Commercial Real Estate Market in Rochester, MN
Updated monthly: sale, lease, property records, location trend, and more… · Last update: October 31
156 active listings and 2,719 off-market properties in Rochester, MN. Commercial property asks $165/SF to buy and $12.00/SF/Yr to lease.
Market Trends
Rochester, MN spans 196.0 square miles in Olmsted County, Minnesota. Figures below refresh monthly; last updated 31 October 2026.
Office
Office vacancy in Rochester, MN runs 21.3% across the Midwest region in 2025, up from 13.7% in 2019.
Retail
Retail vacancy in Rochester, MN runs 6.3% across the Midwest region in 2025, down from 8% in 2020.
Industrial
Industrial vacancy in Rochester, MN runs 4.9% across the Midwest region in 2025, up from 4.4% in 2019. Nearly 1.6x the 2022 low of 3.1%.
Multifamily
Multifamily space in Rochester, MN has a median asking sale price of $162/SF. Vacancy runs 8% across the Midwest region in 2025, up from 6.5% in 2022.
Zoning & Land Use
Land Use Mix share of zoned land by category
- Residential 69.9%
- Industrial 14.7%
- Mixed use 11.4%
- Commercial 1.2%
- Civic 0.3%
- Open space 0%
Largest Zones share of zoned land by district
Rochester, MN zones 37,279 acres across 21 districts. Commercial zoning covers 1.2% of zoned land, residential 69.9%, open space 0% and industrial 14.7%. The largest single district is Mixed Single Family at 50.8%. For commercial buyers the practical constraint is that only 15.9% of land carries a commercial or industrial designation.
O. LI - Light Industrial 1. Purpose The LI district provides an area for a mixture of commercial and industrial uses that do not generate significant adverse operational or traffic impacts, that are served by major thoroughfares providing direct access or a local street system with direct access to major thoroughfares, and with an adequate level of buffering…
Market overview
Demographics & Economy
Rochester, MN has 133,309 residents in 58,589 households. Density runs 680 people per square mile. Median household income here is $93,476 and median gross rent $1,331 a month.
Tools
Lease vs Buy Breakeven
At $12.00/SF/Yr lease vs $165/SF buy → buying wins if held > 2.9 years.
At a 7.3% gross asking yield the payback reads short relative to leasing. Assumes 30% down at 6.5% fixed, 2% a year in taxes and upkeep, 3% appreciation, 5% opportunity cost, 2% closing plus 5% selling costs, and a 3% annual rent escalator.
Frequently Asked Questions
What is the median price per square foot for commercial property in Rochester?
How much does it cost to lease commercial space in Rochester?
Is it cheaper to lease or buy commercial space in Rochester?
What zoning applies to commercial property in Rochester?
Where does Realmo's Rochester market data come from?
Methodology & data sources
- Asking prices and medians
- There are 78 active for-sale and 78 active for-lease listings in Rochester, MN. The medians are based on 25 of the for-sale and 10 of the for-lease listings, those that state a price or rent per square foot. These are ASKING figures from live listings, not closed-transaction prices, and a figure resting on fewer than 10 listings says so where it is quoted.
- Vacancy rates
- Published per-sector market series, taken at the metro level where one exists and otherwise at the Census-region level — a chart reading "in <region> region" is a regional number, not this city's.
- Zoning and land use
- The current municipal zoning release: 37,279 zoned acres across 21 districts. Shares are of zoned land, so parcels the release leaves unclassified are excluded from the mix.
- Refresh
- The monthly aggregates close at the end of the previous month, so 31 October 2026 — not today — is the honest last update.
- Known limitations
- office vacancy is reported at Midwest region level, retail vacancy is reported at Midwest region level and industrial vacancy is reported at Midwest region level.
- Coverage
- Metrics below the 10-observation threshold fall back one geographic level. The geography used is named on each figure.
Compiled by the Realmo Data team · reviewed 31 October 2026 · How Realmo checks market page data · Report a data issue
