Properties For Sale

at 7180 Hickman Rd Contact us

Orthodontic Office for Lease

Floor

1

Size

2,930 SF

Type

OFFICE

Lease Type

NNN

Availability

AVAILABLE

Sublease

No

This former orthodontics office features multiple operatories, a dedicated lab area,... private offices, and an implant workroom. The layout is ideal for medical or dental use and the property has direct frontage to Hickman Road. Property Details + Tenant Improvement Allowance: Negotiable + Large Parking Lot − 26 parking stalls in main lot − Five additional staff parking stalls on south edge of property + Centrally located in Great DSM Metro with convenient access to interstates + Surrounded by nearby restaurant and retail amenities

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Listing Agency: CBRE Show Phone

Listed By: Bill Wright · License #S33231000 Show Phone

Source: Moodyscre

Added: Oct 26, 2022 Changed: Sep 5 Last Checked: Sep 13 at 7:06AM

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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 is a single tenant NNN property with an established orthodontic practice that has been in the location for over 20 years. The property is located in the underserved Windsor Heights community. The property is suitable for medical use.

Key Highlights

• Rare single tenant NNN opportunity
• Established orthodontic practice
• Medical tenant with over 20 years in the location

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

$43,217

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

4.12%

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%

$864,340 $864.3K

Cap Rate 7%

$617,386 $617.4K

Cap Rate 9%

$480,189 $480.2K

Market Conditions

NOI Build-Up for 3,280 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

$72.0K $21.96/SF

− Vacancy

−$14.4K −$4.39/SF

EGI

$57.6K $17.57/SF

− OpEx

−$14.4K −$4.39/SF

NOI

$43.2K $13.18/SF

Area

Polk County, IA

Vacancy

20.00%

Lease Rate

$21.96 /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%

$864,340

Cap Rate 7%

$617,386

Cap Rate 9%

$480,189

Alternative Uses

Best Use

Office B

$617.4K

$540.2K – $720.3K (±1% cap)

NOI $43,217 @ 7.0% cap · market cap 4.12%

Second Best

Healthcare Medical

$519.8K

$454.9K – $606.5K (±1% cap)

NOI $36,389 @ 7.0% cap · market cap 3.47%

Theoretical Best

Flex RnD

$3.16M

$2.76M – $3.68M (±1% cap)

NOI $221,020 @ 7.0% cap · market cap 21.05%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

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Current Use

Medical Office Space

Suggested Use

Top Pick Building Supply Restaurant Auto Parts Store Auto Repair Shop HVAC Service Garden Center

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

823

Businesses Nearby

Under-served

Demand for This Use

Explore this area Business Placement

Market

Vacancy Rate% for Office in Midwest region

13.7% 2019

15.6% 2020

17.1% 2021

18.9% 2022

21% 2023

22% 2024

21.3% 2025

Questions? Ask Rey

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What type of property is this? Where is this medical office space located? What is the asking price? Find similar properties What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Medical Office Space - Single tenant NNN property with established medical tenant.

Where is this medical office space located?

The property is located at 7180 Hickman Rd Windsor Heights, IA.

What is the asking price?

The asking price for this property is $1,050,000.

What are key features of this property?

This property features: Rare single tenant NNN opportunity; Established orthodontic practice; Medical tenant with over 20 years in the location