Mixed-Use Property with Redevelopment
For Sale
$210,000
3138 SW 9th St, Des Moines, IA 50315
MX1 zoning supports retail and office uses alongside an existing building and adjacent parcel.
Property Size1,792 SF
Days on Market68
Property Features for 3138 SW 9th St
General Information
Standard status
Active
Size
1,792 SF
Property subtype
Retail
Building Details
Building Size
1,792 SF
Year Built
1964
Listing Agency:
Ferguson Commercial Real Estate Services
(515) 867-4964
Listed By:
Nathan Petsche · License #S70663000
Source:
Fergusoncres
Added: Jun 25
Changed: Aug 30
Last Checked: Aug 30 at 11:27PM
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 Ferguson Commercial Real Estate Services
Investment Insights
Based on property information with market context.
This mixed-use property includes an existing building constructed in 1964 and the adjoining lot at 3136 SW 9th St. Together, the parcels contain 0.439 acres and offer frontage along SW 9th Street. The MX1 zoning supports retail and office businesses, while the existing improvements can be customized for an owner-user or incorporated into a redevelopment plan.
The property is located minutes from downtown Des Moines, providing an urban setting for commercial occupancy or future repositioning. The sale combines the building at 3138 SW 9th St with the adjacent parcel, creating a broader site configuration for a mixed-use strategy.
The property is located minutes from downtown Des Moines, providing an urban setting for commercial occupancy or future repositioning. The sale combines the building at 3138 SW 9th St with the adjacent parcel, creating a broader site configuration for a mixed-use strategy.
Key Highlights
- 0.439‑acre combined site including 3138 SW 9th St and adjacent 3136 SW 9th St
- MX1 zoning supports retail and office businesses
- Existing building constructed in 1964
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
$18,346
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
8.74%
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%
$366,920
$366.9K
Cap Rate 7%
$262,086
$262.1K
Cap Rate 9%
$203,844
$203.8K
Market Conditions
NOI Build-Up for 1,792 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
$32.3K $18.00/SF
− Vacancy
−$2.9K −$1.62/SF
EGI
$29.4K $16.38/SF
− OpEx
−$11.0K −$6.14/SF
NOI
$18.3K $10.24/SF
Area
Des Moines, IA
Vacancy
9.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
37.50%
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%
$366,920
Cap Rate 7%
$262,086
Cap Rate 9%
$203,844
Alternative Uses
Best Use
Office B
$337.3K
$295.1K – $393.5K
NOI $23,611 @ 7.0% cap · market cap 11.24%
Second Best
Mixed Use
$262.1K
$229.3K – $305.8K
NOI $18,346 @ 7.0% cap · market cap 8.74%
Theoretical Best
Office A
$441.3K
$386.2K – $514.9K
NOI $30,894 @ 7.0% cap · market cap 14.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
289
Businesses Nearby
Explore this area
Business Placement
Demographics for 50315, IA
36,693
Population
16,579
Households
2.2
Avg Household Size
36
Median Age
18%
College-Educated
87%
High-School Grad
10.3 sq mi
ZIP Area
3,562
Density / Sq Mi
$62,036
Median Household Income
$41,311
Median Earnings
$977
Median Rent
$164,000
Median Home Value
Market
Vacancy Rate% for Office in Des Moines, IA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - MX1 zoning supports retail and office uses alongside an existing building and adjacent parcel.
Where is this mixed-use property located?
The property is located at 3138 SW 9th St Des Moines, IA.
What is the asking price?
The asking price for this property is $210,000.
What are key features of this property?
This property features: 0.439‑acre combined site including 3138 SW 9th St and adjacent 3136 SW 9th St; MX1 zoning supports retail and office businesses; Existing building constructed in 1964
