Warehouse and Office Flex
For Sale
Contact for pricing
5900 N 500th Ave, Ames, IA 50014
4.42-acre property with a 10,896 SF warehouse and office building, sold as-is with a short-term tenant option.
Property Size10,896 SF
Lot Size4.42 Acres
Price / SF$100.50
Days on Market197
Property Features for 5900 N 500th Ave
General Information
Standard status
Active
Size
10,896 SF
Lot size
4.42 Acres
Property subtype
Industrial, Land, Office
Zoning
Check P&Z
Building Details
Year Built
2014
Buildings
1
Stories
2
Tenancy
Single
Listing Agency:
J.R. Simplot Company
Listed By:
Paul Simpson · License #For Sale By Owner
Source:
Crexi
Added: Feb 20
Changed: Sep 3
Last Checked: Sep 4 at 2:59PM
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 J.R. Simplot Company
Investment Insights
Based on property information with market context.
This for-sale property is a combined warehouse and office flex building totaling 10,896 SF, situated on 4.42 acres. The offering is sold as-is. The property has a short-term tenant in place, who may remain or be removed at close of escrow.
The information provided notes that buyers should check with Planning and Zoning regarding their intended use.
The building is configured to support both warehouse space and office space within the same facility, offering a single-site arrangement for operations that require a mix of storage and administrative workspace.
The information provided notes that buyers should check with Planning and Zoning regarding their intended use.
The building is configured to support both warehouse space and office space within the same facility, offering a single-site arrangement for operations that require a mix of storage and administrative workspace.
Key Highlights
- 4.42‑acre property with a 10,896 SF warehouse and office building
- Built in 2014
- Sold as‑is
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
$56,609
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
5.17%
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%
$1,132,180
$1.1M
Cap Rate 7%
$808,700
$808.7K
Cap Rate 9%
$628,989
$629.0K
Market Conditions
NOI Build-Up for 10,896 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
$79.8K $7.32/SF
− Vacancy
−$13.2K −$1.21/SF
EGI
$66.6K $6.11/SF
− OpEx
−$10.0K −$0.92/SF
NOI
$56.6K $5.20/SF
Area
Story County, IA
Vacancy
16.50%
Lease Rate
$7.32 /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%
$1,132,180
Cap Rate 7%
$808,700
Cap Rate 9%
$628,989
Alternative Uses
Best Use
Warehouse
$808.7K
$707.6K – $943.5K
NOI $56,609 @ 7.0% cap · market cap 5.17%
Second Best
Industrial
$748.1K
$654.6K – $872.8K
NOI $52,370 @ 7.0% cap · market cap 4.78%
Theoretical Best
Office A
$2.55M
$2.23M – $2.97M
NOI $178,241 @ 7.0% cap · market cap 16.28%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
3
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 50014, IA
31,587
Population
14,860
Households
2.1
Avg Household Size
26
Median Age
69%
College-Educated
98%
High-School Grad
54.2 sq mi
ZIP Area
583
Density / Sq Mi
$57,372
Median Household Income
$20,952
Median Earnings
$1,083
Median Rent
$312,700
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - 4.42-acre property with a 10,896 SF warehouse and office building, sold as-is with a short-term tenant option.
Where is this flex space located?
The property is located at 5900 N 500th Ave Ames, IA.
What is the asking price?
The asking price for this property is $1,095,000.
What are key features of this property?
This property features: 4.42‑acre property with a 10,896 SF warehouse and office building; Built in 2014; Sold as‑is
