Two-Level Industrial Warehouse & Event
For Sale
$2,400,000
3705 W Grand Avenue, Chicago, IL 60651
COMMERCIAL - Chicago, IL
Property Size20,000 SF
Lot Size0.50 Acres
Price / SF$120
Days on Market454
Property Features for 3705 W Grand Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
COMMR
Directions
From W Division St go North on W Grand to property
Subdivision
CHI - Humboldt Park
Standard status
Active
APN
16021300130000
Lot size
0.50 Acres
Taxes and HOA fees
Tax Year
2023
Tax Annual Amount
31752
Utilities
Cooling system
Central Air
Amenities
event space
bar
lounge
entertainment platforms
wellness and recreation facilities
bedrooms
kitchens
private relaxation areas
Building Details
Year built
1956
Floors in Building
2
Number of units
1
Building materials
Brick
Listing Agency:
eXp Realty
(888) 574-9405
Listed By:
Oscar Estrada · License #475195906
(888) 574-9405
Added: May 14, 2025
Changed: Aug 4
Last Checked: Aug 10 at 12:06AM
MLS# 12362666
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 two-level industrial warehouse totals 20,000 square feet, with approximately 5,000 square feet on the upper level. The ground floor offers a spacious warehouse environment with high ceilings and ample power capacity, and includes enclosed parking. An adjoining event space is built into the configuration and includes a bar, lounge areas, entertainment platforms, and facilities for wellness and recreation.
The upper level provides comfortable accommodations, including bedrooms, kitchens, and private relaxation areas, supporting extended stays or staff use. The property is listed under zoning described as COMMR.
The sale also includes an additional parking lot at 3732 W Division St (PIN# 16021300370000). The overall property configuration includes a fenced parking lot alongside the enclosed parking.
The upper level provides comfortable accommodations, including bedrooms, kitchens, and private relaxation areas, supporting extended stays or staff use. The property is listed under zoning described as COMMR.
The sale also includes an additional parking lot at 3732 W Division St (PIN# 16021300370000). The overall property configuration includes a fenced parking lot alongside the enclosed parking.
Key Highlights
- C2‑1 Zoning allows for diverse business uses, including retail, liquor stores, warehouses, and auto shops, plus residential above ground floor.
- 20,000 sq. ft. warehouse with 5,000 sq. ft. upstairs**, suitable for work/live, heavy industrial, or event space.
- Includes an event space with bar, lounge areas, and entertainment platforms.**
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
$151,493
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
6.31%
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%
$3,029,860
$3.0M
Cap Rate 7%
$2,164,186
$2.2M
Cap Rate 9%
$1,683,256
$1.7M
Market Conditions
NOI Build-Up for 20,000 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
$188.6K $9.43/SF
− Vacancy
−$10.4K −$0.52/SF
EGI
$178.2K $8.91/SF
− OpEx
−$26.7K −$1.34/SF
NOI
$151.5K $7.57/SF
Area
Chicago, IL
Vacancy
5.50%
Lease Rate
$9.43 /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%
$3,029,860
Cap Rate 7%
$2,164,186
Cap Rate 9%
$1,683,256
Alternative Uses
Best Use
Flex RnD
$3.30M
$2.89M – $3.85M
NOI $230,880 @ 7.0% cap · market cap 9.62%
Second Best
Warehouse
$2.16M
$1.89M – $2.52M
NOI $151,493 @ 7.0% cap · market cap 6.31%
Theoretical Best
Office A
$9.43M
$8.25M – $11.00M
NOI $660,096 @ 7.0% cap · market cap 27.50%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
1,546
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 60651, IL
62,819
Population
22,885
Households
2.7
Avg Household Size
36
Median Age
16%
College-Educated
77%
High-School Grad
3.5 sq mi
ZIP Area
17,948
Density / Sq Mi
$52,963
Median Household Income
$33,783
Median Earnings
$1,186
Median Rent
$262,700
Median Home Value
Market
Vacancy Rate% for Industrial in Chicago, IL
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Flex space - Two-level warehouse with enclosed and fenced parking, plus an adjoining event space and upper-level living accommodations.
Where is this flex space located?
The property is located at 3705 W Grand Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: C2‑1 Zoning allows for diverse business uses, including retail, liquor stores, warehouses, and auto shops, plus residential above ground floor.; 20,000 sq. ft. warehouse with 5,000 sq. ft. upstairs**, suitable for work/live, heavy industrial, or event space.; Includes an event space with bar, lounge areas, and entertainment platforms.**
