233 Groveland Ave · Minneapolis, MN 55403

$379,900

3 bd · 2.0 ba · 2,856 sqft · SingleFamily · 167 Days on market

Built 1928 Poor condition 3,049 sqft lot $133/sqft · 39% below area Est $624k · 39% under

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Why this score? — see what drove the F grade

The composite is a weighted blend of 9 inputs, each scored 0–100. Each bar is that input's sub-score; the figure is the points it added to the 100-point composite (weight × sub-score).

• ARV discount +15.0/15.0
• Schools +5.0/10.0
• Cash flow +4.9/30.0
• Livability +3.9/5.0
• Rent growth +3.8/5.0
• Condition / age +1.0/5.0
• 1% rule +0.7/10.0
• DSCR +0.0/10.0
• Appreciation +0.0/10.0

Listing remarks

Discover an exceptional property that blends flexibility and function. Originally a single-family home, this building was converted in 2000 to house six offices and two waiting rooms, offering a prime setup for a business seeking turnkey space. With smart zoning that permits live/work use or even a reversion back to a single-family residence, this property gives you multiple pathways. The interior has been maintained with well-laid-out offices, shared areas optimized for flow, and an efficient floor plan throughout. Enjoy sweeping downtown views and step out back to a beautifully executed stamped concrete patio and mature gardens for a calm outdoor retreat.

Key facts

• Mature gardens
• Half bath
• Full bath

Tags

• STAMPED CONCRETE PATIO
• MATURE GARDENS
• UPDATED KITCHEN
• FULL BATH
• HALF BATH
• SKYLIGHTS

What this means for you Summary

Snapshot

• This is a 3-bed/2.0-bath single-family listed at $380k. Condition is rated poor.

Deal economics

• At list price, monthly cash flow is $-918 ($-11k/yr) — negative.
• To cash-flow at today's rent, offer at most $247k (35.0% below list).
• To meet the 1% rule (rent ≥ 1% of price), the offer needs to be $216k (43.1% below list).
• Recommended offer: $216k (43.1% below list) — sets the bar for 1% rule.

Location & tenants

• Location reads 78/100 on livability (#110 in MN, #2,525 nationally) — a middle-class / working-renter tenant base. Strengths: amenities A+, commute A+, housing A+; Watch: cost of living C-, crime F.
• Minneapolis Public School District (urban): math 35% / reading 46% proficiency, ranked #217 of 301 in MN (top 72%) — families likely to look elsewhere, expect single-tenant / working-renter base with shorter leases.
• Zoned schools: Ella Baker Elementary (math 2% / reading 17%, grade F, #829 of 857 statewide, top 98%, 602 students, 90% FRL); Anwatin Middle (math 12% / reading 27%, grade F, #234 of 258 statewide, top 92%, 320 students, 81% FRL); Southwest High (math 47% / reading 67%, grade C, #64 of 471 statewide, top 16%, 1,484 students, 29% FRL).
• Market conditions: Rents rising fast (+5.1%/yr); 180 active listings in the ZIP; 15 comparable units currently listed for rent nearby; rentals leasing fast (median 5d on market — plan ~1-2 weeks tenant-placement turnaround); 4,651 units permitted in Hennepin County in 2024 (2,443 in 5+ unit buildings).
• This rent runs 43% of the median local income ($61k/yr) — at the standard rent-burdened threshold; future hikes will face affordability resistance.

Forward outlook

• Local home prices are declining (-3.0%/yr); year-one equity from $3k of loan paydown is wiped out by about $11k of value loss. Plan a longer hold.
• Hennepin County population projected at +30% by 2050 — long-run rental-demand tailwind backs the buy-and-hold thesis.

Negotiation context

• It's been on market 167 days — a 12% lower offer ($334k) is reasonable based on typical stale-listing flexibility.
• 4 sale attempts since 29y ago; this cycle's ask is 65% above the opening price — seller raised mid-cycle; expect resistance to lowballs.
• Current owner paid $222k; list at $380k implies a 71% gain — meaningful room to come down on a strong offer.

