Back to Previous Page 1962 Deadwood Avenue
FULLY LEASED NNN INVESTMENT PROPERTY FOR SALE
$2,700,000
Bldg 24,970 SF | Land 2.45 Acres | Class A | 1 Story
Property Information
List Price $2,700,000
Zoning Light Industrial
Bldg SF 24,970
Bldg $/SF $108
Year Built 2020
County Pennington
Acres 2.45
Bldg Class A
Property Overview
Prime NNN Investment Opportunity 24,970 SF industrial building fully leased to Johnstone Supply through April 2030, currently in Year 6of a 10-year NNN lease. Current base rent is $12,885/month with 2% annual escalations, and two 5-year renewal options at market rate. Landlord responsibilities are limited to structure and roof. Johnstone Supply is a national HVAC/R distributor with 460+ locations. The Rapid City location, operated by SF2RC LLC, holds 48% local market share—the largest in the region. This structure provides reliable, long-term tenancy with substantial financial backing. Built in 2020, the facility offers high-quality infrastructure including 18.5’ center ceiling height, 14’ sidewalls, an 8’W x 10’T dock door and drive-through OH door with ramp, fire sprinklers, hanging OH heaters, and 3-phase/480V power. Interior includes three private offices, four shared workstations, a training room, classroom, full break room/kitchen, and a climate-controlled showroom. Located on Rapid City’s active Deadwood Ave corridor, this asset combines modern construction, strong tenancy, and a passive income profile ideal for investors seeking stability and growth.
Highlights
• Fully Leased to Johnstone Supply
National HVAC/R distributor occupying the property under a 10- year lease, currently in year 6.
Strong, long-term tenant with a stable operating history.
• Ideal for Investors Seeking Passive Income
Turnkey opportunity with immediate in-place cash flow and minimal management requirements.
• Additional Land for Future Building Expansion
High-Quality Construction & Infrastructure
• Built in 2020
Modern, well-maintained steel structure offering long-term durability and reduced capital expenditure risk.
• 18.5’ Center Height & 14’ Sidewalls
• 8’W x 10’H Grade Level Door & 8’W x 10’H Drive-Through OH Door w/ Ramp
Versatile loading setup supporting efficient logistics and operations.
• Fire Sprinkler System & Hanging Overhead Heaters in Warehouse Fully equipped for safety and year-round utility.
• 3-Phase, 480V Power Heavy-duty electrical infrastructure suited for commercial/industrial use.
• Approx. 16,600 SF of Warehouse Space
Custom Built-Out Interior for Long-Term Tenant Needs
• Three Private Offices + Shared Work Area (4 Workstations)
• Training Room, Classroom, and Break Room with Full Kitchen
• Heated & Air-Conditioned Showroom
Finished front-end space for customer interaction and product display — enhancing tenant business viability.
• Approx. 8,300 SF of Shop & Office Space
Listing Agent
Commercial Broker
Chris began his career in Denver, CO as a research associate for The Meyers Group. During his time in this position, he led the new development research group and published monthly reports on sales trends and absorption rates in the local market.In 2003 he joined UDR, Inc., a national real estate investment trust focused on the multifamily sector. During his tenure with UDR, he held positions of financial analyst, operational strategist and 4 years as Director of Pricing and Revenue Management. Chris led a team in a nationwide rollout of yield management software for over 230 properties which led to industry wide adoption and industry leading revenue growth.After moving to South Dakota in 2010, Chris joined Sandra Runde and formed the only team in Western South Dakota solely focused on commercial real estate sales and leasing. Over the past 12 years, the KW Commercial team has led the market in both commercial sales and commercial leasing volume. In the last 3 years his team has sold and leased nearly $200 Million in real estate placing them #1 in the North Central Region and ranked in the top 10 for KW Commercial nationwide.
