Office Units with Flexible
For Sale
$1,000,000
2545 N Dodge St, Iowa City, IA 52245
Configured for two suites with shared restrooms, distributed ductwork, and abundant windows.
Property Size5,060 SF
Price / SF$197.63
Days on Market24
Property Features for 2545 N Dodge St
General Information
Standard status
Active
Size
5,060 SF
Additional Details
Sprinkler System
Yes
Office Units
1
Building Details
Year Built
2016
Listing Agency:
Lepic-Kroeger, REALTORS
(319) 331-6187
Listed By:
Jeff Edberg · License #B33730000
Source:
Monicahayesteam
Added: Aug 7
Changed: Aug 29
Last Checked: Aug 29 at 6:58PM
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 Lepic-Kroeger, REALTORS
Investment Insights
Based on property information with market context.
This 5,060-square-foot office suite at 2545 N Dodge St offers a largely unfinished interior that can be adapted to a tenant’s requirements. The space is currently arranged as two areas of approximately 3,450 square feet and 1,610 square feet, with distributed ductwork, lowered sprinkler heads, and two completed shared restrooms. Abundant windows provide substantial natural light, while parking is available for the building.
The property has signage potential along N Dodge St, where approximately 10,000 cars pass daily. Existing neighboring users include Caravel Autism Health, Cardio Diagnostics, Larew Internal Medicine, and Jimmy John’s. The suite is offered for sale or lease.
The property has signage potential along N Dodge St, where approximately 10,000 cars pass daily. Existing neighboring users include Caravel Autism Health, Cardio Diagnostics, Larew Internal Medicine, and Jimmy John’s. The suite is offered for sale or lease.
Key Highlights
- 5,060 SF office suite at 2545 N Dodge St
- Currently divided into approximately 3,450 SF and 1,610 SF areas
- Distributed ductwork and lowered sprinkler heads support interior customization
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
$60,004
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
6.00%
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%
$1,200,080
$1.2M
Cap Rate 7%
$857,200
$857.2K
Cap Rate 9%
$666,711
$666.7K
Market Conditions
NOI Build-Up for 5,060 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
$111.1K $21.96/SF
− Vacancy
−$11.1K −$2.20/SF
EGI
$100.0K $19.76/SF
− OpEx
−$40.0K −$7.91/SF
NOI
$60.0K $11.86/SF
Area
Johnson County, IA
Vacancy
10.00%
Lease Rate
$21.96 /SF/Yr
Expense Ratio
40.00%
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%
$1,200,080
Cap Rate 7%
$857,200
Cap Rate 9%
$666,711
Alternative Uses
Best Use
Healthcare Medical
$857.2K
$750.1K – $1.00M
NOI $60,004 @ 7.0% cap · market cap 6.00%
Second Best
Office B
$829.5K
$725.8K – $967.7K
NOI $58,064 @ 7.0% cap · market cap 5.81%
Theoretical Best
Office A
$1.10M
$961.8K – $1.28M
NOI $76,944 @ 7.0% cap · market cap 7.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Office units
Yes
Sprinkler system
Location Intelligence
Trade Area within ½ mile
273
Businesses Nearby
Explore this area
Business Placement
Demographics for 52245, IA
21,874
Population
10,210
Households
2.1
Avg Household Size
34
Median Age
68%
College-Educated
99%
High-School Grad
8.4 sq mi
ZIP Area
2,604
Density / Sq Mi
$75,876
Median Household Income
$30,273
Median Earnings
$1,215
Median Rent
$293,300
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 - Configured for two suites with shared restrooms, distributed ductwork, and abundant windows.
Where is this office units located?
The property is located at 2545 N Dodge St Iowa City, IA.
What is the asking price?
The asking price for this property is $1,000,000.
What are key features of this property?
This property features: 5,060 SF office suite at 2545 N Dodge St; Currently divided into approximately 3,450 SF and 1,610 SF areas; Distributed ductwork and lowered sprinkler heads support interior customization
