Storefront Commercial Property For
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5462 Nicollet Ave, Minneapolis, MN 55419
6,218 SF storefront in Minneapolis' Windom neighborhood.
Property Size7,118 SF
Price / SF$196.68
Days on Market156
Property Features for 5462 Nicollet Ave
General Information
Standard status
Active
Size
7,118 SF
Total Parking Spaces
8
Property subtype
Retail
Zoning
Flexible Zoning
Building Details
Year Built
1947
Stories
1
Listing Agency:
Transwestern Minneapolis
Listed By:
Mike Salmen · License #MN 20037566
Source:
Crexi
Added: Mar 18
Changed: Aug 8
Last Checked: Aug 8 at 2:50PM
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 Transwestern Minneapolis
Investment Insights
Based on property information with market context.
This 6,218 square foot storefront commercial property is located at 5462 Nicollet Avenue South in Minneapolis, Minnesota. The property is situated in the Windom neighborhood, near the intersection of Nicollet Avenue and Diamond Lake Road, and blocks from Interstate 35W. It benefits from visibility and frontage along Nicollet Avenue, off-street parking, and proximity to other street retail in a walkable neighborhood. The property features an open layout suitable for a variety of commercial and retail uses. The building size is 7,118 square feet.
Key Highlights
- High visibility and frontage on Nicollet Avenue.
- Located in the walkable Windom neighborhood near other street retail.
- Proximity to Interstate 35W.
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
$85,726
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
6.12%
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%
$1,714,520
$1.7M
Cap Rate 7%
$1,224,657
$1.2M
Cap Rate 9%
$952,511
$952.5K
Market Conditions
NOI Build-Up for 7,118 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
$132.4K $18.60/SF
− Vacancy
−$9.9K −$1.40/SF
EGI
$122.5K $17.21/SF
− OpEx
−$36.7K −$5.16/SF
NOI
$85.7K $12.04/SF
Area
Minneapolis, MN
Vacancy
7.50%
Lease Rate
$18.60 /SF/Yr
Expense Ratio
30.00%
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%
$1,714,520
Cap Rate 7%
$1,224,657
Cap Rate 9%
$952,511
Alternative Uses
Best Use
Retail
$1.22M
$1.07M – $1.43M
NOI $85,726 @ 7.0% cap · market cap 6.12%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.70M
$1.49M – $1.98M
NOI $118,874 @ 7.0% cap · market cap 8.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
618
Businesses Nearby
49k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 72%
Dining 19%
Home Improvements & Furnishings 9%
Holiday Station Store
Shops & Services
22,372 visits/mo
0.1 miles
Starbucks
Dining
9,433 visits/mo
0.5 miles
Mobil
Shops & Services
8,039 visits/mo
0.4 miles
Diamond Lake Hardware
Home Improvements & Furnishings
4,282 visits/mo
0.1 miles
AutoZone
Shops & Services
3,649 visits/mo
0.5 miles
Demographics for 55419, MN
27,919
Population
12,119
Households
2.3
Avg Household Size
39
Median Age
72%
College-Educated
97%
High-School Grad
4.2 sq mi
ZIP Area
6,647
Density / Sq Mi
$143,254
Median Household Income
$77,467
Median Earnings
$1,476
Median Rent
$479,000
Median Home Value
Market
Vacancy Rate% for Retail in Minneapolis, MN
Questions? Ask Rey
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Similar Off Market Nearby
- Cub Foods Floral — 5937 Nicollet Ave, Minneapolis, MN 55419
Frequently Asked Questions
What type of property is this?
Storefront property - 6,218 SF storefront in Minneapolis' Windom neighborhood.
Where is this storefront property located?
The property is located at 5462 Nicollet Ave Minneapolis, MN.
What is the asking price?
The asking price for this property is $1,400,000.
What are key features of this property?
This property features: High visibility and frontage on Nicollet Avenue.; Located in the walkable Windom neighborhood near other street retail.; Proximity to Interstate 35W.
