Steel Warehouse with Outdoor
For Sale
$275,000
3496 Dolphin Drive, Iowa City, IA 52240
Commercial-zoned warehouse with loading access, air conditioning, radiant heat, and separate outdoor storage.
Property Size2,400 SF
Price / SF$114.58
Days on Market15
Property Features for 3496 Dolphin Drive
General Information
Standard status
Active
Size
2,400 SF
Property subtype
Commercial
Zoning
Commercial
Warehouse & Industrial
Drive-In Doors
2
Conditioned Warehouse
Yes
Additional Details
Outdoor Storage
Yes
Taxes and HOA fees
Annual Taxes
$4,700
Amenities
conference room
air conditioning
radiant heat
additional storage space
ConcreteSlabGrade
Irregular
CountyRoad,Interstate
Building Details
Year Built
2012
Buildings
1
Building Size
2,400 SF
Construction
steel
Listing Agency:
SATTLER REALTY
(319) 393-0900
Listed By:
Sara Kruse
(319) 329-0619
Source:
Pinnaclerealtyia
Added: Aug 20
Changed: Sep 3
Last Checked: Sep 2 at 2:38PM
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 SATTLER REALTY
Investment Insights
Based on property information with market context.
Built in 2012, this 2,400-square-foot steel warehouse provides a practical combination of enclosed workspace and exterior storage. The building includes two 16-foot garage doors, a conference room, air conditioning, radiant heat, additional interior storage, and a concrete slab foundation. An outdoor storage area accommodates equipment, materials, vehicles, or other business needs.
The property is located at 3496 Dolphin Drive in Iowa City, with access via a county road and nearby interstate connectivity. Its configuration supports warehouse operations, contractor use, service businesses, and owner-user needs.
The warehouse is currently leased through March 2027, with the tenant willing to vacate earlier if needed. The conference room’s cabinets, countertops, refrigerator, television and mount, glass door, and sink are reserved, as is the air-conditioning equipment.
The property is located at 3496 Dolphin Drive in Iowa City, with access via a county road and nearby interstate connectivity. Its configuration supports warehouse operations, contractor use, service businesses, and owner-user needs.
The warehouse is currently leased through March 2027, with the tenant willing to vacate earlier if needed. The conference room’s cabinets, countertops, refrigerator, television and mount, glass door, and sink are reserved, as is the air-conditioning equipment.
Key Highlights
- 2,400 SF steel warehouse built in 2012
- Two large 16' garage doors support loading and vehicle access
- Conference room, air conditioning, radiant heat, and interior storage
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
$18,703
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
6.80%
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%
$374,060
$374.1K
Cap Rate 7%
$267,186
$267.2K
Cap Rate 9%
$207,811
$207.8K
Market Conditions
NOI Build-Up for 2,400 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
$23.0K $9.60/SF
− Vacancy
−$1.0K −$0.43/SF
EGI
$22.0K $9.17/SF
− OpEx
−$3.3K −$1.38/SF
NOI
$18.7K $7.79/SF
Area
Johnson County, IA
Vacancy
4.50%
Lease Rate
$9.60 /SF/Yr
Expense Ratio
15.00%
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%
$374,060
Cap Rate 7%
$267,186
Cap Rate 9%
$207,811
Alternative Uses
Best Use
Warehouse
$267.2K
$233.8K – $311.7K
NOI $18,703 @ 7.0% cap · market cap 6.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$521.4K
$456.2K – $608.3K
NOI $36,495 @ 7.0% cap · market cap 13.27%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
2
Drive-in doors
Location Intelligence
Trade Area within ½ mile
86
Businesses Nearby
Well-served
Demand for This Use
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 Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Warehouse - Commercial-zoned warehouse with loading access, air conditioning, radiant heat, and separate outdoor storage.
Where is this warehouse located?
The property is located at 3496 Dolphin Drive Iowa City, IA.
What is the asking price?
The asking price for this property is $275,000.
What are key features of this property?
This property features: 2,400 SF steel warehouse built in 2012; Two large 16' garage doors support loading and vehicle access; Conference room, air conditioning, radiant heat, and interior storage
