Restaurant Space on University
For Sale
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4570 University Ave, West Des Moines, IA
Turn-key restaurant space available for lease or sale.
Property Size6,916 SF
Lot Size1.68 Acres
Price / SF$344.85
Days on Market854
Property Features for 4570 University Ave
General Information
Standard status
Active
Size
6,916 SF
Lot size
1.68 Acres
Property subtype
RETAIL
Properties For Sale
at 4570 University Ave Contact us- Floor
- 1
- Size
- 6,916 SF
- Type
- RETAIL
- Lease Type
- NNN
- Availability
- AVAILABLE, Now
- Sublease
- No
Retail/Restaurant for Lease or Sale
Highly visible, 6,916 square foot standalone restaurant available for sale or lease...
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Listing Agency:
CBRE
(515) 210-3050
Listed By:
Bill Wright · License #S33231000
(515) 210-3050
Source:
Moodyscre
Added: Apr 10, 2024
Changed: Aug 8
Last Checked: Aug 8 at 12:26PM
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 CBRE
Investment Insights
Based on property information with market context.
This 6,916 square foot standalone restaurant is available for sale or lease. The property is located on University Avenue in West Des Moines, Iowa, a thoroughfare with a mix of businesses, restaurants, shopping centers, and residential areas. The property is fully equipped with fixtures and equipment, presenting a turn-key opportunity for restaurant owners.
Key Highlights
- Turn‑key restaurant opportunity with all fixtures and equipment included.
- High‑visibility location on University Avenue, a major thoroughfare.
- Standalone building with 6,916 square feet of 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
$88,231
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
3.70%
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%
$1,764,620
$1.8M
Cap Rate 7%
$1,260,443
$1.3M
Cap Rate 9%
$980,344
$980.3K
Market Conditions
NOI Build-Up for 6,916 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
$124.5K $18.00/SF
− Vacancy
−$6.8K −$0.99/SF
EGI
$117.6K $17.01/SF
− OpEx
−$29.4K −$4.25/SF
NOI
$88.2K $12.76/SF
Area
Polk County, IA
Vacancy
5.50%
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%
$1,764,620
Cap Rate 7%
$1,260,443
Cap Rate 9%
$980,344
Alternative Uses
Best Use
Specialty Retail
$1.26M
$1.10M – $1.47M
NOI $88,231 @ 7.0% cap · market cap 3.70%
Second Best
Retail
$911.3K
$797.4K – $1.06M
NOI $63,788 @ 7.0% cap · market cap 2.67%
Theoretical Best
Flex RnD
$6.66M
$5.83M – $7.77M
NOI $466,028 @ 7.0% cap · market cap 19.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,299
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Market
Vacancy Rate% for Retail 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?
Restaurant - Turn-key restaurant space available for lease or sale.
Where is this restaurant located?
The property is located at 4570 University Ave West Des Moines, IA.
What is the asking price?
The asking price for this property is $2,385,000.
What are key features of this property?
This property features: Turn‑key restaurant opportunity with all fixtures and equipment included.; High‑visibility location on University Avenue, a major thoroughfare.; Standalone building with 6,916 square feet of space.