Risks & watch-outs

• Watch-outs: built in 1928 — expect roof / HVAC / electrical / plumbing capex.

Recommended offer $216,109 (43.1% below list)

Questions for the listing agent

1. What do current leases actually rent for vs. the listed asking? Can we see a recent rent roll and the last 12 months of T-12 income?
2. It's been on market 167 days. Have you received any prior offers? Is the seller open to a 43% concession, seller financing, or rate buy-down credit?
3. Have any recent inspections been done? Can we get a copy of the seller's disclosures and any deferred-maintenance estimates?
4. Built in 1928 — when were the roof, HVAC, electrical panel, plumbing, and water heater last replaced?
5. Why hasn't it sold? Are there any deal-killer items the seller is aware of (foundation, flood, title, zoning, code violations)?
6. Is there a deadline driving the sale (1031 exchange, divorce, estate, relocation)? That informs how much negotiation room exists.
7. Crime grade is F in this area — have there been break-ins, vandalism, or insurance claims at this property in the last 3 years? What carrier currently insures it and at what premium?
8. The area grade is low — what's the realistic commute time and amenity access for the typical tenant pool here? Any planned neighborhood developments (good or bad) we should know about?
9. What's the average days-on-market for RENTAL listings here right now (not sales)? A rising rental-DOM trend means longer vacancies and softer asking-rent achievability than the comps imply.
10. What's the recent tenant-quality profile in this submarket — average credit score on applications, eviction rate, late-payment / NSF rate, and stable-employment percentage? A property-management company in the area should have these aggregated.
11. How much new for-sale + rental construction is in the pipeline within 1–3 miles? Heavy new supply typically softens prices + rents 12–24 months out; constrained supply supports both.

Investment metrics

• 1% rule: 0.57% ✗
• Cap rate: 3.39%
• Cash-on-cash: -10.36%
• DSCR: 0.54
• GRM: 14.6

CMA / ARV

• ARV (median comp): $623,606
• List price: $379,900
• Delta: -39.08%
• Verdict: UNDERPRICED
• Comps: 12 within 2.0 mi

Show comp detail 12 sales within ~0.75 mi

Address	Dist	Beds/Ba	Sqft	Sold	Price	$/sf	Match
3201 Aldrich Ave S	1.41mi	4/2.0 (+1)	2,789 (-2%)	24mo	$565,000	$203	36
2018 Sheridan Ave S	1.52mi	3/2.0	2,278 (-20%)	12mo	$1,025,000	$450	30
1724 Dupont Ave S	0.56mi	4/3.0 (+1)	2,350 (-18%)	16mo	$573,750	$244	27
1907 Fremont Ave S	0.63mi	3/3.0	2,002 (-30%)	19mo	$565,000	$282	26
600 S 2nd St Unit S104	1.57mi	2/3.0 (-1)	2,100 (-26%)	14mo	$950,000	$452	20
2417 Lyndale Ave S	0.48mi	5/5.0 (+2)	2,228 (-22%)	16mo	$487,500	$219	19
3024 James Ave S	1.57mi	4/4.0 (+1)	2,117 (-26%)	10mo	$720,000	$340	19
3611 12th Ave S	2.25mi	1/1.0 (-2)	3,089 (+8%)	22mo	$475,000	$154	19
3232 Humboldt Ave S	1.71mi	4/4.0 (+1)	2,599 (-9%)	35mo	$819,000	$315	17
1020 Portland Ave	0.84mi	3/3.0	2,409 (-16%)	28mo	$740,000	$307	16
222 2nd St SE #1203	1.98mi	2/2.0 (-1)	2,100 (-26%)	24mo	$1,044,000	$497	15
3229 Colfax Ave S	1.50mi	5/2.0 (+2)	2,400 (-16%)	19mo	$545,000	$227	14

Match score weights: distance 35% · size 25% · config 20% · recency 20%. Top-matched comps best support the ARV.

