Conventional Restaurant with Airplane Roof
For Sale
$299,000
103 8th Avenue SW, Cedar Rapids, IA 52404
Single-story restaurant on a 0.23-acre lot with display windows, concrete floors, and heating and air conditioning.
Property Size1,586 SF
Price / SF$188.52
Days on Market51
Property Features for 103 8th Avenue SW
General Information
Standard status
Active
Size
1,586 SF
Property subtype
Business Op
Zoning
Com
Additional Details
Business Included
Yes
Taxes and HOA fees
Annual Taxes
$2,322
Amenities
Concrete
Yes
1
No
Display Window(s)
Building,Business,Land,See Remarks
Public
0.23
14400
Building Details
Year Built
1940
Stories
1
Listing Agency:
Q4 Real Estate
(319) 393-0900
Listed By:
Katie Sisson
(641) 990-7932
Source:
Pinnaclerealtyia
Added: Jul 27
Changed: Sep 14
Last Checked: Sep 15 at 4:29AM
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 Q4 Real Estate
Investment Insights
Based on property information with market context.
A conventional restaurant property offered for sale includes the building, business, and land, plus an adjoining parking lot. The building is a single-story structure with concrete flooring, heating, and air conditioning, and it features display window(s) that support visibility for walk-up traffic.
The property sits on a 0.23-acre lot (lot size area provided as 0.23). Water service is public. Built in 1940, the restaurant also features a distinctive airplane perched on the roof, a recognizable local landmark within the community.
This offering includes the real estate and business elements tied to the operation at the property, along with the adjoining parking lot for customer convenience.
The property sits on a 0.23-acre lot (lot size area provided as 0.23). Water service is public. Built in 1940, the restaurant also features a distinctive airplane perched on the roof, a recognizable local landmark within the community.
This offering includes the real estate and business elements tied to the operation at the property, along with the adjoining parking lot for customer convenience.
Key Highlights
- 0.23‑acre lot with public water
- Built in 1940 single‑story restaurant
- Concrete flooring throughout
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
$16,068
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
5.37%
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%
$321,360
$321.4K
Cap Rate 7%
$229,543
$229.5K
Cap Rate 9%
$178,533
$178.5K
Market Conditions
NOI Build-Up for 1,586 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
$23.2K $14.64/SF
− Vacancy
−$1.8K −$1.13/SF
EGI
$21.4K $13.51/SF
− OpEx
−$5.4K −$3.38/SF
NOI
$16.1K $10.13/SF
Area
Cedar Rapids, IA
Vacancy
7.73%
Lease Rate
$14.64 /SF/Yr
Expense Ratio
25.00%
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%
$321,360
Cap Rate 7%
$229,543
Cap Rate 9%
$178,533
Alternative Uses
Best Use
Specialty Retail
$229.5K
$200.9K – $267.8K
NOI $16,068 @ 7.0% cap · market cap 5.37%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
1,974
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 52404, IA
43,385
Population
19,923
Households
2.2
Avg Household Size
35
Median Age
22%
College-Educated
94%
High-School Grad
56.6 sq mi
ZIP Area
767
Density / Sq Mi
$62,304
Median Household Income
$38,865
Median Earnings
$885
Median Rent
$159,700
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Single-story restaurant on a 0.23-acre lot with display windows, concrete floors, and heating and air conditioning.
Where is this conventional restaurant located?
The property is located at 103 8th Avenue SW Cedar Rapids, IA.
What is the asking price?
The asking price for this property is $299,000.
What are key features of this property?
This property features: 0.23‑acre lot with public water; Built in 1940 single‑story restaurant; Concrete flooring throughout
