Brick Office
For Sale
Contact for pricing
414 NORTHWESTERN AVE, Ames, IA 50010
Four separate office areas serve a downtown Ames property with shared bathrooms and on-site parking.
Property Size4,290 SF
Price / SF$151.52
Days on Market11
Property Features for 414 NORTHWESTERN AVE
General Information
Standard status
Active
Size
4,290 SF
Class
C
Total Parking Spaces
28
Property subtype
Office
Zoning
DSC
Occupancy
75%
Lease Type
Modified Gross
Building Details
Year Built
1964
Buildings
1
Stories
1
Units
4
Tenancy
Multi
Listing Agency:
Hunziker & Associates Inc Realtors Ames
(515) 290-7007
Listed By:
Chuck Winkleblack · License #IA B32796
Source:
Crexi
Added: Aug 20
Changed: Aug 29
Last Checked: Aug 29 at 11:38PM
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 Hunziker & Associates Inc Realtors Ames
Investment Insights
Based on property information with market context.
This 4,290-square-foot office building dates to 1964 and is arranged as four separate office spaces with common bathrooms. The brick exterior and 1,100 SF of currently unleased space provide a defined physical profile for an owner-user or investor evaluating office property. The site includes 28 parking spaces on a 20,260-square-foot lot.
Located in downtown Ames at 414 Northwestern Ave, the property is within walking distance of restaurants, retail businesses, and professional services. DSC zoning is identified for the site.
Located in downtown Ames at 414 Northwestern Ave, the property is within walking distance of restaurants, retail businesses, and professional services. DSC zoning is identified for the site.
Key Highlights
- 4,290‑square‑foot office building built in 1964
- Four separate office spaces with common bathrooms
- 1,100 SF of currently unleased space
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
$46,911
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
7.22%
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%
$938,220
$938.2K
Cap Rate 7%
$670,157
$670.2K
Cap Rate 9%
$521,233
$521.2K
Market Conditions
NOI Build-Up for 4,290 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
$77.2K $18.00/SF
− Vacancy
−$14.7K −$3.42/SF
EGI
$62.5K $14.58/SF
− OpEx
−$15.6K −$3.65/SF
NOI
$46.9K $10.94/SF
Area
Story County, IA
Vacancy
19.00%
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%
$938,220
Cap Rate 7%
$670,157
Cap Rate 9%
$521,233
Alternative Uses
Best Use
Office B
$670.2K
$586.4K – $781.9K
NOI $46,911 @ 7.0% cap · market cap 7.22%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.00M
$877.2K – $1.17M
NOI $70,178 @ 7.0% cap · market cap 10.80%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,852
Businesses Nearby
Explore this area
Business Placement
Demographics for 50010, IA
32,552
Population
14,732
Households
2.2
Avg Household Size
30
Median Age
59%
College-Educated
98%
High-School Grad
60.3 sq mi
ZIP Area
540
Density / Sq Mi
$65,701
Median Household Income
$27,672
Median Earnings
$981
Median Rent
$243,200
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 building - Four separate office areas serve a downtown Ames property with shared bathrooms and on-site parking.
Where is this office building located?
The property is located at 414 NORTHWESTERN AVE Ames, IA.
What is the asking price?
The asking price for this property is $650,000.
What are key features of this property?
This property features: 4,290‑square‑foot office building built in 1964; Four separate office spaces with common bathrooms; 1,100 SF of currently unleased space