Projected returns pro-forma

-3.0% appreciation · 5.1% rent growth · sell at horizon

5-year hold

• IRR: -32.7%
• Equity multiple: -0.08×
• Total profit: $-115,343
• Equity at exit: $56,644

10-year hold

• IRR: -29.4%
• Equity multiple: -0.46×
• Total profit: $-155,635
• Equity at exit: $32,847

Cash invested: $106,372 (down + closing). Projections, not guarantees.

Landlord ↔ Tenant lean methodology

• Overall (CITY): 34 Tenant-Leaning
• State Minnesota: 46 Balanced · D+2
• County: — inherits STATE
• City Minneapolis: 34 Tenant-Leaning · D+50

Tenant Opportunity to Purchase; renter's protections.

Methodology + full state rankings →

Active competition Active MLS

• For sale now: 1 active · 4 under contract
• Median asking: $484,900 ($216/sqft)
• Median days on market: 54 d
• This list price: lowest-priced of the active set
• ARV vs active asking: +1.3% vs current asking $/sqft

Closed sales set the value; these active listings set current market conditions and a practical price ceiling.

ZIP-level market 55403

• Rents YoY: 5.1%
• Active inventory: 180
• Price-to-rent: 14.6×

Monthly cashflow live

• Estimated rent: $2,161 high
• Mortgage (P&I): −$1,992
• Tax est. 1.5%: −$475 /mo · $5,698/yr
• Insurance: −$158
• HOA: −$0
• Vacancy / Maint / Mgmt: −$454
• Net cashflow: $-918

Break-even live

Break-even rent $3,323

Max offer price $247,043

Occupancy floor —

Sensitivity live

Price	-10% $-656	-5% $-787	+0% $-918	+5% $-1,049	+10% $-1,181
Rent	-10% $-1,089	-5% $-1,004	+0% $-918	+5% $-833	+10% $-747
Rate	-1.0pp $-727	-0.5pp $-822	base $-918	+0.5pp $-1,017	+1.0pp $-1,117

UW: 25.0% down · 7.5% · 30yr · 1.5% tax · 5.0% vac · 8.0% maint · 8.0% mgmt

Financing live

Cash to close

• Down payment: $94,975
• Closing costs: $11,397
• Club membership (one-time): —
• Reserves months: —
• Total cash needed: —

Rent comps 15 comps

Address	Beds	Baths	Sqft	Rent	$/sqft	DOM	Units	Dist
2217 Grand Ave S Unit 2215 Minneapolis, MN	3.0	2.0	2000	$2,100	$1.05	139d	1	0.27mi
214 W 24th St Unit 2 Minneapolis, MN	4.0	2.0	2000	$2,195	$1.10	10d	1	0.32mi
128 E 18th St Unit 24 235 Minneapolis, MN	3.0	1.0	1956	$2,200	$1.12	69d	1	0.35mi
1369 Spruce Pl Minneapolis, MN	3.0	1.0–2.5	1365	$6,550	$4.80	0d	32	0.37mi
2424 Lyndale Ave S Unit 1250774P Minneapolis, MN	1.0–4.0	1.0–4.0	1883	$5,082	$2.70	0d	3	0.51mi
2550 Pillsbury Ave Unit 1 Minneapolis, MN	3.0	2.0	2000	$1,950	$0.97	10d	1	0.57mi
1111 3rd Ave S Unit 1511914P Minneapolis, MN	5.0	1.0–4.0	1178	$8,452	$7.17	0d	6	0.69mi
220 E 27th St #1 Minneapolis, MN	4.0	1.0	2516	$2,600	$1.03	5d	1	0.82mi
1900 Columbus Ave Unit 1 Minneapolis, MN	3.0	1.5	3506	$2,300	$0.66	139d	1	0.87mi
2428 Chicago Ave Minneapolis, MN	4.0	2.0	2000	$1,995	$1.00	7d	1	1.02mi
615 S 8th St Minneapolis, MN	2.0	1.0–2.5	1252	$5,096	$4.07	0d	31	1.02mi
2720 Fremont Ave S Minneapolis, MN	4.0	1.5	2618	$3,600	$1.38	0d	1	1.02mi
101 S 5th St Minneapolis, MN	3.0	1.0–2.0	1255	$3,691	$2.94	0d	22	1.16mi
512 W 31st St Minneapolis, MN	4.0	1.5	2200	$2,775	$1.26	84d	1	1.20mi
365 Nicollet Mall Minneapolis, MN	3.0	1.0–3.5	1656	$8,977	$5.42	0d	30	1.26mi

