Barn-Style Retail and Office
For Sale
$950,000
495 Miller Road, Hiawatha, IA 52233
Warm post-and-beam building with lofted ceiling and a full commercial kitchen, plus excess land for possible expansion or split.
Property Size2,870 SF
Price / SF$331.01
Days on Market230
Property Features for 495 Miller Road
General Information
Standard status
Active
Size
2,870 SF
Property subtype
Commercial
Lease Term
[]
Building Details
Year Built
2008
Listing Agency:
Realty87
Listed By:
Mike Esker · License #B41939000
(319) 929-0600
Source:
Cbhrealty
Added: Jan 17
Changed: Sep 3
Last Checked: Sep 2 at 11:38AM
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 Realty87
Investment Insights
Based on property information with market context.
A distinctive barn-style commercial building featuring rough sawn timbers, exposed post-and-beam frames, a breathtaking lofted ceiling, and two cupolas. The property includes two stone fireplaces and customized windows, along with a front porch. Interior configuration offers 2,535 square feet on the main floor and 335 square feet in the loft/mezzanine.
For food service or production needs, the building includes a commercial kitchen with hood, a large island, two stainless refrigerators, and a dishwasher. Additional amenities include a large walk-in cooler with glass doors, and a backroom with a 3-compartment sink and storage shelving and counters designed with timber and a galvanized coating.
The property is for sale with ownership retiring; the sale does not include the business, name, inventory, or FFE, though the owner would consider selling those separately. The offering includes more than 2 acres, with excess land available for potential building expansion or sale to another party, subject to City approval of a land split.
For food service or production needs, the building includes a commercial kitchen with hood, a large island, two stainless refrigerators, and a dishwasher. Additional amenities include a large walk-in cooler with glass doors, and a backroom with a 3-compartment sink and storage shelving and counters designed with timber and a galvanized coating.
The property is for sale with ownership retiring; the sale does not include the business, name, inventory, or FFE, though the owner would consider selling those separately. The offering includes more than 2 acres, with excess land available for potential building expansion or sale to another party, subject to City approval of a land split.
Key Highlights
- Barn‑style post‑and‑beam building built in 2008 with rough sawn timbers and lofted ceiling
- 2,535 SF main floor plus 335 SF loft/mezzanine (2,870 total SF)
- Includes commercial kitchen with hood, large island, 2 stainless refrigerators, and dishwasher
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
$27,138
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
2.86%
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%
$542,760
$542.8K
Cap Rate 7%
$387,686
$387.7K
Cap Rate 9%
$301,533
$301.5K
Market Conditions
NOI Build-Up for 2,870 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
$42.0K $14.64/SF
− Vacancy
−$3.2K −$1.13/SF
EGI
$38.8K $13.51/SF
− OpEx
−$11.6K −$4.05/SF
NOI
$27.1K $9.46/SF
Area
Linn County, IA
Vacancy
7.73%
Lease Rate
$14.64 /SF/Yr
Expense Ratio
30.00%
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%
$542,760
Cap Rate 7%
$387,686
Cap Rate 9%
$301,533
Alternative Uses
Best Use
Retail
$387.7K
$339.2K – $452.3K
NOI $27,138 @ 7.0% cap · market cap 2.86%
Second Best
—
—
no second resolved use
Theoretical Best
Self Storage
$483.0K
$422.6K – $563.5K
NOI $33,811 @ 7.0% cap · market cap 3.56%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
631
Businesses Nearby
Explore this area
Business Placement
Demographics for 52233, IA
7,091
Population
3,123
Households
2.3
Avg Household Size
39
Median Age
31%
College-Educated
97%
High-School Grad
3.9 sq mi
ZIP Area
1,818
Density / Sq Mi
$66,497
Median Household Income
$44,111
Median Earnings
$846
Median Rent
$200,500
Median Home Value
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?
Retail space - Warm post-and-beam building with lofted ceiling and a full commercial kitchen, plus excess land for possible expansion or split.
Where is this retail space located?
The property is located at 495 Miller Road Hiawatha, IA.
What is the asking price?
The asking price for this property is $950,000.
What are key features of this property?
This property features: Barn‑style post‑and‑beam building built in 2008 with rough sawn timbers and lofted ceiling; 2,535 SF main floor plus 335 SF loft/mezzanine (2,870 total SF); Includes commercial kitchen with hood, large island, 2 stainless refrigerators, and dishwasher
