Multibuilding Apartment
For Sale
$7,295,000
2510 Cascade Lane, Iowa City, IA 52246
Four condominium apartment buildings offer a diversified unit mix with separately rented garage space and association-maintained common elements.
Property Size50,118 SF
Price / SF$145.56
Days on Market406
Property Features for 2510 Cascade Lane
General Information
Standard status
Active
Size
50,118 SF
Total Parking Spaces
4
Property subtype
Multi-family
Lease Term
[]
Units
Unit Mix
20 x 3BR, 18 x 2BR
Multifamily Units
38
Additional Details
Highway Access
Yes
Building Details
Year Built
2000
Buildings
4
Listing Agency:
Watts Group Realty
Listed By:
Michael Van Dyke
(319) 364-8121
Source:
Cbhrealty
Added: Jul 22, 2025
Changed: Aug 29
Last Checked: Aug 30 at 6:20PM
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 Watts Group Realty
Investment Insights
Based on property information with market context.
This apartment property comprises four condominium buildings with 38 total units: one 12-unit building, one 18-unit building, and two 4-unit buildings. The unit mix includes 20 three-bedroom residences and 18 two-bedroom residences. A 4-car garage is also part of the offering and is rented separately. Common elements are maintained by the condominium association. The buildings were constructed in 2000, and the reported property size is 50,118 square feet.
The property is situated on the west side of Iowa City near the University of Iowa Hospitals and Clinics, the University of Iowa, and downtown Iowa City. Regional connectivity includes access to Hwy 218, I-380, and I-80. Floor plans are conceptual, unit layouts may vary, and square footage and dimensions should be verified by the buyer.
The property is situated on the west side of Iowa City near the University of Iowa Hospitals and Clinics, the University of Iowa, and downtown Iowa City. Regional connectivity includes access to Hwy 218, I-380, and I-80. Floor plans are conceptual, unit layouts may vary, and square footage and dimensions should be verified by the buyer.
Key Highlights
- 38 total units across four condominium apartment buildings
- Unit mix includes 20 three‑bedroom and 18 two‑bedroom units
- Building configuration includes 1‑12 plex, 1‑18 plex, and two 4 plexes
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
$428,689
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
5.88%
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%
$8,573,780
$8.6M
Cap Rate 7%
$6,124,129
$6.1M
Cap Rate 9%
$4,763,211
$4.8M
Market Conditions
NOI Build-Up for 50,118 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
$811.9K $16.20/SF
− Vacancy
−$32.5K −$0.65/SF
EGI
$779.4K $15.55/SF
− OpEx
−$350.7K −$7.00/SF
NOI
$428.7K $8.55/SF
Area
Johnson County, IA
Vacancy
4.00%
Lease Rate
$16.20 /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%
$8,573,780
Cap Rate 7%
$6,124,129
Cap Rate 9%
$4,763,211
Alternative Uses
Best Use
Apartment 5plus
$6.12M
$5.36M – $7.14M
NOI $428,689 @ 7.0% cap · market cap 5.88%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$10.89M
$9.53M – $12.70M
NOI $762,114 @ 7.0% cap · market cap 10.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
38
Residential units
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
353
Businesses Nearby
Explore this area
Business Placement
Demographics for 52246, IA
22,829
Population
10,627
Households
2.1
Avg Household Size
29
Median Age
67%
College-Educated
95%
High-School Grad
16.7 sq mi
ZIP Area
1,367
Density / Sq Mi
$55,088
Median Household Income
$28,598
Median Earnings
$1,049
Median Rent
$327,100
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 - Four condominium apartment buildings offer a diversified unit mix with separately rented garage space and association-maintained common elements.
Where is this apartment building located?
The property is located at 2510 Cascade Lane Iowa City, IA.
What is the asking price?
The asking price for this property is $7,295,000.
What are key features of this property?
This property features: 38 total units across four condominium apartment buildings; Unit mix includes 20 three‑bedroom and 18 two‑bedroom units; Building configuration includes 1‑12 plex, 1‑18 plex, and two 4 plexes
