Flex Space with Warehouse
For Sale
$3,900,000
1225 E Washington Street, Joliet, IL 60433
Commercial Sale, Joliet, IL
Property Size26,000 SF
Lot Size3.80 Acres
Price / SF$150
Days on Market623
Property Features for 1225 E Washington Street
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning
COMMR
Directions
I-80 TO Briggs(N) to Washington (W)
Subdivision
Joliet
Standard status
Active
APN
3007142000180000
Lot size
3.80 Acres
Taxes and HOA fees
Tax Year
2022
Tax Annual Amount
35930
Utilities
Cooling system
Central Air, Zoned
Building Details
Year built
2003
Floors in Building
2
Listing Agency:
WEB VIDEO Realty
(815) 955-9489
Listed By:
Michael O'Donnell · License #471009539
(815) 458-0088
Added: Jan 2, 2025
Changed: Sep 13
Last Checked: Sep 17 at 3:06AM
MLS# 12263610
Copyright © 2026 Midwest Real Estate Data, LLC. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 2003 flex property combines a two-story corporate office component with warehouse space, creating a mixed office-industrial configuration. The property includes 26,000 square feet of office space and 10,000 square feet of warehouse space, along with one indoor dock and one drive-in door.
The improvements occupy a 3.8-acre site at 1225 E Washington Street in Joliet, Illinois. Existing warehouse access and the combination of office and industrial areas provide a foundation for commercial operations requiring both administrative and functional space.
The improvements occupy a 3.8-acre site at 1225 E Washington Street in Joliet, Illinois. Existing warehouse access and the combination of office and industrial areas provide a foundation for commercial operations requiring both administrative and functional space.
Key Highlights
- 26,000 square feet of two‑story corporate office space
- 10,000 square feet of warehouse space
- One indoor dock and one drive‑in door
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
$326,832
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
8.38%
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%
$6,536,640
$6.5M
Cap Rate 7%
$4,669,029
$4.7M
Cap Rate 9%
$3,631,467
$3.6M
Market Conditions
NOI Build-Up for 26,000 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
$405.6K $15.60/SF
− Vacancy
−$21.1K −$0.81/SF
EGI
$384.5K $14.79/SF
− OpEx
−$57.7K −$2.22/SF
NOI
$326.8K $12.57/SF
Area
Joliet, IL
Vacancy
5.20%
Lease Rate
$15.60 /SF/Yr
Expense Ratio
15.00%
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%
$6,536,640
Cap Rate 7%
$4,669,029
Cap Rate 9%
$3,631,467
Alternative Uses
Best Use
Office B
$5.62M
$4.91M – $6.55M
NOI $393,120 @ 7.0% cap · market cap 10.08%
Second Best
Warehouse
$4.67M
$4.09M – $5.45M
NOI $326,832 @ 7.0% cap · market cap 8.38%
Theoretical Best
Office A
$7.67M
$6.71M – $8.94M
NOI $536,640 @ 7.0% cap · market cap 13.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
1
Dock-high doors
1
Drive-in doors
Location Intelligence
Trade Area within ½ mile
247
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 60433, IL
16,526
Population
5,774
Households
2.9
Avg Household Size
37
Median Age
13%
College-Educated
79%
High-School Grad
13.6 sq mi
ZIP Area
1,215
Density / Sq Mi
$60,987
Median Household Income
$35,310
Median Earnings
$1,307
Median Rent
$167,800
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Midwest region
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Frequently Asked Questions
What type of property is this?
Flex space - Two-story office and warehouse improvements support a range of commercial configurations.
Where is this flex space located?
The property is located at 1225 E Washington Street Joliet, IL.
What is the asking price?
The asking price for this property is $3,900,000.
What are key features of this property?
This property features: 26,000 square feet of two‑story corporate office space; 10,000 square feet of warehouse space; One indoor dock and one drive‑in door
