Clinic Office
For Sale
Contact for pricing
4702 Grand Ave, Duluth, MN 55807
Office property built in 1997 and identified as a clinic.
Property Size20,512 SF
Price / SF$346.14
Days on Market89
Property Features for 4702 Grand Ave
General Information
Standard status
Active
Size
20,512 SF
Class
A
Property subtype
Office
Occupancy
100%
Lease Type
Absolute Net
Investment Type
Net Lease
Net Operating Income
$471,776
Additional Details
Cap Rate
6.65%
Building Details
Year Built
1997
Buildings
1
Tenancy
Single
Listing Agency:
Matthews
Listed By:
Michael Moreno · License #CA 01982943
Source:
Crexi
Added: Jun 3
Changed: Aug 29
Last Checked: Aug 29 at 4:14PM
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 Matthews
Investment Insights
Based on property information with market context.
This office building contains 20,512 square feet and was constructed in 1997. The property is identified as Aspirus St. Luke's Clinic and is located at 4702 Grand Ave in Duluth, Minnesota.
The offering is presented with a 6.65% CAP rate, providing a defined investment metric for evaluating the property. Its office classification supports consideration for professional and medical office use.
The offering is presented with a 6.65% CAP rate, providing a defined investment metric for evaluating the property. Its office classification supports consideration for professional and medical office use.
Key Highlights
- 20,512‑square‑foot office building
- Built in 1997
- Identified as Aspirus St. Luke's Clinic
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
$284,533
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
4.01%
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%
$5,690,660
$5.7M
Cap Rate 7%
$4,064,757
$4.1M
Cap Rate 9%
$3,161,478
$3.2M
Market Conditions
NOI Build-Up for 20,512 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
$512.0K $24.96/SF
− Vacancy
−$132.6K −$6.46/SF
EGI
$379.4K $18.50/SF
− OpEx
−$94.8K −$4.62/SF
NOI
$284.5K $13.87/SF
Area
St. Louis County, MN
Vacancy
25.90%
Lease Rate
$24.96 /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%
$5,690,660
Cap Rate 7%
$4,064,757
Cap Rate 9%
$3,161,478
Alternative Uses
Best Use
Office B
$4.06M
$3.56M – $4.74M
NOI $284,533 @ 7.0% cap · market cap 4.01%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$7.96M
$6.96M – $9.28M
NOI $556,984 @ 7.0% cap · market cap 7.84%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
824
Businesses Nearby
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?
Office building - Office property built in 1997 and identified as a clinic.
Where is this office building located?
The property is located at 4702 Grand Ave Duluth, MN.
What is the asking price?
The asking price for this property is $7,100,000.
What are key features of this property?
This property features: 20,512‑square‑foot office building; Built in 1997; Identified as Aspirus St. Luke's Clinic
