Two-Story Mixed-Use Brick
New
For Sale
$379,900
12 N 4th St, Clear Lake, IA 50428
Retail and office areas share the property with a second-floor apartment and unfinished lower level.
Property Size4,036 SF
Price / SF$94.13
Days on Market7
Property Features for 12 N 4th St
General Information
Standard status
Active
Size
4,036 SF
Property subtype
Commercial
Building Details
Year Built
1920
Listing Agency:
RE/MAX Results
Listed By:
Matt Grohe (515) 988-3726 · License #S43998000
(515) 988-3726
Source:
Desmoineshomesforsale
Added: Sep 6
Changed: Sep 11
Last Checked: Sep 11 at 2:09PM
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 RE/MAX Results
Investment Insights
Based on property information with market context.
Built in 1920, this 4,036-square-foot, two-story brick mixed-use building combines retail and office space with a residential component. The commercial portion includes open areas, a conference room, reception area, four offices, two restrooms, and zoned HVAC. A second-floor 2bd, 1ba efficiency apartment features loft-style ceilings and views of downtown.
The property is located at 12 N 4th St in downtown Clear Lake, with a front entrance on N 4th St and an additional alley entrance to the north. The lower level is unfinished and identified as potential storage space. Twenty-four-hour notice is required to view the apartment.
The property is located at 12 N 4th St in downtown Clear Lake, with a front entrance on N 4th St and an additional alley entrance to the north. The lower level is unfinished and identified as potential storage space. Twenty-four-hour notice is required to view the apartment.
Key Highlights
- 4,036‑square‑foot mixed‑use building in downtown Clear Lake
- Two‑story brick construction completed in 1920
- Retail and office layout with open areas, conference room, reception area, four offices, and two restrooms
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
$31,190
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
8.21%
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%
$623,800
$623.8K
Cap Rate 7%
$445,571
$445.6K
Cap Rate 9%
$346,556
$346.6K
Market Conditions
NOI Build-Up for 4,036 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
$48.4K $12.00/SF
− Vacancy
−$3.9K −$0.96/SF
EGI
$44.6K $11.04/SF
− OpEx
−$13.4K −$3.31/SF
NOI
$31.2K $7.73/SF
Area
Cerro Gordo County, IA
Vacancy
8.00%
Lease Rate
$12.00 /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%
$623,800
Cap Rate 7%
$445,571
Cap Rate 9%
$346,556
Alternative Uses
Best Use
Office B
$743.3K
$650.4K – $867.2K
NOI $52,032 @ 7.0% cap · market cap 13.70%
Second Best
Retail
$445.6K
$389.9K – $519.8K
NOI $31,190 @ 7.0% cap · market cap 8.21%
Theoretical Best
Office A
$1.01M
$886.5K – $1.18M
NOI $70,920 @ 7.0% cap · market cap 18.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
567
Businesses Nearby
Explore this area
Business Placement
Demographics for 50428, IA
9,290
Population
5,630
Households
1.7
Avg Household Size
50
Median Age
32%
College-Educated
97%
High-School Grad
117.3 sq mi
ZIP Area
79
Density / Sq Mi
$72,932
Median Household Income
$42,235
Median Earnings
$769
Median Rent
$253,900
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Midwest region
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Retail and office areas share the property with a second-floor apartment and unfinished lower level.
Where is this mixed-use property located?
The property is located at 12 N 4th St Clear Lake, IA.
What is the asking price?
The asking price for this property is $379,900.
What are key features of this property?
This property features: 4,036‑square‑foot mixed‑use building in downtown Clear Lake; Two‑story brick construction completed in 1920; Retail and office layout with open areas, conference room, reception area, four offices, and two restrooms
