Warehouse with Dock
For Sale
$5,100,000
2239 Heinz Rd, Iowa City, IA 52240
CommercialSale, IowaCity, IA
Property Size72,000 SF
Lot Size4.36 Acres
Price / SF$70.83
Days on Market13
Property Features for 2239 Heinz Rd
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
I-1
Directions
North on Heinz Rd from Hwy 6 or west on Heinz Rd from Scott Blvd. On south side of Heinz Rd.
Subdivision
IowaCity
Standard status
Active
APN
1024178010
Lot size
4.36 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
81370
Utilities
Heating system
Natural Gas
Cooling system
Whole House Fan
Building Details
Year built
1997
Flooring type
Concrete
Building materials
SteelOrMetal
Roof type
Metal
Listing Agency:
Lepic-Kroeger, REALTORS
(319) 351-8811
Listed By:
Jeff Edberg · License #B33730000
(319) 331-6187
Added: Aug 13
Changed: Aug 19
Last Checked: Aug 25 at 7:06PM
MLS# 202604991
Copyright © 2026 Iowa City 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 steel-and-metal warehouse was built in 1997 and includes 33,500 SF of leased area alongside 38,500 SF of vacant space. The building has 2 dock doors equipped with levelers, 2 overhead doors, 23-foot eave height, and 5-inch reinforced concrete floors. A recent lighting upgrade added LED warehouse fixtures, while natural gas heat and a whole-house fan provide the listed mechanical systems. The metal-roofed facility is situated on 4.36 acres with truck maneuvering space and additional employee parking.
The property carries I-1 zoning and is located at 2239 Heinz Rd in Iowa City, Iowa. At full lease-up, the stated cap rate is 7% per year. Tenant-direct CAM is also identified in the property information.
The property carries I-1 zoning and is located at 2239 Heinz Rd in Iowa City, Iowa. At full lease-up, the stated cap rate is 7% per year. Tenant-direct CAM is also identified in the property information.
Key Highlights
- 33,500 SF leased with 38,500 SF vacant
- 2 dock doors with levelers and 2 overhead doors
- 23' eave height with 5" reinforced concrete floors
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
$430,920
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
8.45%
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%
$8,618,400
$8.6M
Cap Rate 7%
$6,156,000
$6.2M
Cap Rate 9%
$4,788,000
$4.8M
Market Conditions
NOI Build-Up for 72,000 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
$648.0K $9.00/SF
− Vacancy
−$32.4K −$0.45/SF
EGI
$615.6K $8.55/SF
− OpEx
−$184.7K −$2.56/SF
NOI
$430.9K $5.98/SF
Area
Johnson County, IA
Vacancy
5.00%
Lease Rate
$9.00 /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%
$8,618,400
Cap Rate 7%
$6,156,000
Cap Rate 9%
$4,788,000
Alternative Uses
Best Use
Warehouse
$8.02M
$7.01M – $9.35M
NOI $561,082 @ 7.0% cap · market cap 11.00%
Second Best
Industrial
$6.16M
$5.39M – $7.18M
NOI $430,920 @ 7.0% cap · market cap 8.45%
Theoretical Best
Office A
$15.64M
$13.69M – $18.25M
NOI $1,094,861 @ 7.0% cap · market cap 21.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Dock-high doors
Location Intelligence
Trade Area within ½ mile
185
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 52240, IA
34,224
Population
17,035
Households
2
Avg Household Size
29
Median Age
47%
College-Educated
94%
High-School Grad
142.1 sq mi
ZIP Area
241
Density / Sq Mi
$55,189
Median Household Income
$25,508
Median Earnings
$1,065
Median Rent
$241,100
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- AM Management — 2871 Heinz Rd B, Iowa City, IA 52240
- Scott-Six Storage — 2870 Commerce Dr, Iowa City, IA 52240
- V's Self Storage (Iowa City Location) — 2800 Commerce Dr, Iowa City, IA 52240
- Adamantine Spine Moving - Full Service Storage — 2726 Independence Rd Suite B, Iowa City, IA 52240
- Heinz Road Mini Storage — 2435 Heinz Rd, Iowa City, IA 52240
Frequently Asked Questions
What type of property is this?
Warehouse - I-1-zoned industrial facility with truck circulation, employee parking, upgraded LED warehouse lighting, and concrete flooring.
Where is this warehouse located?
The property is located at 2239 Heinz Rd Iowa City, IA.
What is the asking price?
The asking price for this property is $5,100,000.
What are key features of this property?
This property features: 33,500 SF leased with 38,500 SF vacant; 2 dock doors with levelers and 2 overhead doors; 23' eave height with 5" reinforced concrete floors
