Updated Triplex Near
For Sale
$195,000
Pending
614 S 2nd Ave, Sioux Falls, SD 57104
Each residence has one bedroom and one bathroom, with recent interior updates throughout.
Property Size2,232 SF
Days on Market60
Property Features for 614 S 2nd Ave
General Information
Standard status
Pending
Size
2,232 SF
Property subtype
Multi-Family
Units
Unit Mix
3 x 1BR/1BA
Multifamily Units
3
Building Details
Year Built
1890
Listing Agency:
Exp Realty- Sf-Allen Edge Team
Listed By:
Amy Stockberger Real Estate
(605) 501-6622
Source:
Findahomeinsiouxfalls
Added: Jul 10
Changed: Sep 6
Last Checked: Sep 7 at 7:46AM
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 Exp Realty- Sf-Allen Edge Team
Investment Insights
Based on property information with market context.
This 2,232-square-foot triplex contains three one-bedroom, one-bathroom residences. Interior work across the property includes fresh paint, new carpet, and vinyl flooring. The second unit also features a renovated kitchen and bathroom, along with refreshed light fixtures and hardware. Constructed in 1890, the building provides a defined three-unit configuration near downtown Sioux Falls.
Electricity is paid by the tenants. Ownership is responsible for gas, water and sewer, garbage, snow removal, and grounds maintenance, creating a clearly defined allocation of operating responsibilities.
Electricity is paid by the tenants. Ownership is responsible for gas, water and sewer, garbage, snow removal, and grounds maintenance, creating a clearly defined allocation of operating responsibilities.
Key Highlights
- Three‑unit property with 2,232 square feet
- Each unit includes 1 bedroom and 1 bathroom
- Fresh paint, new carpet, and vinyl flooring in all units
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
$17,871
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
9.16%
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%
$357,420
$357.4K
Cap Rate 7%
$255,300
$255.3K
Cap Rate 9%
$198,567
$198.6K
Market Conditions
NOI Build-Up for 2,232 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
$36.2K $16.20/SF
− Vacancy
−$3.7K −$1.64/SF
EGI
$32.5K $14.56/SF
− OpEx
−$14.6K −$6.55/SF
NOI
$17.9K $8.01/SF
Area
Sioux Falls, SD
Vacancy
10.14%
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%
$357,420
Cap Rate 7%
$255,300
Cap Rate 9%
$198,567
Alternative Uses
Best Use
Multifamily LT 5
$278.4K
$243.6K – $324.8K
NOI $19,485 @ 7.0% cap · market cap 9.99%
Second Best
Apartment 5plus
$255.3K
$223.4K – $297.9K
NOI $17,871 @ 7.0% cap · market cap 9.16%
Theoretical Best
Office A
$606.1K
$530.3K – $707.1K
NOI $42,426 @ 7.0% cap · market cap 21.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Location Intelligence
Trade Area within ½ mile
2,961
Businesses Nearby
Explore this area
Business Placement
Demographics for 57104, SD
26,998
Population
13,952
Households
1.9
Avg Household Size
37
Median Age
25%
College-Educated
90%
High-School Grad
30.4 sq mi
ZIP Area
888
Density / Sq Mi
$59,161
Median Household Income
$39,101
Median Earnings
$849
Median Rent
$183,700
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Triplex - Each residence has one bedroom and one bathroom, with recent interior updates throughout.
Where is this triplex located?
The property is located at 614 S 2nd Ave Sioux Falls, SD.
What is the asking price?
The asking price for this property is $195,000.
What are key features of this property?
This property features: Three‑unit property with 2,232 square feet; Each unit includes 1 bedroom and 1 bathroom; Fresh paint, new carpet, and vinyl flooring in all units