Listing history 50 events

1. 2026-09-23
   days on market $379,900 Active 167 DOM
2. 2026-09-22
   days on market $379,900 Active 166 DOM
3. 2026-09-21
   days on market $379,900 Active 165 DOM
4. 2026-09-20
   days on market $379,900 Active 164 DOM
5. 2026-09-19
   days on market $379,900 Active 163 DOM
6. 2026-09-18
   days on market $379,900 Active 162 DOM
7. 2026-09-17
   days on market $379,900 Active 161 DOM
8. 2026-09-16
   days on market $379,900 Active 160 DOM
9. 2026-09-15
   days on market $379,900 Active 159 DOM
10. 2026-09-14
    days on market $379,900 Active 158 DOM
11. 2026-09-13
    days on market $379,900 Active 157 DOM
12. 2026-09-12
    days on market $379,900 Active 156 DOM
13. 2026-09-11
    days on market $379,900 Active 155 DOM
14. 2026-09-05
    days on market $379,900 Active 149 DOM
15. 2026-09-04
    days on market $379,900 Active 148 DOM
16. 2026-09-03
    days on market $379,900 Active 147 DOM
17. 2026-08-31
    days on market $379,900 Active 144 DOM
18. 2026-08-30
    days on market $379,900 Active 143 DOM
19. 2026-08-29
    days on market $379,900 Active 142 DOM
20. 2026-08-28
    days on market $379,900 Active 141 DOM
21. 2026-08-27
    days on market $379,900 Active 140 DOM
22. 2026-08-25
    days on market $379,900 Active 138 DOM
23. 2026-08-24
    days on market $379,900 Active 137 DOM
24. 2026-08-23
    days on market $379,900 Active 136 DOM
25. 2026-08-22
    days on market $379,900 Active 135 DOM
26. 2026-08-21
    days on market $379,900 Active 134 DOM
27. 2026-08-20
    days on market $379,900 Active 133 DOM
28. 2026-08-19
    days on market $379,900 Active 132 DOM
29. 2026-08-18
    days on market $379,900 Active 131 DOM
30. 2026-08-17
    days on market $379,900 Active 130 DOM
31. 2026-08-16
    days on market $379,900 Active 129 DOM
32. 2026-08-15
    days on market $379,900 Active 128 DOM
33. 2026-08-14
    days on market $379,900 Active 127 DOM
34. 2026-08-13
    days on market $379,900 Active 126 DOM
35. 2026-08-12
    days on market $379,900 Active 125 DOM
36. 2026-08-11
    days on market $379,900 Active 124 DOM
37. 2026-08-10
    days on market $379,900 Active 123 DOM
38. 2026-08-09
    days on market $379,900 Active 122 DOM
39. 2026-08-08
    days on market $379,900 Active 121 DOM
40. 2026-08-07
    price $379,900 Active 119 DOM
41. 2026-08-06
    days on market $389,000 Active 119 DOM
42. 2026-08-05
    days on market $389,000 Active 118 DOM
43. 2026-08-04
    days on market $389,000 Active 117 DOM
44. 2026-08-03
    days on market $389,000 Active 116 DOM
45. 2026-07-31
    days on market $389,000 Active 113 DOM
46. 2026-07-30
    days on market $389,000 Active 111 DOM
47. 2026-07-28
    days on market $389,000 Active 110 DOM
48. 2026-07-26
    days on market $389,000 Active 108 DOM
49. 2026-07-24
    days on market $389,000 Active 106 DOM
50. 2026-07-23
    days on market $389,000 Active 105 DOM

ⓘ Source: listings_history table (triggers on properties + properties_extension) + one-shot backfill from property_details.listing_events for pre-trigger history.

