Modern mixed-use investment with long/short term rentals + real estate

Asking Price$3,750,000

Cash Flow
Not Disclosed

EBITDANot Disclosed

Gross RevenueNot Disclosed

InventoryNot Disclosed

FF&ENot Disclosed

Real Estate$3,750,000
Not included in asking price
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Modern mixed-use investment with long/short term rentals + real estate


Asking Price$3,750,000

Cash Flow
Not Disclosed

EBITDANot Disclosed

Gross RevenueNot Disclosed

InventoryNot Disclosed

FF&ENot Disclosed

Real Estate$3,750,000
Not included in asking price
Business Description
Acquisition opportunity for a fully renovated, premium mixed-use commercial and residential property located at 101-105 S. 3rd St, Knoxville, Iowa.1 Positioned in the heart of downtown Knoxville, the property presents a highly diversified, cash-flowing asset leveraging three distinct revenue engines: stabilized long-term residential rentals, high-yield short-term rentals (STRs), and a highly lucrative, scalable wedding and event venue opportunity. The property has recently undergone extensive capital improvements, featuring high-end, modern finishes throughout the residential units and commercial spaces. The commercial real estate asset spans multiple addresses from 101 to 105 S. 3rd Street in the vibrant downtown corridor of Knoxville, Iowa.1 Historically, the street-level commercial space has housed long-standing local businesses, providing a bedrock of community integration and foot traffic, such as Candi's Flowers which has operated in the Knoxville area since 1983. Recently, current ownership executed a strategic pivot to maximize the property's yield per square foot. By meticulously redesigning and completely renovating the upper floors into premium residential spaces, the building has been transformed into a modern, institutional-grade asset capable of capturing massive seasonal tourism spikes while maintaining baseline profitability through long-term leases.
About the Business
Currently Home Based
Yes
Facilities & Assets
Located at 101-105 S. 3rd St., the physical asset has been aggressively modernized to limit deferred maintenance for the acquiring entity.1 The building has been transformed with high-end, luxury finishes designed to appeal to both high-net-worth race fans and discerning wedding parties.
A forensic review of recent capital expenditures reveals substantial structural and aesthetic investments. This includes a major $112,908 allocation specifically directed to Ed Rankin for comprehensive construction and the installation of premium windows, contributing to total renovation costs that were north of $1M.2 These high-end upgrades not only elevate the aesthetic appeal—crucial for securing premium STR rates and high-end wedding bookings—but they dramatically improve the building's energy efficiency, thereby expanding Net Operating Income margins.
Market Outlook / Competition
To maximize the capitalization rate, the new ownership should deploy a dual-pronged digital marketing strategy. For the short-term rentals, distribution should be syndicated across Airbnb, VRBO, and direct-booking platforms, utilizing targeted SEO campaigns focused on keywords like "Knoxville Nationals lodging" and "Sprint Car VIP rentals."
For the wedding venue operations, marketing must pivot toward the $63.95 billion U.S. wedding industry. Utilizing visually driven platforms such as The Knot, WeddingWire, Instagram, and Pinterest will directly target newly engaged couples. Attending regional bridal expos in Des Moines and partnering with local vendors (caterers, photographers, and local florists like Candi's Flowers) will establish a robust, organic referral pipeline.
Opportunities for Growth
The integration of a dedicated wedding venue represents the most explosive growth catalyst for the property. The U.S. Wedding Services Market is immense, valued at $62.45 billion in 2025, and is projected to reach $85.36 billion by 2031 (a 5.95% CAGR) or up to $95.35 billion by 2030. In the state of Iowa alone, total wedding sales are projected to reach $523,915,724 in 2025.
The venue itself is the single largest budget category for a couple, capturing 24% to 40% of the total wedding spend. With the average U.S. wedding costing between $34,000 and $36,000, couples are directing $8,500 to $14,300 per event solely to venue rentals. By combining the venue rental fee with mandatory in-house bar packages and leveraging the upstairs high-end short-term rentals as bridal suites and family lodging, the property can capture an outsized share of the wedding budget, driving the potential Cap Rate toward the 9.99% projection.
Real Estate
Owned or Leased
Owned
Not included in asking price
Building Sq. Ft.
12,000
About the Sale
Seller Motivation
Retirement
Transition Support
Seller will provide up to 30 days of comprehensive post-closing training and transition support to ensure a smooth ownership transfer.
Listing Info
ID
2527963
Listing Views
12
Business Location

Contact Seller

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Business Listed by: LegacyOne Brokers Legacy One Business Brokers

Listing ID: 2527963 The information on this listing has been provided by either the seller or a business broker representing the seller. BizQuest has no interest or stake in the sale of this business and has not verified any of the information and assumes no responsibility for its accuracy, veracity, or completeness. See our full Terms of Use. Learn how to avoid scams.


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