C5-Zoned Storefront
For Sale
$550,000
1012 Virginia Ave, Indianapolis, IN 46203
The building occupies a commercial corridor within Indianapolis’s Fountain Square Cultural District.
Property Size2,000 SF
Price / SF$275
Days on Market94
Property Features for 1012 Virginia Ave
General Information
Standard status
Active
Size
2,000 SF
Zoning
C5
Listing Agency:
@properties
(812) 236-5559
Listed By:
Daniel Fisher
(812) 236-5559
Source:
Exprealty
Added: May 7
Changed: Aug 7
Last Checked: Aug 7 at 2:48AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of @properties
Investment Insights
Based on property information with market context.
This 2,000-square-foot commercial building at 1012 Virginia Ave is zoned C5 and positioned within Indianapolis’s Fountain Square Cultural District. The property offers a compact urban footprint suited to a storefront-oriented commercial use, with its address placing it directly within the district’s established business environment.
The surrounding area includes restaurants, breweries, live music venues, galleries, and creative businesses. Fountain Square also includes the Cultural Trail and adaptive-reuse projects, adding established cultural and commercial context to the immediate setting. The property is located in Indianapolis, Indiana, near the city’s southeast side.
The surrounding area includes restaurants, breweries, live music venues, galleries, and creative businesses. Fountain Square also includes the Cultural Trail and adaptive-reuse projects, adding established cultural and commercial context to the immediate setting. The property is located in Indianapolis, Indiana, near the city’s southeast side.
Key Highlights
- 2,000‑square‑foot commercial building at 1012 Virginia Ave
- C5 zoning supports a commercial storefront setting
- Located within Indianapolis’s Fountain Square Cultural District
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
$21,521
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
3.91%
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%
$430,420
$430.4K
Cap Rate 7%
$307,443
$307.4K
Cap Rate 9%
$239,122
$239.1K
Market Conditions
NOI Build-Up for 2,000 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
$33.6K $16.80/SF
− Vacancy
−$2.9K −$1.43/SF
EGI
$30.7K $15.37/SF
− OpEx
−$9.2K −$4.61/SF
NOI
$21.5K $10.76/SF
Area
Indianapolis, IN
Vacancy
8.50%
Lease Rate
$16.80 /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%
$430,420
Cap Rate 7%
$307,443
Cap Rate 9%
$239,122
Alternative Uses
Best Use
Retail
$307.4K
$269.0K – $358.7K
NOI $21,521 @ 7.0% cap · market cap 3.91%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$497.8K
$435.6K – $580.8K
NOI $34,848 @ 7.0% cap · market cap 6.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,115
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 46203, IN
38,224
Population
18,057
Households
2.1
Avg Household Size
34
Median Age
26%
College-Educated
79%
High-School Grad
13.9 sq mi
ZIP Area
2,750
Density / Sq Mi
$55,375
Median Household Income
$40,620
Median Earnings
$1,022
Median Rent
$155,500
Median Home Value
Market
Vacancy Rate% for Retail in Indianapolis, IN
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - The building occupies a commercial corridor within Indianapolis’s Fountain Square Cultural District.
Where is this storefront property located?
The property is located at 1012 Virginia Ave Indianapolis, IN.
What is the asking price?
The asking price for this property is $550,000.
What are key features of this property?
This property features: 2,000‑square‑foot commercial building at 1012 Virginia Ave; C5 zoning supports a commercial storefront setting; Located within Indianapolis’s Fountain Square Cultural District
