Office Unit with Bullpen
For Sale
$518,500
F2-1805 S 22nd Ave, Bozeman, MT 59718
Configured with open work areas, private offices, and two restrooms.
Property Size2,161 SF
Price / SF$239.94
Days on Market13
Property Features for F2-1805 S 22nd Ave
General Information
Standard status
Active
Size
2,161 SF
Taxes and HOA fees
Annual Taxes
$6,457
Listing Agency:
NAI Landmark
(406) 556-5005
Listed By:
Kasey Harte · License #RRE-RBS-LIC-11508
(406) 570-9031
Source:
Exprealty
Added: Sep 3
Changed: Sep 12
Last Checked: Sep 14 at 2:24PM
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 NAI Landmark
Investment Insights
Based on property information with market context.
This 2,161-square-foot office unit provides a balanced mix of collaborative and private workspace, with two open bullpen areas and three enclosed offices. The layout also includes two restrooms, each fitted with one toilet and one sink.
Interior improvements include carpet tile and tile flooring, finished drywall walls, and acoustic tile ceilings. The unit was previously occupied by the Internal Revenue Service, providing an established office configuration for continued professional use.
Interior improvements include carpet tile and tile flooring, finished drywall walls, and acoustic tile ceilings. The unit was previously occupied by the Internal Revenue Service, providing an established office configuration for continued professional use.
Key Highlights
- 2,161‑square‑foot office unit
- Two open bullpen areas support collaborative workspace
- Three private offices included in the layout
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
$31,789
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
6.13%
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%
$635,780
$635.8K
Cap Rate 7%
$454,129
$454.1K
Cap Rate 9%
$353,211
$353.2K
Market Conditions
NOI Build-Up for 2,161 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
$45.4K $21.00/SF
− Vacancy
−$3.0K −$1.39/SF
EGI
$42.4K $19.61/SF
− OpEx
−$10.6K −$4.90/SF
NOI
$31.8K $14.71/SF
Area
Gallatin County, MT
Vacancy
6.60%
Lease Rate
$21.00 /SF/Yr
Expense Ratio
25.00%
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%
$635,780
Cap Rate 7%
$454,129
Cap Rate 9%
$353,211
Alternative Uses
Best Use
Office B
$454.1K
$397.4K – $529.8K
NOI $31,789 @ 7.0% cap · market cap 6.13%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$564.3K
$493.8K – $658.3K
NOI $39,500 @ 7.0% cap · market cap 7.62%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,153
Businesses Nearby
Explore this area
Business Placement
Demographics for 59718, MT
43,831
Population
19,765
Households
2.2
Avg Household Size
33
Median Age
57%
College-Educated
97%
High-School Grad
164.5 sq mi
ZIP Area
266
Density / Sq Mi
$91,852
Median Household Income
$44,915
Median Earnings
$1,748
Median Rent
$579,800
Median Home Value
Market
Vacancy Rate% for Office in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Configured with open work areas, private offices, and two restrooms.
Where is this office units located?
The property is located at F2-1805 S 22nd Ave Bozeman, MT.
What is the asking price?
The asking price for this property is $518,500.
What are key features of this property?
This property features: 2,161‑square‑foot office unit; Two open bullpen areas support collaborative workspace; Three private offices included in the layout
