Mixed-Use Flex
New
For Sale
$873,000
6420 Redruth St, Duluth, MN 55807
MU-B zoning supports contractor, automotive, and light industrial operations with access to major thoroughfares and the interstate.
Property Size1,200 SF
Price / SF$727.50
Days on Market4
Property Features for 6420 Redruth St
General Information
Standard status
Active
Size
1,200 SF
Zoning
MU-B
Additional Details
Highway Access
Yes
Building Details
Year Built
1976
Listing Agency:
CMRA, LLC
(218) 727-0064
Listed By:
Gayle Ankarlo
Source:
Biglifeteam
Added: Aug 26
Changed: Aug 29
Last Checked: Aug 29 at 9:12AM
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 CMRA, LLC
Investment Insights
Based on property information with market context.
This flex space at 6420 Redruth St in Duluth, Minnesota, was built in 1976 and is designated Mixed Use Business (MU-B). The property is positioned for an owner-user seeking space for a business operation, with the zoning supporting contractor shops, automotive businesses, and light industrial uses.
Access to main thoroughfares and the interstate supports distribution, storage, and office-service functions where prominent visibility is not essential. The property’s flex configuration provides a commercial setting for businesses requiring a combination of operational and service-oriented space.
Access to main thoroughfares and the interstate supports distribution, storage, and office-service functions where prominent visibility is not essential. The property’s flex configuration provides a commercial setting for businesses requiring a combination of operational and service-oriented space.
Key Highlights
- Mixed Use Business (MU‑B) zoning
- Built in 1976
- Access to main thoroughfares and the interstate
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
$28,240
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
3.23%
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%
$564,800
$564.8K
Cap Rate 7%
$403,429
$403.4K
Cap Rate 9%
$313,778
$313.8K
Market Conditions
NOI Build-Up for 1,200 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
$49.8K $41.52/SF
− Vacancy
−$6.4K −$5.31/SF
EGI
$43.4K $36.21/SF
− OpEx
−$15.2K −$12.67/SF
NOI
$28.2K $23.53/SF
Area
St. Louis County, MN
Vacancy
12.80%
Lease Rate
$41.52 /SF/Yr
Expense Ratio
35.00%
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%
$564,800
Cap Rate 7%
$403,429
Cap Rate 9%
$313,778
Alternative Uses
Best Use
Flex RnD
$403.4K
$353.0K – $470.7K
NOI $28,240 @ 7.0% cap · market cap 3.23%
Second Best
Warehouse
$82.3K
$72.1K – $96.1K
NOI $5,764 @ 7.0% cap · market cap 0.66%
Theoretical Best
Specialty Retail
$465.5K
$407.3K – $543.1K
NOI $32,585 @ 7.0% cap · market cap 3.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
244
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 55807, MN
9,674
Population
4,572
Households
2.1
Avg Household Size
39
Median Age
29%
College-Educated
95%
High-School Grad
5.8 sq mi
ZIP Area
1,668
Density / Sq Mi
$63,670
Median Household Income
$36,246
Median Earnings
$797
Median Rent
$164,000
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- The Rambler — 315 N Central Ave, Duluth, MN 55807
- MidCoast Catering Co. — 315 N Central Ave, Duluth, MN 55807
Frequently Asked Questions
What type of property is this?
Flex space - MU-B zoning supports contractor, automotive, and light industrial operations with access to major thoroughfares and the interstate.
Where is this flex space located?
The property is located at 6420 Redruth St Duluth, MN.
What is the asking price?
The asking price for this property is $873,000.
What are key features of this property?
This property features: Mixed Use Business (MU‑B) zoning; Built in 1976; Access to main thoroughfares and the interstate
