Flex Space Warehouse with
For Sale
Contact for pricing
4201 W 1st St, Duluth, MN 55807
Renovated warehouse with dedicated professional office space and a securely fenced yard for equipment or lay-down storage.
Property Size11,710 SF
Price / SF$110.59
Days on Market924
Property Features for 4201 W 1st St
General Information
Standard status
Active
Size
11,710 SF
Property subtype
INDUSTRIAL
Site & Location
Highway Access
Yes
Fenced Yard
Yes
Outdoor Storage
Yes
Listing Agency:
Greg Follmer Commercial Real Estate
(218) 310-0013
Listed By:
Greg Follmer · License #27078
(218) 310-0013
Source:
Moodyscre
Added: Feb 9, 2024
Changed: Aug 8
Last Checked: Aug 8 at 10:59AM
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 Greg Follmer Commercial Real Estate
Investment Insights
Based on property information with market context.
This flex space warehouse combines renovated shop/warehouse space with dedicated professional office space. A securely fenced yard supports lay-down storage and equipment parking, offering practical separation between work space and outside operations.
The property is located for easy access just off the I-35 & 40th Ave W exit, providing convenient connectivity to the I-35 corridor and the Bong Bridge.
With 11,710 square feet of space, this is a straightforward option for users who need both operational warehouse area and on-site office functionality, with secure exterior space for equipment and stored materials.
The property is located for easy access just off the I-35 & 40th Ave W exit, providing convenient connectivity to the I-35 corridor and the Bong Bridge.
With 11,710 square feet of space, this is a straightforward option for users who need both operational warehouse area and on-site office functionality, with secure exterior space for equipment and stored materials.
Key Highlights
- 11,710 SF renovated shop warehouse
- Professional office space included
- Securely fenced yard for lay‑down storage or equipment parking
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
$56,244
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
4.34%
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%
$1,124,880
$1.1M
Cap Rate 7%
$803,486
$803.5K
Cap Rate 9%
$624,933
$624.9K
Market Conditions
NOI Build-Up for 11,710 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
$68.9K $5.88/SF
− Vacancy
−$2.7K −$0.23/SF
EGI
$66.2K $5.65/SF
− OpEx
−$9.9K −$0.85/SF
NOI
$56.2K $4.80/SF
Area
St. Louis County, MN
Vacancy
3.90%
Lease Rate
$5.88 /SF/Yr
Expense Ratio
15.00%
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%
$1,124,880
Cap Rate 7%
$803,486
Cap Rate 9%
$624,933
Alternative Uses
Best Use
Flex RnD
$3.94M
$3.44M – $4.59M
NOI $275,578 @ 7.0% cap · market cap 21.28%
Second Best
Office B
$2.32M
$2.03M – $2.71M
NOI $162,435 @ 7.0% cap · market cap 12.54%
Theoretical Best
Specialty Retail
$4.54M
$3.97M – $5.30M
NOI $317,974 @ 7.0% cap · market cap 24.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Fenced yard
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
536
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 55807, MN
9,674
Population
4,572
Households
2.1
Avg Household Size
39
Median Age
29%
College-Educated
95%
High-School Grad
5.8 sq mi
ZIP Area
1,668
Density / Sq Mi
$63,670
Median Household Income
$36,246
Median Earnings
$797
Median Rent
$164,000
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?
Flex space - Renovated warehouse with dedicated professional office space and a securely fenced yard for equipment or lay-down storage.
Where is this flex space located?
The property is located at 4201 W 1st St Duluth, MN.
What is the asking price?
The asking price for this property is $1,295,000.
What are key features of this property?
This property features: 11,710 SF renovated shop warehouse; Professional office space included; Securely fenced yard for lay‑down storage or equipment parking