Taxation est. · year 1

• Rental income: $25,933
• − Mortgage interest: −$21,280
• − Property taxes: −$5,698
• − Insurance: −$1,900
• − Repairs & maintenance: −$2,075
• − Management: −$2,075
• − Depreciation: −$11,052
• Taxable loss: −$18,146
• Est. tax savings @ 24.0%: +$4,355
• After-tax cash flow: $-6,663/yr

For passive investors: Depreciation is non-cash, so a rental often shows a tax loss while cash-flowing — sheltering income. Rental losses are passive: they offset passive income freely, and up to $25,000/yr can offset ordinary (W-2) income if you actively participate and your MAGI is under $100k (phasing out to $0 by $150k); unused losses carry forward. On sale, claimed depreciation is recaptured at up to 25%, and gains may owe capital-gains tax (a 1031 exchange can defer both). Figures are a year-1 estimate at your 24.0% rate — not tax advice; consult a CPA.

Condition & rehab AI · 3 photos

Poor 20/100 Extensive rehab Est. rehab $142,800–$257,040 screening

This property requires extensive renovation and repair, including major work on the roof, exterior walls, and interior walls and paint. The boarded-up windows and overall disrepair suggest a significant investment is needed to bring the property up to a livable condition.

Deferred maintenance Est. $20,000–$60,000 screening

• Major Windows (windows) — Broken windows indicate structural damage or severe weathering
• Major Exterior (exterior) — Signs of decay and damage on the exterior walls and roof

Repairs flagged

• Major Boarded-up windows — The windows are boarded up, indicating a significant issue that needs immediate attention.
• Major Roof repair — The roof appears to be in a state of disrepair, with visible damage and potential leaks.
• Major Exterior wall repair — The exterior walls are in poor condition, with visible cracks and wear.
• Major Flooring replacement — The flooring is not visible in the provided images, but the exterior suggests a need for significant renovation.
• Major Interior wall and paint repair — The interior walls and paint are not visible in the provided images, but the exterior suggests a need for significant renovation.
• Major HVAC and mechanical system replacement — The HVAC and mechanical systems are not visible in the provided images, but the exterior suggests a need for significant renovation.
• Major Landscaping and curb appeal improvement — The landscaping and curb appeal are not visible in the provided images, but the exterior suggests a need for significant renovation.

Value-add opportunities

• Both Boarded-up windows repair — Fixing the boarded-up windows will improve the home's appearance and safety. ↑
• Both Roof repair — Repairing the roof will prevent further damage and improve the home's value. ↑
• Both Exterior wall repair — Repairing the exterior walls will improve the home's appearance and increase its value. ↑
• Both Flooring replacement — Replacing the flooring will improve the home's appearance and increase its value. ↑
• Both Interior wall and paint repair — Repairing the interior walls and paint will improve the home's appearance and increase its value. ↑
• Both HVAC and mechanical system replacement — Replacing the HVAC and mechanical systems will improve the home's comfort and increase its value. ↑
• Both Landscaping and curb appeal improvement — Improving the landscaping and curb appeal will increase the home's appeal and increase its value. ↑

ⓘ Rehab cost is a screening estimate — Extensive scope × the home's square footage at US $/sqft rules of thumb (the same model as the Flip Finder). Get contractor quotes + a written scope before underwriting.

