Downtown Office Suite
For Sale
$996,000
2 S Linn St, Iowa City, IA 52240
Flexible office footprint can be demised into a 1,664 SF suite and a 2,243 SF suite with designated ramp parking included.
Property Size3,907 SF
Price / SF$254.93
Days on Market459
Property Features for 2 S Linn St
General Information
Standard status
Active
Size
3,907 SF
Property subtype
Commercial
Zoning
CB10
Lease Type
NNN
Taxes and HOA fees
Annual Taxes
$8
Amenities
CeramicTile
condo
CountyRoad,Paved
Building Details
Year Built
2000
Listing Agency:
RE/MAX CONCEPTS
(319) 393-0900
Listed By:
Juliana Corona
(319) 576-8327
Source:
Pinnaclerealtyia
Added: Jun 6, 2025
Changed: Sep 6
Last Checked: Sep 7 at 6:10AM
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 CONCEPTS
Investment Insights
Based on property information with market context.
This downtown commercial property offers a flexible office layout that starts with a 3,907 SF original footprint and can be demised into two separate suites: 1,664 SF and 2,243 SF. The building includes designated parking spaces in an attached ramp, and additional city parking is available directly in front of the property.
The location is described as being across the street from the University of Iowa Botany, Physics & Brain Sciences Building, with walking distance to campus, shopping, dining, and entertainment. The property is also noted to provide signage opportunities.
The unit is offered for sale, and it is also available for lease in a separate listing.
The location is described as being across the street from the University of Iowa Botany, Physics & Brain Sciences Building, with walking distance to campus, shopping, dining, and entertainment. The property is also noted to provide signage opportunities.
The unit is offered for sale, and it is also available for lease in a separate listing.
Key Highlights
- Original footprint is 3,907 SF and can be demised into a 1,664 SF suite and a 2,243 SF suite
- Designated parking spaces in the attached ramp included in the sale, plus City parking directly in front
- Built in 2000
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
$44,833
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
4.50%
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%
$896,660
$896.7K
Cap Rate 7%
$640,471
$640.5K
Cap Rate 9%
$498,144
$498.1K
Market Conditions
NOI Build-Up for 3,907 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
$70.3K $18.00/SF
− Vacancy
−$10.5K −$2.70/SF
EGI
$59.8K $15.30/SF
− OpEx
−$14.9K −$3.82/SF
NOI
$44.8K $11.48/SF
Area
Johnson County, IA
Vacancy
15.00%
Lease Rate
$18.00 /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%
$896,660
Cap Rate 7%
$640,471
Cap Rate 9%
$498,144
Alternative Uses
Best Use
Office B
$640.5K
$560.4K – $747.2K
NOI $44,833 @ 7.0% cap · market cap 4.50%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$848.7K
$742.6K – $990.2K
NOI $59,411 @ 7.0% cap · market cap 5.96%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,400
Businesses Nearby
Explore this area
Business Placement
Demographics for 52240, IA
34,224
Population
17,035
Households
2
Avg Household Size
29
Median Age
47%
College-Educated
94%
High-School Grad
142.1 sq mi
ZIP Area
241
Density / Sq Mi
$55,189
Median Household Income
$25,508
Median Earnings
$1,065
Median Rent
$241,100
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Flexible office footprint can be demised into a 1,664 SF suite and a 2,243 SF suite with designated ramp parking included.
Where is this office units located?
The property is located at 2 S Linn St Iowa City, IA.
What is the asking price?
The asking price for this property is $996,000.
What are key features of this property?
This property features: Original footprint is 3,907 SF and can be demised into a 1,664 SF suite and a 2,243 SF suite; Designated parking spaces in the attached ramp included in the sale, plus City parking directly in front; Built in 2000
