54-Unit Multifamily
For Sale
$5,400,000
4601 E 26th St, Sioux Falls, SD 57710
54-unit community built in the 1990s with one- and two-bedroom apartments, 53 private garages, and on-site laundry.
Property Size58,141 SF
Price / SF$92.88
Days on Market306
Property Features for 4601 E 26th St
General Information
Standard status
Active
Size
58,141 SF
Total Parking Spaces
53
Property subtype
Multi-Family
Site & Location
Highway Access
Yes
Road Access
Yes
Additional Details
Multifamily Units
54
Building Details
Year Built
1994
Listing Agency:
Gateway Real Estate Advisors
Listed By:
Daniel Stillson · License #S73739000
(712) 739-0830
Source:
Siouxfallsareahomesearch
Added: Nov 10, 2025
Changed: Sep 9
Last Checked: Sep 11 at 10:51AM
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 Gateway Real Estate Advisors
Investment Insights
Based on property information with market context.
This 54-unit multifamily community was built in the 1990s and offers a mix of one- and two-bedroom apartments. The property includes 53 private garages and on-site laundry for residents. Public remarks also note recently renovated units and near-full occupancy.
The community sits along Sioux Falls’ growing east corridor, with convenient access to I-229 and the 41st Street retail corridor. It is also positioned near both Sanford and Avera medical campuses.
Financial information is available upon request.
The community sits along Sioux Falls’ growing east corridor, with convenient access to I-229 and the 41st Street retail corridor. It is also positioned near both Sanford and Avera medical campuses.
Financial information is available upon request.
Key Highlights
- 54‑unit multifamily community built in 1994 with a mix of one- and two‑bedroom apartments
- 53 private garages included for residents
- On‑site laundry available
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
$465,507
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
8.62%
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%
$9,310,140
$9.3M
Cap Rate 7%
$6,650,100
$6.7M
Cap Rate 9%
$5,172,300
$5.2M
Market Conditions
NOI Build-Up for 58,141 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
$941.9K $16.20/SF
− Vacancy
−$95.5K −$1.64/SF
EGI
$846.4K $14.56/SF
− OpEx
−$380.9K −$6.55/SF
NOI
$465.5K $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%
$9,310,140
Cap Rate 7%
$6,650,100
Cap Rate 9%
$5,172,300
Alternative Uses
Best Use
Apartment 5plus
$6.65M
$5.82M – $7.76M
NOI $465,507 @ 7.0% cap · market cap 8.62%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$15.79M
$13.81M – $18.42M
NOI $1,105,144 @ 7.0% cap · market cap 20.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
54
Residential units
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
367
Businesses Nearby
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Business Placement
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Market
Vacancy Rate% for Multifamily in Midwest region
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Frequently Asked Questions
What type of property is this?
Apartment building - 54-unit community built in the 1990s with one- and two-bedroom apartments, 53 private garages, and on-site laundry.
Where is this apartment building located?
The property is located at 4601 E 26th St Sioux Falls, SD.
What is the asking price?
The asking price for this property is $5,400,000.
What are key features of this property?
This property features: 54‑unit multifamily community built in 1994 with a mix of one- and two‑bedroom apartments; 53 private garages included for residents; On‑site laundry available
