Single-Level Office
For Sale
$1,950,000
4200 W County Road 42, Savage, MN 55378
Two-user configuration includes a leased suite and a separately entered office suite available for lease.
Property Size8,976 SF
Price / SF$217.25
Days on Market57
Property Features for 4200 W County Road 42
General Information
Standard status
Active
Size
8,976 SF
Additional Details
Office Units
2
Taxes and HOA fees
Annual Taxes
$48,288
Building Details
Buildings
1
Stories
1
Tenancy
Multi
Listing Agency:
RE/MAX Advantage Plus
(406) 314-3333
Listed By:
Jeremy Feldmann · License #62417
(406) 314-3333
Source:
Exprealty
Added: Jul 7
Changed: Aug 31
Last Checked: Aug 30 at 11:50PM
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 RE/MAX Advantage Plus
Investment Insights
Based on property information with market context.
This 8,976-square-foot, single-level office building in Savage, Minnesota, is configured for two users. One suite is occupied by an eye clinic under a newly extended 5-year lease term. The second suite is available for lease and includes 7 windowed offices, 2 conference rooms, a bullpen area, and a private entrance.
The property occupies just over an acre at 4200 W County Road 42 and includes ample parking. Its professional office layout supports continued multi-suite use, with separate access for the available space.
The property occupies just over an acre at 4200 W County Road 42 and includes ample parking. Its professional office layout supports continued multi-suite use, with separate access for the available space.
Key Highlights
- 8, 976 SF single‑level office building
- Two‑user configuration with separate suites
- Eye clinic suite extended for another 5 year lease term
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
$118,752
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
6.09%
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%
$2,375,040
$2.4M
Cap Rate 7%
$1,696,457
$1.7M
Cap Rate 9%
$1,319,467
$1.3M
Market Conditions
NOI Build-Up for 8,976 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
$226.2K $25.20/SF
− Vacancy
−$28.3K −$3.15/SF
EGI
$197.9K $22.05/SF
− OpEx
−$79.2K −$8.82/SF
NOI
$118.8K $13.23/SF
Area
Scott County, MN
Vacancy
12.50%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
40.00%
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%
$2,375,040
Cap Rate 7%
$1,696,457
Cap Rate 9%
$1,319,467
Alternative Uses
Best Use
Healthcare Medical
$1.70M
$1.48M – $1.98M
NOI $118,752 @ 7.0% cap · market cap 6.09%
Second Best
Office B
$1.59M
$1.39M – $1.86M
NOI $111,341 @ 7.0% cap · market cap 5.71%
Theoretical Best
Office A
$2.14M
$1.87M – $2.50M
NOI $149,904 @ 7.0% cap · market cap 7.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Office units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
443
Businesses Nearby
Explore this area
Business Placement
Demographics for 55378, MN
31,906
Population
11,857
Households
2.7
Avg Household Size
37
Median Age
51%
College-Educated
97%
High-School Grad
14.3 sq mi
ZIP Area
2,231
Density / Sq Mi
$122,237
Median Household Income
$58,171
Median Earnings
$1,608
Median Rent
$393,800
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Two-user configuration includes a leased suite and a separately entered office suite available for lease.
Where is this office building located?
The property is located at 4200 W County Road 42 Savage, MN.
What is the asking price?
The asking price for this property is $1,950,000.
What are key features of this property?
This property features: 8, 976 SF single‑level office building; Two‑user configuration with separate suites; Eye clinic suite extended for another 5 year lease term
