Controlled-Environment Cannabis Grow
For Sale
$779,900
6 89th Street S, Billings, MT 59106
SINGLE_FAMILY - Billings, MT
Property Size4,125 SF
Lot Size1.45 Acres
Price / SF$189.07
Days on Market92
Property Features for 6 89th Street S
General Information
Property type
Residential
Property subtype
Office
Property condition
Under Construction
Zoning description
UNZON
Parking
10
Parking features
Paved or Surfaced
Security features
Security
Interior features
Storage
Subdivision
Lipp Subdivision
Standard status
Active
APN
C17121
Size
4,125 SF
Lot size
1.45 Acres
Taxes and HOA fees
Tax Description
LIPP SUBD 1ST FIL (17), S10, T01 S, R24 E, BLOCK 1, Lot 1A, AMD (23)
Tax Annual Amount
3062
Legal Description
LIPP SUBD 1ST FIL (17), S10, T01 S, R24 E, BLOCK 1, Lot 1A, AMD (23)
Utilities
Sewer type
Septic Tank
Heating system
Natural Gas, Forced Air
Cooling system
Central Air
Building Details
Year built
2017
Floors in Building
2
Building materials
MetalSiding
Roof type
Metal
Additional Structures
Storage
Listing Agency:
Century 21 Hometown Brokers · Century 21 Real Estate
(406) 294-2121
Listed By:
Wayne Wilcox · License #RRE-RBS-LIC-46422
(406) 697-9800
Added: May 12
Changed: Aug 2
Last Checked: Aug 11 at 5:06PM
MLS# 353359
Copyright © 2026 Billings Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
A newly built, under-construction cannabis grow facility designed for cultivation, manufacturing, and environmental controlled curing. The property is set up with an office and a security system intended to meet CCD/DOJ requirements, plus a locked security fence and multi-point security entrance. Interior features include storage, a private bathroom, and full plumbing in the building.
The layout includes three rooms for growing, with one room described as turn key. There is also a separate mother room, along with a packaging room and a processing room. A packaging and processing workflow is supported by installed 3-phase power, and water is addressed with two cisterns: one for water disposal/RO system, plus four holding tanks.
The facility sits on a 1.454-acre lot (4,125 SF building) with paved or surfaced parking. The exterior construction includes metal siding and a metal roof, with heating provided via forced air and natural gas and cooling via central air. Septic tank sewer service is noted. The property is conveniently located off Lipp Rd and 89th St W in Billings, Montana.
The layout includes three rooms for growing, with one room described as turn key. There is also a separate mother room, along with a packaging room and a processing room. A packaging and processing workflow is supported by installed 3-phase power, and water is addressed with two cisterns: one for water disposal/RO system, plus four holding tanks.
The facility sits on a 1.454-acre lot (4,125 SF building) with paved or surfaced parking. The exterior construction includes metal siding and a metal roof, with heating provided via forced air and natural gas and cooling via central air. Septic tank sewer service is noted. The property is conveniently located off Lipp Rd and 89th St W in Billings, Montana.
Key Highlights
- 1.454‑acre lot with 4,125 SF cannabis grow facility
- Three rooms for growing, with one room described as turn key
- 2 cisterns (including water disposal/RO system) plus 4 holding tanks
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
$23,779
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
3.05%
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%
$475,580
$475.6K
Cap Rate 7%
$339,700
$339.7K
Cap Rate 9%
$264,211
$264.2K
Market Conditions
NOI Build-Up for 4,125 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
$37.1K $9.00/SF
− Vacancy
−$3.2K −$0.77/SF
EGI
$34.0K $8.24/SF
− OpEx
−$10.2K −$2.47/SF
NOI
$23.8K $5.76/SF
Area
Billings, MT
Vacancy
8.50%
Lease Rate
$9.00 /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%
$475,580
Cap Rate 7%
$339,700
Cap Rate 9%
$264,211
Alternative Uses
Best Use
Industrial
$339.7K
$297.2K – $396.3K
NOI $23,779 @ 7.0% cap · market cap 3.05%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$900.1K
$787.6K – $1.05M
NOI $63,004 @ 7.0% cap · market cap 8.08%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Heavy power
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
8
Businesses Nearby
Explore this area
Business Placement
Demographics for 59106, MT
20,681
Population
8,164
Households
2.5
Avg Household Size
40
Median Age
52%
College-Educated
98%
High-School Grad
112.0 sq mi
ZIP Area
185
Density / Sq Mi
$122,374
Median Household Income
$52,380
Median Earnings
$1,380
Median Rent
$483,100
Median Home Value
Market
Vacancy Rate% for Industrial in West region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Cannabis property - Under-construction 2017 grow facility with central air, natural gas forced-air heat, office, and multi-point security entry.
Where is this cannabis property located?
The property is located at 6 89th Street S Billings, MT.
What is the asking price?
The asking price for this property is $779,900.
What are key features of this property?
This property features: 1.454‑acre lot with 4,125 SF cannabis grow facility; Three rooms for growing, with one room described as turn key; 2 cisterns (including water disposal/RO system) plus 4 holding tanks
