Historic Mixed-Use
For Sale
Contact for pricing
424 N Higgins Ave, Missoula, MT 59802
Partially occupied property combines office and restaurant tenancy with flexible second-floor space.
Property Size11,800 SF
Price / SF$203.39
Days on Market13
Property Features for 424 N Higgins Ave
General Information
Standard status
Active
Size
11,800 SF
Property subtype
OFFICE
Additional Details
Gross Income
$97,200
Road Access
Yes
Building Details
Buildings
1
Tenancy
Multi
Listing Agency:
Sterling CRE Advisors
(406) 370-6424
Listed By:
Connor McMahon · License #RRE-RBS-LIC-88267
(406) 370-6424
Source:
Moodyscre
Added: Jul 30
Changed: Aug 2
Last Checked: Aug 10 at 9:12AM
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 Sterling CRE Advisors
Investment Insights
Based on property information with market context.
Located at 424 N Higgins Ave in downtown Missoula, this historic mixed-use property contains 11,800 square feet across three floors. Preserved architectural elements contribute to the building’s character, while the existing configuration supports multiple commercial and residential-oriented uses. The property has previously accommodated restaurant, hotel, office, and residential functions.
Current occupancy includes an office tenant on the third floor and a restaurant tenant at ground level. The second floor is vacant and is identified as suitable for office or event use, with potential for conversion to residential space or short-term rental use. The building sits on North Higgins Avenue near Worden’s Market, with downtown amenities reachable within a five-minute walk. Nearby on-street public parking adds convenience for occupants and visitors.
Current occupancy includes an office tenant on the third floor and a restaurant tenant at ground level. The second floor is vacant and is identified as suitable for office or event use, with potential for conversion to residential space or short-term rental use. The building sits on North Higgins Avenue near Worden’s Market, with downtown amenities reachable within a five-minute walk. Nearby on-street public parking adds convenience for occupants and visitors.
Key Highlights
- 11,800‑square‑foot historic mixed‑use building at 424 N Higgins Ave
- Three‑floor configuration with office and restaurant occupancy
- Vacant second floor identified for office, event, residential, or short‑term rental use
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
$137,529
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
5.73%
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%
$2,750,580
$2.8M
Cap Rate 7%
$1,964,700
$2.0M
Cap Rate 9%
$1,528,100
$1.5M
Market Conditions
NOI Build-Up for 11,800 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
$247.8K $21.00/SF
− Vacancy
−$64.4K −$5.46/SF
EGI
$183.4K $15.54/SF
− OpEx
−$45.8K −$3.89/SF
NOI
$137.5K $11.66/SF
Area
Missoula County, MT
Vacancy
26.00%
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%
$2,750,580
Cap Rate 7%
$1,964,700
Cap Rate 9%
$1,528,100
Alternative Uses
Best Use
Specialty Retail
$3.40M
$2.98M – $3.97M
NOI $238,154 @ 7.0% cap · market cap 9.92%
Second Best
Office B
$1.96M
$1.72M – $2.29M
NOI $137,529 @ 7.0% cap · market cap 5.73%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
3,069
Businesses Nearby
Explore this area
Business Placement
Demographics for 59802, MT
19,892
Population
10,416
Households
1.9
Avg Household Size
37
Median Age
52%
College-Educated
96%
High-School Grad
45.4 sq mi
ZIP Area
438
Density / Sq Mi
$65,054
Median Household Income
$36,541
Median Earnings
$1,021
Median Rent
$420,200
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?
Mixed-use property - Partially occupied property combines office and restaurant tenancy with flexible second-floor space.
Where is this mixed-use property located?
The property is located at 424 N Higgins Ave Missoula, MT.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: 11,800‑square‑foot historic mixed‑use building at 424 N Higgins Ave; Three‑floor configuration with office and restaurant occupancy; Vacant second floor identified for office, event, residential, or short‑term rental use
