Mixed-Use Property with Commercial
For Sale
Contact for pricing
504 N 20th St, Billings, MT 59101
Two residential units plus a separate two-unit commercial building give flexible income and occupancy options.
Property Size4,013 SF
Price / SF$98.43
Days on Market54
Property Features for 504 N 20th St
General Information
Standard status
Active
Size
4,013 SF
Property subtype
Mixed Use
Units
Multifamily Units
2
Office Units
2
Building Details
Units
4
Listing Agency:
Rob Veltkamp Brokerage
Listed By:
Tucker Veltkamp · License #MT 17174
Source:
Crexi
Added: Jun 19
Changed: Aug 8
Last Checked: Aug 10 at 3:37PM
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 Rob Veltkamp Brokerage
Investment Insights
Based on property information with market context.
This versatile mixed-use property combines a two-unit residential house with a separate two-unit commercial building. The residential portion is currently leased and generates approximately $1,300 per month combined. The commercial component is separately configured as two units, providing straightforward options for additional leasing or owner-user use.
The property is located at 504 N 20th St in Billings, Montana. The layout offers a clear separation between living space and commercial space, which can simplify management and planning for an operator or investor.
For tenants, buyers, and brokers, the combination of residential and commercial space can support a range of ownership strategies. An investor may value the existing residential cash flow while also pursuing additional lease-up or re-tenanting of the commercial units. An owner-occupant may prefer the ability to secure a workspace within the separate commercial building while maintaining rental income from the residential units. The property’s two-unit structure on both sides can also appeal to users seeking manageable, discrete spaces rather than one large footprint.
The property is located at 504 N 20th St in Billings, Montana. The layout offers a clear separation between living space and commercial space, which can simplify management and planning for an operator or investor.
For tenants, buyers, and brokers, the combination of residential and commercial space can support a range of ownership strategies. An investor may value the existing residential cash flow while also pursuing additional lease-up or re-tenanting of the commercial units. An owner-occupant may prefer the ability to secure a workspace within the separate commercial building while maintaining rental income from the residential units. The property’s two-unit structure on both sides can also appeal to users seeking manageable, discrete spaces rather than one large footprint.
Key Highlights
- Mixed‑use setup with a two‑unit residential house plus a separate two‑unit commercial building
- Residential units generate approximately $1,300 per month combined
- Commercial building provides additional leasing or owner‑user potential
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
$33,968
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
8.60%
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%
$679,360
$679.4K
Cap Rate 7%
$485,257
$485.3K
Cap Rate 9%
$377,422
$377.4K
Market Conditions
NOI Build-Up for 4,013 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
$65.0K $16.20/SF
− Vacancy
−$3.3K −$0.81/SF
EGI
$61.8K $15.39/SF
− OpEx
−$27.8K −$6.93/SF
NOI
$34.0K $8.46/SF
Area
Billings, MT
Vacancy
5.00%
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%
$679,360
Cap Rate 7%
$485,257
Cap Rate 9%
$377,422
Alternative Uses
Best Use
Retail
$586.9K
$513.5K – $684.7K
NOI $41,083 @ 7.0% cap · market cap 10.40%
Second Best
Multifamily LT 5
$523.3K
$457.9K – $610.6K
NOI $36,633 @ 7.0% cap · market cap 9.27%
Theoretical Best
Office A
$875.6K
$766.2K – $1.02M
NOI $61,293 @ 7.0% cap · market cap 15.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Office units
2
Residential units
Location Intelligence
Trade Area within ½ mile
2,123
Businesses Nearby
Explore this area
Business Placement
Demographics for 59101, MT
41,522
Population
18,864
Households
2.2
Avg Household Size
37
Median Age
22%
College-Educated
91%
High-School Grad
590.8 sq mi
ZIP Area
70
Density / Sq Mi
$58,165
Median Household Income
$36,258
Median Earnings
$930
Median Rent
$243,000
Median Home Value
Market
Vacancy Rate% for Multifamily in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Duplex - Two residential units plus a separate two-unit commercial building give flexible income and occupancy options.
Where is this duplex located?
The property is located at 504 N 20th St Billings, MT.
What is the asking price?
The asking price for this property is $395,000.
What are key features of this property?
This property features: Mixed‑use setup with a two‑unit residential house plus a separate two‑unit commercial building; Residential units generate approximately $1,300 per month combined; Commercial building provides additional leasing or owner‑user potential
