Directions
From E 10th, south on Cleveland, East on 13th to Thompson
Standard status
Active
APN
39155
Size
5,376 SF
Lot size
0.23 Acres
Taxes and HOA fees
Tax Description
Melloons Sub of Tracts 2&3 5 Block 2 Lyon S Homesite Addn to City of Sioux Falls
Tax Annual Amount
7231
Legal Description
Melloons Sub of Tracts 2&3 5 Block 2 Lyon S Homesite Addn to City of Sioux Falls
Utilities
Sewer type
Public Sewer
Heating system
Baseboard
Cooling system
Window Unit(s)
Water source
Public
Amenities
common area coin-operated laundry
Building Details
Year built
1977
Floors in Building
3
Number of units
6
Flooring type
Laminate
Building materials
Brick Veneer
Roof type
Composition
Listing Agency:
Keller Williams Realty Sioux Falls
(605) 275-0555
Listed By:
Amber Ellingsen
(605) 275-0555
Added: Aug 9
Changed: Aug 10
Last Checked: Aug 10 at 3:06AM
MLS# 22606055
Copyright © 2026 Realtor Association of the Sioux Empire 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 6-unit apartment property contains five 2-bedroom, 1-bath residences and one 1-bedroom, 1-bath residence within 5,376 square feet. The 1977 building features brick veneer construction, laminate flooring, baseboard heating, window unit cooling, and a basement. Improvements include a boiler, HVAC, and concrete work, while common-area coin-operated laundry serves the residents. Appliances include refrigerators, ranges, and dishwashers.
The property occupies 0.2299 acres in Sioux Falls, near downtown and with access to shopping, dining, schools, medical facilities, and I-229. Public water and public sewer serve the building. The asset is fully occupied and professionally managed.
The property occupies 0.2299 acres in Sioux Falls, near downtown and with access to shopping, dining, schools, medical facilities, and I-229. Public water and public sewer serve the building. The asset is fully occupied and professionally managed.
Key Highlights
- 6‑unit building with five 2‑bedroom, 1‑bath units and one 1‑bedroom, 1‑bath unit
- 5,376 square feet on a 0.2299‑acre site
- Fully occupied and professionally managed
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
$43,043
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
7.83%
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%
$860,860
$860.9K
Cap Rate 7%
$614,900
$614.9K
Cap Rate 9%
$478,256
$478.3K
Market Conditions
NOI Build-Up for 5,376 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
$87.1K $16.20/SF
− Vacancy
−$8.8K −$1.64/SF
EGI
$78.3K $14.56/SF
− OpEx
−$35.2K −$6.55/SF
NOI
$43.0K $8.01/SF
Area
Sioux Falls, SD
Vacancy
10.14%
Lease Rate
$16.20 /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%
$860,860
Cap Rate 7%
$614,900
Cap Rate 9%
$478,256
Alternative Uses
Best Use
Apartment 5plus
$614.9K
$538.0K – $717.4K
NOI $43,043 @ 7.0% cap · market cap 7.83%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.46M
$1.28M – $1.70M
NOI $102,187 @ 7.0% cap · market cap 18.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Residential units
100%
Occupancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
365
Businesses Nearby
Explore this area
Business Placement
Demographics for 57103, SD
36,069
Population
15,326
Households
2.4
Avg Household Size
37
Median Age
33%
College-Educated
91%
High-School Grad
9.5 sq mi
ZIP Area
3,797
Density / Sq Mi
$73,945
Median Household Income
$43,661
Median Earnings
$938
Median Rent
$244,800
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 - Fully occupied multifamily property with updated mechanical systems and shared coin-operated laundry.
Where is this apartment building located?
The property is located at 412 S Thompson Ave Sioux Falls, SD.
What is the asking price?
The asking price for this property is $550,000.
What are key features of this property?
This property features: 6‑unit building with five 2‑bedroom, 1‑bath units and one 1‑bedroom, 1‑bath unit; 5,376 square feet on a 0.2299‑acre site; Fully occupied and professionally managed
