Newer Construction Multifamily
For Sale
$4,250,000
1720 Morningside Avenue, Sioux City, IA 51106
Built in 2023, this 24-unit apartment complex includes six 3-bedroom and eighteen 2-bedroom units.
Property Size26,850 SF
Days on Market115
Property Features for 1720 Morningside Avenue
General Information
Standard status
Active
Size
26,850 SF
Property subtype
Multi-Family
Additional Details
Multifamily Units
24
Building Details
Building Size
26,850 SF
Year Built
2023
Units
24
Listing Agency:
NAI United
Listed By:
Aidan Vanderloo · License ##S73073000
(712) 577-1267
Source:
Commercialcafe
Added: May 14
Changed: Aug 31
Last Checked: Sep 5 at 4:53AM
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 NAI United
Investment Insights
Based on property information with market context.
Morningside Lofts is a modern 24-unit apartment complex built in 2023. The mix includes six units with three bedrooms and two bathrooms, and eighteen units with two bedrooms and two bathrooms. The property is presented as turnkey, with newer construction and remaining tax abatement.
The building is located at 1720 Morningside Avenue in Sioux City, Iowa, next to Morningside University.
Financial information is available upon request with a signed NDA.
The building is located at 1720 Morningside Avenue in Sioux City, Iowa, next to Morningside University.
Financial information is available upon request with a signed NDA.
Key Highlights
- 24‑unit apartment complex built in 2023
- Unit mix includes six 3‑bedroom, 2‑bath units and eighteen 2‑bedroom, 2‑bath units
- Modern multifamily property with remaining tax abatement
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
$188,551
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
4.44%
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%
$3,771,020
$3.8M
Cap Rate 7%
$2,693,586
$2.7M
Cap Rate 9%
$2,095,011
$2.1M
Market Conditions
NOI Build-Up for 26,850 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
$360.9K $13.44/SF
− Vacancy
−$18.0K −$0.67/SF
EGI
$342.8K $12.77/SF
− OpEx
−$154.3K −$5.75/SF
NOI
$188.6K $7.02/SF
Area
Woodbury County, IA
Vacancy
5.00%
Lease Rate
$13.44 /SF/Yr
Expense Ratio
45.00%
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%
$3,771,020
Cap Rate 7%
$2,693,586
Cap Rate 9%
$2,095,011
Alternative Uses
Best Use
Apartment 5plus
$2.69M
$2.36M – $3.14M
NOI $188,551 @ 7.0% cap · market cap 4.44%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$4.03M
$3.53M – $4.71M
NOI $282,428 @ 7.0% cap · market cap 6.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
24
Residential units
Location Intelligence
Trade Area within ½ mile
493
Businesses Nearby
Explore this area
Business Placement
Demographics for 51106, IA
28,655
Population
11,681
Households
2.5
Avg Household Size
35
Median Age
27%
College-Educated
93%
High-School Grad
33.5 sq mi
ZIP Area
855
Density / Sq Mi
$74,486
Median Household Income
$40,495
Median Earnings
$1,080
Median Rent
$186,300
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Built in 2023, this 24-unit apartment complex includes six 3-bedroom and eighteen 2-bedroom units.
Where is this apartment building located?
The property is located at 1720 Morningside Avenue Sioux City, IA.
What is the asking price?
The asking price for this property is $4,250,000.
What are key features of this property?
This property features: 24‑unit apartment complex built in 2023; Unit mix includes six 3‑bedroom, 2‑bath units and eighteen 2‑bedroom, 2‑bath units; Modern multifamily property with remaining tax abatement
