Historic Office Building with
For Sale
$1,350,000
504 W Main Street, Bozeman, MT 59715
Well-maintained two-level office building with multiple private offices, conference room, and a basement for storage.
Property Size3,783 SF
Price / SF$356.86
Days on Market145
Property Features for 504 W Main Street
General Information
Standard status
Active
Size
3,783 SF
Total Parking Spaces
5
Property subtype
Commercial
Zoning
B2M
Additional Details
Office Units
6
Taxes and HOA fees
Annual Taxes
$7,623
Building Details
Building Size
3,783 SF
Year Built
1918
Listing Agency:
Starner Commercial Real Estate
(406) 995-2404
Listed By:
Ashley Keller
(406) 407-2520
Source:
Outlaw
Added: Apr 14
Changed: Sep 4
Last Checked: Sep 5 at 4:49AM
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 Starner Commercial Real Estate
Investment Insights
Based on property information with market context.
Built in 1918 and thoughtfully updated, this charming office building offers character-filled space with new windows and a modern HVAC system. The main level includes two private offices, an open workspace, a conference room, and a kitchen. An upper level provides four additional offices, supporting a range of professional or personal service layouts. A spacious basement adds storage capacity.
The property sits on the southwest corner of West Main Street and South 5th Avenue, providing convenient visibility and access along a Main Street setting. On-site parking is available with 4–5 spaces.
Zoned Community Mixed Use, the building offers flexibility for eligible business opportunities within the existing zoning framework.
The property sits on the southwest corner of West Main Street and South 5th Avenue, providing convenient visibility and access along a Main Street setting. On-site parking is available with 4–5 spaces.
Zoned Community Mixed Use, the building offers flexibility for eligible business opportunities within the existing zoning framework.
Key Highlights
- Built in 1918, this well‑maintained two‑level office building offers updated windows and a modern HVAC system
- Main level includes two private offices, an open workspace, a conference room, and a kitchen
- Upper level features four additional offices for flexible professional or service 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
$55,650
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
4.12%
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%
$1,113,000
$1.1M
Cap Rate 7%
$795,000
$795.0K
Cap Rate 9%
$618,333
$618.3K
Market Conditions
NOI Build-Up for 3,783 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
$79.4K $21.00/SF
− Vacancy
−$5.2K −$1.39/SF
EGI
$74.2K $19.61/SF
− OpEx
−$18.5K −$4.90/SF
NOI
$55.6K $14.71/SF
Area
Gallatin County, MT
Vacancy
6.60%
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%
$1,113,000
Cap Rate 7%
$795,000
Cap Rate 9%
$618,333
Alternative Uses
Best Use
Office B
$795.0K
$695.6K – $927.5K
NOI $55,650 @ 7.0% cap · market cap 4.12%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$987.8K
$864.3K – $1.15M
NOI $69,147 @ 7.0% cap · market cap 5.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Office units
Location Intelligence
Trade Area within ½ mile
2,178
Businesses Nearby
Explore this area
Business Placement
Demographics for 59715, MT
37,286
Population
17,116
Households
2.2
Avg Household Size
30
Median Age
68%
College-Educated
98%
High-School Grad
294.9 sq mi
ZIP Area
126
Density / Sq Mi
$85,000
Median Household Income
$31,646
Median Earnings
$1,376
Median Rent
$755,300
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?
Office building - Well-maintained two-level office building with multiple private offices, conference room, and a basement for storage.
Where is this office building located?
The property is located at 504 W Main Street Bozeman, MT.
What is the asking price?
The asking price for this property is $1,350,000.
What are key features of this property?
This property features: Built in 1918, this well‑maintained two‑level office building offers updated windows and a modern HVAC system; Main level includes two private offices, an open workspace, a conference room, and a kitchen; Upper level features four additional offices for flexible professional or service use
