Building Details

Year Built 1971

Stories 1

Listing Agency: Pinnacle Realty t***@pinnaclerealtyia.com Show Phone

Listed By: Trev Adair Show Phone

Source: Pinnaclerealtyia

Added: Nov 28, 2025 Changed: Aug 29 Last Checked: Jul 6 at 8:00PM

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Investment Insights

Based on property information with market context.

This mixed-use commercial building combines office and retail functions in a single property. Constructed in 1971, the asset offers an established building format for businesses seeking both workplace and customer-facing space.

The property is located at 2601 120TH Street NW in Swisher, Iowa, between Cedar Rapids and Iowa City. Its office-and-retail configuration supports a range of commercial occupancy needs within the same building.

Key Highlights

• Mixed‑use property with office and retail components
• Built in 1971
• Located at 2601 120TH Street NW, Swisher, IA 52338

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

$19,530

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

3.95%

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%

$390,600 $390.6K

Cap Rate 7%

$279,000 $279.0K

Cap Rate 9%

$217,000 $217.0K

Market Conditions

NOI Build-Up for 1,702 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

$30.6K $18.00/SF

− Vacancy

−$4.6K −$2.70/SF

EGI

$26.0K $15.30/SF

− OpEx

−$6.5K −$3.82/SF

NOI

$19.5K $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%

$390,600

Cap Rate 7%

$279,000

Cap Rate 9%

$217,000

Alternative Uses

Best Use

Office B

$279.0K

$244.1K – $325.5K (±1% cap)

NOI $19,530 @ 7.0% cap · market cap 3.95%

Second Best

Retail

$230.4K

$201.6K – $268.8K (±1% cap)

NOI $16,127 @ 7.0% cap · market cap 3.26%

Theoretical Best

Office A

$369.7K

$323.5K – $431.4K (±1% cap)

NOI $25,881 @ 7.0% cap · market cap 5.23%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Rtl Equipment Inc Big Box & Wholesale Store IC Construction Company Construction Company

Suggested Use

Top Pick Dental Office Auto Parts Store Plumbing Service (Bike/Boat/Book/etc) Store Real Estate Agency Building Supply

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

21

Businesses Nearby

Explore this area Business Placement

Demographics for 52338, IA

3,457

Population

1,380

Households

2.5

Avg Household Size

45

Median Age

44%

College-Educated

98%

High-School Grad

33.4 sq mi

ZIP Area

104

Density / Sq Mi

$124,357

Median Household Income

$58,253

Median Earnings

$1,067

Median Rent

$384,600

Median Home Value

Market

Vacancy Rate% for Office in Midwest region

13.7% 2019

15.6% 2020

17.1% 2021

18.9% 2022

21% 2023

22% 2024

21.3% 2025

Questions? Ask Rey

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What type of property is this? Where is this mixed-use properties located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Mixed-use property - Combined office and retail improvements positioned between Cedar Rapids and Iowa City.

Where is this mixed-use property located?

The property is located at 2601 120th St. NW Swisher, IA.

What is the asking price?

The asking price for this property is $495,000.

What are key features of this property?

This property features: Mixed‑use property with office and retail components; Built in 1971; Located at 2601 120TH Street NW, Swisher, IA 52338