Flex Space with Office and
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 Market595
Property Features for 1225 E Washington Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
INDUS
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) 955-9489
Added: Jan 2, 2025
Changed: Aug 20
Last Checked: Aug 20 at 7:06PM
MLS# 12263606
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.
Flex space on a 3.8-acre site featuring 26,000 square feet of two-story corporate office space and an additional 10,000 square feet of warehouse space. The building includes 1 indoor dock and 1 drive-in door, supporting practical loading and receiving for warehouse-oriented operations.
Built in 2003 and zoned INDUS, the property is equipped with central air. The layout also offers the possibility to be turned back into 30,000 square feet of open industrial space, depending on operating needs.
While the current configuration combines corporate office and warehouse uses, the building’s structure and loading features provide flexibility for users seeking a multi-component space within an INDUS zoning designation.
Built in 2003 and zoned INDUS, the property is equipped with central air. The layout also offers the possibility to be turned back into 30,000 square feet of open industrial space, depending on operating needs.
While the current configuration combines corporate office and warehouse uses, the building’s structure and loading features provide flexibility for users seeking a multi-component space within an INDUS zoning designation.
Key Highlights
- 26,000 square feet two‑story corporate office with 10,000 square feet of warehouse space
- Zoned INDUS
- 1 indoor dock and 1 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
Warehouse
$4.67M
$4.09M – $5.45M
NOI $326,832 @ 7.0% cap · market cap 8.38%
Second Best
Flex RnD
$4.24M
$3.71M – $4.95M
NOI $296,899 @ 7.0% cap · market cap 7.61%
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
Property Profile
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
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Flex space zoned INDUS with central air and a mix of office and warehouse space plus loading via dock and drive-in door.
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 two‑story corporate office with 10,000 square feet of warehouse space; Zoned INDUS; 1 indoor dock and 1 drive‑in door
