Modern Warehouse With Drive-In
New
For Sale
Contact for pricing
918 Pendant Ln NW, Rochester, MN 55901
Recently built industrial facility with flexible loading, finished office areas, substantial power, and dedicated parking.
Property Size20,800 SF
Lot Size1.61 Acres
Price / SF$168.27
Days on Market6
Property Features for 918 Pendant Ln NW
General Information
Standard status
Active
Size
20,800 SF
Total Parking Spaces
51
Lot size
1.61 Acres
Property subtype
INDUSTRIAL
Site & Location
Highway Access
Yes
Road Access
Yes
Utilities to Site
Yes
Warehouse & Industrial
Clear Height
20 ft
Office Build-Out
1,800 SF
Mezzanine
1,800 SF
Drive-In Doors
7
Voltage
208 V
Three-Phase Power
Yes
Heavy Power
Yes
Sprinkler System
Yes
Additional Details
Asking Price
$3,500,000
Amenities
conference/training space
upgraded restrooms
Building Details
Year Built
2019
Buildings
1
Stories
2
Building Size
20,800 SF
Parking Ratio
2.45 per 1,000 SF
Listing Agency:
Realty Growth, Inc
(507) 289-8000
Listed By:
Bucky Beeman
(507) 951-7130
Source:
Moodyscre
Added: Aug 31
Changed: Sep 2
Last Checked: Sep 4 at 4:00PM
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 Realty Growth, Inc
Investment Insights
Based on property information with market context.
Completed in 2019, this 20,800-square-foot warehouse includes 19,000 square feet on the main level and an 1,800-square-foot second-floor mezzanine and office area. The building offers 20-foot wall heights, seven drive-in overhead doors, 3-phase 208Y/120V power, and full sprinkler coverage. Finished offices, conference and training areas, and upgraded restrooms support administrative and operational functions within the facility.
The property occupies 1.61 acres at 918 Pendant Ln NW in Rochester, Minnesota. Its position near Highway 14 and West Circle Dr provides exposure to a corridor reporting 34,000+ vehicles per day. On-site parking includes 51 dedicated spaces, with a stated ratio of 2.45 spaces per 1,000 square feet.
The property occupies 1.61 acres at 918 Pendant Ln NW in Rochester, Minnesota. Its position near Highway 14 and West Circle Dr provides exposure to a corridor reporting 34,000+ vehicles per day. On-site parking includes 51 dedicated spaces, with a stated ratio of 2.45 spaces per 1,000 square feet.
Key Highlights
- 20,800 SF warehouse completed in 2019
- 19,000 SF main floor plus 1,800 SF second‑floor mezzanine/office
- Seven drive‑in doors: four 8×8, two 10×12, and one 12×12
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
$170,433
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
4.87%
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%
$3,408,660
$3.4M
Cap Rate 7%
$2,434,757
$2.4M
Cap Rate 9%
$1,893,700
$1.9M
Market Conditions
NOI Build-Up for 20,800 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
$274.6K $13.20/SF
− Vacancy
−$12.4K −$0.59/SF
EGI
$262.2K $12.61/SF
− OpEx
−$91.8K −$4.41/SF
NOI
$170.4K $8.19/SF
Area
Rochester, MN
Vacancy
4.50%
Lease Rate
$13.20 /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%
$3,408,660
Cap Rate 7%
$2,434,757
Cap Rate 9%
$1,893,700
Alternative Uses
Best Use
Flex RnD
$2.43M
$2.13M – $2.84M
NOI $170,433 @ 7.0% cap · market cap 4.87%
Second Best
Warehouse
$2.35M
$2.06M – $2.74M
NOI $164,636 @ 7.0% cap · market cap 4.70%
Theoretical Best
Office A
$8.01M
$7.01M – $9.35M
NOI $560,781 @ 7.0% cap · market cap 16.02%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
20 ft
Clear height
7
Drive-in doors
Yes
Heavy power
Yes
Sprinkler system
Yes
Highway access
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
293
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 55901, MN
58,046
Population
24,852
Households
2.3
Avg Household Size
36
Median Age
50%
College-Educated
94%
High-School Grad
33.1 sq mi
ZIP Area
1,754
Density / Sq Mi
$90,430
Median Household Income
$52,778
Median Earnings
$1,321
Median Rent
$290,000
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Rochester Storage — 3554 9th St NW, Rochester, MN 55901
- Five Star Storage — 950 Pendant Ln NW, Rochester, MN 55901
- A-1 Storage — Pendant Ln NW, Rochester, MN 55901
- Frontage Self Storage Facility — 4475 N Frontage Rd, Rochester, MN 55901
- Allied Van Lines — 4121 US-14 Suite 201, Rochester, MN 55901
Frequently Asked Questions
What type of property is this?
Warehouse - Recently built industrial facility with flexible loading, finished office areas, substantial power, and dedicated parking.
Where is this warehouse located?
The property is located at 918 Pendant Ln NW Rochester, MN.
What is the asking price?
The asking price for this property is $3,500,000.
What are key features of this property?
This property features: 20,800 SF warehouse completed in 2019; 19,000 SF main floor plus 1,800 SF second‑floor mezzanine/office; Seven drive‑in doors: four 8×8, two 10×12, and one 12×12
