Commercial Real Estate Market in Iowa City, IA
Updated monthly: sale, lease, property records, location trend, and more… · Last update: October 31
296 active listings and 2,254 off-market properties in Iowa City, IA. Commercial property asks $168/SF to buy and $14.00/SF/Yr to lease.
Market Trends
Iowa City, IA spans 181.4 square miles in Johnson County, Iowa. Figures below refresh monthly; last updated 31 October 2026.
Office
Office space in Iowa City, IA asks $19.86/SF/Yr to lease; the median asking sale price is $193/SF (based on 7 listings). Vacancy runs 21.3% across the Midwest region in 2025, up from 13.7% in 2019.
Retail
Retail space in Iowa City, IA asks $21.52/SF/Yr to lease; the median asking sale price is $191/SF (based on 4 listings). Vacancy runs 6.3% across the Midwest region in 2025, down from 8% in 2020.
Industrial
Industrial space in Iowa City, IA has a median asking sale price of $122/SF (based on 4 listings). Vacancy runs 4.9% across the Midwest region in 2025, up from 4.4% in 2019. Nearly 1.6x the 2022 low of 3.1%.
Multifamily
Multifamily space in Iowa City, IA has a median asking sale price of $199/SF. Vacancy runs 8% across the Midwest region in 2025, up from 6.5% in 2022.
Market overview
Demographics & Economy
Iowa City, IA has 106,903 residents in 48,189 households. Density runs 589 people per square mile. Median household income here is $62,131 and median gross rent $1,084 a month.
Tools
Lease vs Buy Breakeven
At $14.00/SF/Yr lease vs $168/SF buy → buying wins if held > 2 years.
At a 8.4% gross asking yield the payback reads short relative to leasing. Assumes 30% down at 6.5% fixed, 2% a year in taxes and upkeep, 3% appreciation, 5% opportunity cost, 2% closing plus 5% selling costs, and a 3% annual rent escalator.
Nearby Markets
| Market | Median Asking Price, $/SF | Median Asking Rent, $/SF/Yr |
|---|---|---|
| Coralville | $168 | $19.46 |
| Tiffin | $135 | $12.00 |
Commercial property in Iowa City, IA asks $168/SF. The 2 bordering markets run from $135/SF in Tiffin to $168/SF in Coralville, and the city sits above their $151/SF median.
Frequently Asked Questions
What is the median price per square foot for commercial property in Iowa City?
How much does it cost to lease commercial space in Iowa City?
Is it cheaper to lease or buy commercial space in Iowa City?
How does Iowa City compare to nearby markets on price?
Where does Realmo's Iowa City market data come from?
Methodology & data sources
- Asking prices and medians
- There are 92 active for-sale and 204 active for-lease listings in Iowa City, IA. The medians are based on 41 of the for-sale and 93 of the for-lease listings, those that state a price or rent per square foot. These are ASKING figures from live listings, not closed-transaction prices, and a figure resting on fewer than 10 listings says so where it is quoted.
- Vacancy rates
- Published per-sector market series, taken at the metro level where one exists and otherwise at the Census-region level — a chart reading "in <region> region" is a regional number, not this city's.
- Refresh
- The monthly aggregates close at the end of the previous month, so 31 October 2026 — not today — is the honest last update.
- Known limitations
- office vacancy is reported at Midwest region level, retail vacancy is reported at Midwest region level and industrial vacancy is reported at Midwest region level.
- Coverage
- Metrics below the 10-observation threshold fall back one geographic level. The geography used is named on each figure.
Compiled by the Realmo Data team · reviewed 31 October 2026 · How Realmo checks market page data · Report a data issue
