Historic Five-Story Mixed-Use
For Sale
$12,400,000
97 3rd Avenue SE, Cedar Rapids, IA 52401
Renovated in 2016 with apartments, commercial space, and interior parking.
Property Size94,760 SF
Price / SF$130.86
Days on Market374
Property Features for 97 3rd Avenue SE
General Information
Standard status
Active
Size
94,760 SF
Property subtype
Commercial
Zoning
U-DC
Taxes and HOA fees
Annual Taxes
$168,866
Amenities
Concrete,Wood
Yes
5
Display Window(s)
Building,Land
Public
0.66
28750
Off Street
Sprinkler/Irrigation
Building Details
Year Built
1904
Stories
5
Listing Agency:
Lepic-Kroeger, REALTORS
(319) 270-6253
Listed By:
Tatiana McClinton
(319) 270-6253
Source:
Pinnaclerealtyia
Added: Aug 22, 2025
Changed: Aug 29
Last Checked: Aug 29 at 3:24PM
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 Lepic-Kroeger, REALTORS
Investment Insights
Based on property information with market context.
This five-story mixed-use property combines 32 stabilized market-rate apartments with 61,500 square feet of redeveloped commercial space. The building totals 94,760 square feet and features brick, steel, and concrete construction. Renovations completed in 2016 included solar, high-efficiency HVAC, elevators, the roof, and windows. The commercial area is 65% occupied by long-term tenants, while the remaining space is finished and furnished.
Located on the riverfront in downtown Cedar Rapids, the property includes 48 interior parking stalls that provide additional income. Zoning is U-DC. Built in 1904, the building also offers display windows, public parking access, off-street parking, and sprinkler/irrigation features.
Located on the riverfront in downtown Cedar Rapids, the property includes 48 interior parking stalls that provide additional income. Zoning is U-DC. Built in 1904, the building also offers display windows, public parking access, off-street parking, and sprinkler/irrigation features.
Key Highlights
- 32 stabilized market‑rate apartments
- 61,500 SF of redeveloped commercial space, 65% occupied by long‑term tenants
- 94,760‑square‑foot five‑story building constructed in 1904
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
$802,025
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
6.47%
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%
$16,040,500
$16.0M
Cap Rate 7%
$11,457,500
$11.5M
Cap Rate 9%
$8,911,389
$8.9M
Market Conditions
NOI Build-Up for 94,760 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
$1.39M $14.64/SF
− Vacancy
−$104.0K −$1.10/SF
EGI
$1.28M $13.54/SF
− OpEx
−$481.2K −$5.08/SF
NOI
$802.0K $8.46/SF
Area
Cedar Rapids, IA
Vacancy
7.50%
Lease Rate
$14.64 /SF/Yr
Expense Ratio
37.50%
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%
$16,040,500
Cap Rate 7%
$11,457,500
Cap Rate 9%
$8,911,389
Alternative Uses
Best Use
Mixed Use
$11.46M
$10.03M – $13.37M
NOI $802,025 @ 7.0% cap · market cap 6.47%
Second Best
Apartment 5plus
$10.91M
$9.55M – $12.73M
NOI $763,633 @ 7.0% cap · market cap 6.16%
Theoretical Best
Specialty Retail
$13.71M
$12.00M – $16.00M
NOI $960,037 @ 7.0% cap · market cap 7.74%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,508
Businesses Nearby
Explore this area
Business Placement
Demographics for 52401, IA
2,320
Population
1,480
Households
1.6
Avg Household Size
35
Median Age
35%
College-Educated
89%
High-School Grad
1.2 sq mi
ZIP Area
1,933
Density / Sq Mi
$40,675
Median Household Income
$38,635
Median Earnings
$783
Median Rent
$143,800
Median Home Value
Market
Vacancy Rate% for Multifamily 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?
Mixed-use property - Renovated in 2016 with apartments, commercial space, and interior parking.
Where is this mixed-use property located?
The property is located at 97 3rd Avenue SE Cedar Rapids, IA.
What is the asking price?
The asking price for this property is $12,400,000.
What are key features of this property?
This property features: 32 stabilized market‑rate apartments; 61,500 SF of redeveloped commercial space, 65% occupied by long‑term tenants; 94,760‑square‑foot five‑story building constructed in 1904
