Unit 12 Flex
For Sale
$150,000
2363 2nd Ave NE, Sioux Center, IA 51250
Commercial, Sioux Center, IA
Property Size1,600 SF
Lot Size1.55 Acres
Price / SF$93.75
Days on Market315
Property Features for 2363 2nd Ave NE
General Information
Property type
Commercial Sale
Property subtype
Other
Subdivision
Surrounding Areas/Other Areas
Standard status
Active
APN
1028302002
Lot size
1.55 Acres
Taxes and HOA fees
Tax Year
2022
Tax Description
L 2 HIGHWAY COMMERCIAL PARK - SECOND ADD
Tax Annual Amount
130
Legal Description
L 2 HIGHWAY COMMERCIAL PARK - SECOND ADD
Utilities
Heating system
Forced Air
Amenities
Keyless Entry
High Speed Internet/Cat6
Building Details
Year built
2024
Roof type
Metal
Listing Agency:
Hilt Real Estate Inc
(712) 722-0707
Listed By:
Rachel Hoogeveen · License #S58404
(712) 441-5100
Added: Oct 29, 2025
Changed: Sep 2
Last Checked: Sep 8 at 3:06AM
MLS# 830829
Copyright © 2026 Northwest Iowa Regional Board 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.
Unit 12 is part of the south addition at a 2024 flex-space property on 1.55 acres. The unit measures approximately 32' x 50' with 16ft sidewalls and includes a 14ft x 14ft overhead door. Planned improvements include an electric furnace, air conditioning, keyless entry, and high-speed internet with Cat6 wiring.
Two side-entry doors provide separate access points, with potential for an office and shop entrance or division of the unit. Water is stubbed at two locations, while toilet and sink connections are also in place. The property is located at 2363 2nd Ave NE in Sioux Center, Iowa, and the building has a metal roof.
Two side-entry doors provide separate access points, with potential for an office and shop entrance or division of the unit. Water is stubbed at two locations, while toilet and sink connections are also in place. The property is located at 2363 2nd Ave NE in Sioux Center, Iowa, and the building has a metal roof.
Key Highlights
- Unit 12 measures approximately 32' x 50'
- 16ft sidewalls and a 14ft x 14ft overhead door
- Electric furnace, AC, and high‑speed internet/Cat6
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
$11,720
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
7.81%
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%
$234,400
$234.4K
Cap Rate 7%
$167,429
$167.4K
Cap Rate 9%
$130,222
$130.2K
Market Conditions
NOI Build-Up for 1,600 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
$14.4K $9.00/SF
− Vacancy
−$612 −$0.38/SF
EGI
$13.8K $8.62/SF
− OpEx
−$2.1K −$1.29/SF
NOI
$11.7K $7.32/SF
Area
Sioux County, IA
Vacancy
4.25%
Lease Rate
$9.00 /SF/Yr
Expense Ratio
15.00%
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%
$234,400
Cap Rate 7%
$167,429
Cap Rate 9%
$130,222
Alternative Uses
Best Use
Warehouse
$167.4K
$146.5K – $195.3K
NOI $11,720 @ 7.0% cap · market cap 7.81%
Second Best
Industrial
$137.9K
$120.7K – $160.9K
NOI $9,652 @ 7.0% cap · market cap 6.43%
Theoretical Best
Office A
$333.3K
$291.6K – $388.9K
NOI $23,331 @ 7.0% cap · market cap 15.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
16 ft
Clear height
1
Drive-in doors
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
207
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 51250, IA
9,427
Population
3,254
Households
2.9
Avg Household Size
29
Median Age
41%
College-Educated
89%
High-School Grad
73.3 sq mi
ZIP Area
129
Density / Sq Mi
$90,238
Median Household Income
$31,045
Median Earnings
$907
Median Rent
$286,000
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Hy-Vee Catering — 1951 S Main Ave, Sioux Center, IA 51250
Frequently Asked Questions
What type of property is this?
Flex space - Under-construction commercial unit offers climate control, plumbing stubs, two entries, and Cat6 connectivity.
Where is this flex space located?
The property is located at 2363 2nd Ave NE Sioux Center, IA.
What is the asking price?
The asking price for this property is $150,000.
What are key features of this property?
This property features: Unit 12 measures approximately 32' x 50'; 16ft sidewalls and a 14ft x 14ft overhead door; Electric furnace, AC, and high‑speed internet/Cat6