F Composite school gradezoned avg 50/100

Zoned Schools

Elementary Kenwood Elementary A- MN #50/857 Nat'l #2,792/41,679 Middle Anwatin Middle F MN #234/258 Nat'l #11,801/14,009 High Southwest High C MN #64/471 Nat'l #4,077/17,239

Schools (NCES district)

• District: Minneapolis Public School District
• NCES district ID: 2721240
• Math proficiency: 35% ▼ -7.00%
• Reading proficiency: 46% ▼ -1.00%
• Median HH income: $50,521
• Composite: 34.92/100
• National rank: #5067
• State rank: #217 of 301 in MN

B Composite livability gradescore 78/100

Livability — Minneapolis

• Score: 78/100
• State rank: #110
• US rank: #2525

Category grades

Amenities A+ Commute A+ Cost of living C- Crime F Employment A- Housing A+ Health & safety A+ User ratings D+

Schools grade is shown separately in the Schools card above.

Census & demographics

• Census place: Minneapolis, MN
• County: Hennepin County · 1,405,227 people
• City population: 417,555
• Metro: Minneapolis-St. Paul-Bloomington, MN-WI
• Population (ZIP): 17,601
• Household income: $60,873
• Rent vs Own: 75.0% rent · 25.0% own
• Severe rent burden: 11% of renters

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Population outlook (Hennepin County) Hauer SSP2

• Today (2025): 1,405,227 people
• By 2030: 1,492,650 · +6.2%
• By 2040: 1,660,157 · +18.1%
• By 2050: 1,823,498 · +29.8%
• By 2075: 2,221,283 · +58.1%
• By 2100: 2,509,976 · +78.6%

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Race, ethnicity, and origin ACS 2023

• Neighborhood character: Predominantly White (69%)
• Race & ethnicity: White 69% Black 14% Two or more races 7% Hispanic / Latino 7% Asian 5% Native American 1%
• Hispanic origin (detail): Mexican 5%
• Common ancestry: Portuguese 8% Romanian 6% Lithuanian 2%
• Foreign-born: 13% · Canada, South Korea, China
• Languages at home: 85% English-only · Spanish 5% Other Indo-European 3% French/Haitian/Cajun 2%

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Political lean MEDSL · Hennepin

• 2024 margin: Solid D (+42.6) · D 70.2% · R 27.5% · Other 2.3%
• 2008→2024 swing: +14.0pp toward D · 2008: 28.6pp · 2024: 42.6pp
• All cycles: 2024: D+42.6 2020: D+43.2 2016: D+35.3 2012: D+27.1 2008: D+28.6

Not yet ingested

• Civics: —

Market trends

• HPI YoY: ▼ -89.40%
• Current HPI: 127.1575
• Rent YoY: ▲ 5.10%
• Metro: Minneapolis-St. Paul-Bloomington, MN-WI
• State GDP YoY: ▲ 2.41%
• F500 in state: 34

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Industry mix (Fortune 500 HQ in MN)

Industry	F500 HQs	Revenue
▸Healthcare	2	$407B
▸Retail	2	$150B
▸Consumer Goods	2	$32B
▸Industrial Machinery	2	$6B
▸Agriculture	1	$40B
▸Healthcare / Medical Devices	1	$32B

Price history

+123.5% since first listed

13 events — show timeline

• 2026-04-04 Price Changed $399,999 NORTHSTARMLS as Distributed by MLS Grid
• 2026-03-18 Price Changed $425,000 NORTHSTARMLS as Distributed by MLS Grid
• 2022-09-11 Price Changed $399,000 NORTHSTARMLS as Distributed by MLS Grid
• 2000-03-16 Sold (MLS) $222,500 NORTHSTARMLS as Distributed by MLS Grid
• 2000-02-17 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 2000-01-10 Listed $229,900 NORTHSTARMLS as Distributed by MLS Grid
• 1999-12-10 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1999-08-17 Listed $259,000 NORTHSTARMLS as Distributed by MLS Grid
• 1998-08-17 Sold (MLS) $47,900 NORTHSTARMLS as Distributed by MLS Grid
• 1998-08-02 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1998-07-27 Listing Removed — NORTHSTARMLS as Distributed by MLS Grid
• 1998-07-21 Listed $47,900 NORTHSTARMLS as Distributed by MLS Grid
• 1997-01-07 Listed $179,000 NORTHSTARMLS as Distributed by MLS Grid