Cedar Valley Commercial Real Estate Market Sees Strong Q3 Sales Activity Across All Sectors lead by Crossroads Mall Sale

WATERLOO & CEDAR FALLS, IOWA – Q3 2025 — The Cedar Valley commercial real estate market continued to show momentum in the third quarter, with robust sales activity across retail, office, and industrial sectors. According to recent market data, average sale prices per square foot in Q3 reached:

• Office: $102.57/SF

• Retail: $140.72/SF

• Industrial: $75.80/SF

These figures highlight ongoing confidence from both local and regional investors in the Waterloo–Cedar Falls market.

Retail Sector Leads the Way with crossroads mall sale

Retail assets led Q3 performance, highlighted by the sale of Crossroads Mall in Waterloo for more than $7.25 million. This major transaction underscores investor optimism in repurposing and repositioning legacy retail properties in high-traffic corridors.

In Cedar Falls, two downtown retail properties on Main Street and 1st Street sold for $730,000 and $405,000, respectively. These sales reinforce the strength and stability of Cedar Falls’ downtown corridor and the continued demand for walkable, community-focused commercial spaces.

Industrial Sector Remains a Core Investment Driver

Industrial properties continue to be a key focus for both investors and end-users. One of the most notable Q3 transactions was VGM’s sale of its industrial buildings in South Waterloo, a move that reflects the ongoing realignment of local industrial portfolios and the growing appetite for functional warehouse and distribution space.

With industrial sale prices averaging $75.80/SF, the sector remains an attractive option for businesses looking to expand in a centrally located, logistics-friendly region.

Office Market Sees Government and Medical Activity

The office segment saw a resurgence in activity during Q3, led by the City of Waterloo’s purchase of 100 E. Fourth Street—a key downtown property acquisition that aligns with the city’s broader revitalization efforts.

Other notable transactions included the sale of the historic Blacks Building at 501 Sycamore St and multiple medical office building sales in South Waterloo, including 315 E. San Marnan Drive and 945 Tower Park Drive. These transactions highlight continued confidence in specialized office space, particularly within the healthcare and professional sectors.

Market Outlook

With sale prices trending upward across all sectors and multiple high-profile transactions signaling strong investor interest, the Waterloo–Cedar Falls commercial market remains one of the most active mid-sized metros in Iowa. Local redevelopment projects, infrastructure improvements, and ongoing business expansion continue to strengthen fundamentals heading into Q4 2025.

About Jared Hottle Real Estate

Jared Hottle, part of Berkshire Hathaway HomeServices One Realty Centre, specializes in commercial and investment property sales, development, and leasing throughout the Cedar Valley. With deep local knowledge and national exposure, the team connects investors, developers, and business owners with opportunities that drive growth and community impact.

📞 Contact:Jared Hottle📍 Waterloo & Cedar Falls, IA🌐 www.HottleRealEstate.com