Building Details

Year built 1914

Flooring type Wood

Building materials Frame

Roof type Shingle

Listing Agency: GRAF REAL ESTATE, ERA POWERED · ERA Real Estate i***@ghst.com Show Phone

Listed By: Mike Graf-Graf Home Selling Team Show Phone

Added: Sep 3 Changed: Sep 4 Last Checked: Sep 4 at 11:06AM

Report an Issue

MLS# 2606206

Copyright © 2026 Cedar Rapids Area Association of REALTORS®. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.

Investment Insights

Based on property information with market context.

This mixed-use property contains 4,800 square feet within a two-level frame building constructed in 1914. The main floor provides commercial space currently occupied by Kava House, while the upper level contains four one-bedroom apartments. The building also includes a basement, wood flooring, a shingle roof, and updated mechanical systems.

Located at 122 2nd Street SE in Swisher, Iowa, the property is situated on a 0.39-acre parcel and carries Comm zoning. The sale includes the real estate only; the operating business is excluded.

Key Highlights

• 4,800‑square‑foot mixed‑use building on a 0.39‑acre parcel
• Four one‑bedroom apartments located on the upper level
• Commercial space occupies the main floor; business is not included

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

$45,481

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

6.50%

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%

$909,620 $909.6K

Cap Rate 7%

$649,729 $649.7K

Cap Rate 9%

$505,344 $505.3K

Market Conditions

NOI Build-Up for 4,800 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

$69.1K $14.40/SF

− Vacancy

−$4.1K −$0.86/SF

EGI

$65.0K $13.54/SF

− OpEx

−$19.5K −$4.06/SF

NOI

$45.5K $9.48/SF

Area

Johnson County, IA

Vacancy

6.00%

Lease Rate

$14.40 /SF/Yr

Expense Ratio

30.00%

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%

$909,620

Cap Rate 7%

$649,729

Cap Rate 9%

$505,344

Alternative Uses

Best Use

Retail

$649.7K

$568.5K – $758.0K (±1% cap)

NOI $45,481 @ 7.0% cap · market cap 6.50%

Second Best

Apartment 5plus

$586.5K

$513.2K – $684.3K (±1% cap)

NOI $41,057 @ 7.0% cap · market cap 5.87%

Theoretical Best

Office A

$1.04M

$912.4K – $1.22M (±1% cap)

NOI $72,991 @ 7.0% cap · market cap 10.43%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Kava House & Cafe Restaurant

Suggested Use

Top Pick Auto Repair Shop Plumbing Service (Bike/Boat/Book/etc) Store Auto Parts Store Hair Salon Dental Office

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

4

Residential units

Multi-tenant

Tenancy

Location Intelligence

Trade Area within ½ mile

64

Businesses Nearby

Explore this area Business Placement

Demographics for 52338, IA

3,457

Population

1,380

Households

2.5

Avg Household Size

45

Median Age

44%

College-Educated

98%

High-School Grad

33.4 sq mi

ZIP Area

104

Density / Sq Mi

$124,357

Median Household Income

$58,253

Median Earnings

$1,067

Median Rent

$384,600

Median Home Value

Market

Vacancy Rate% for Multifamily in Midwest region

6.5% 2022

7.5% 2023

7.8% 2024

8% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this mixed-use properties located? What is the asking price? Find similar properties What are key features of this property?

Similar For Sale Nearby

Office Building with Retail Use

2601 120th St. NW, Swisher, IA 52338

$495,000

1,702 SF

View details

Office-Retail Mixed-Use Building

2601 120th St. NW, Swisher, IA 52338

$495,000

1,702 SF

View details

Frequently Asked Questions

What type of property is this?

Mixed-use property - Two-level property combines a commercial storefront with four upstairs residential units in a maintained frame building.

Where is this mixed-use property located?

The property is located at 122 2nd Street SE Swisher, IA.

What is the asking price?

The asking price for this property is $699,950.

What are key features of this property?

This property features: 4,800‑square‑foot mixed‑use building on a 0.39‑acre parcel; Four one‑bedroom apartments located on the upper level; Commercial space occupies the main floor; business is not included