Spacious Warehouse in Bustling
For Sale
$1,400,000
Pending
3527 N Milwaukee Avenue, Chicago, IL 60641
7,145 SF warehouse with high ceilings and truck access.
Property Size7,145 SF
Lot Size0.21 Acres
Days on Market888
Property Features for 3527 N Milwaukee Avenue
General Information
Standard status
Pending
Size
7,145 SF
Lot size
0.21 Acres
Property subtype
Commercial/Industrial
Building Details
Year Built
1952
Listing Agency:
Baird & Warner
(847) 528-7090
Listed By:
Miguel Ruiz · License #475201700
(847) 528-7090
Source:
Exitrealty
Added: Mar 16, 2024
Changed: Jul 10
Last Checked: Jul 23 at 6:53AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Baird & Warner
Investment Insights
Based on property information with market context.
This property offers a unique opportunity with an approximately 9,000 square foot lot, featuring a 7,145 square foot one-story warehouse and an additional 2,084 square foot warehouse/storage facility. The larger warehouse includes high ceilings and two overhead doors, facilitating truck and van drive-through operations. It is equipped with one dock featuring a hydraulic lift, two separate offices, three bathrooms, and a large storage area located above the offices. Situated on a bustling commercial corridor in an ideal Chicago neighborhood, this property is suitable for various business needs, including brewery, distillery, warehouse, manufacturing, and automotive sales or repairs.
Key Highlights
- Large 7,145 sq ft one‑story warehouse with high ceilings and a separate 2,084 sq ft warehouse/storage facility on a nearly 9,000 sq ft lot.
- Equipped with 2 overhead doors for easy truck/van drive‑thru operations and 1 dock with hydraulic lift.
- Suitable for various business needs: Brewery, Distillery, Warehouse, Manufacturing, Automotive sales or repairs.
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
$54,121
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
3.87%
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%
$1,082,420
$1.1M
Cap Rate 7%
$773,157
$773.2K
Cap Rate 9%
$601,344
$601.3K
Market Conditions
NOI Build-Up for 7,145 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
$67.4K $9.43/SF
− Vacancy
−$3.7K −$0.52/SF
EGI
$63.7K $8.91/SF
− OpEx
−$9.6K −$1.34/SF
NOI
$54.1K $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%
$1,082,420
Cap Rate 7%
$773,157
Cap Rate 9%
$601,344
Alternative Uses
Best Use
Warehouse
$773.2K
$676.5K – $902.0K
NOI $54,121 @ 7.0% cap · market cap 3.87%
Second Best
Industrial
$640.1K
$560.1K – $746.8K
NOI $44,806 @ 7.0% cap · market cap 3.20%
Theoretical Best
Office A
$3.37M
$2.95M – $3.93M
NOI $235,819 @ 7.0% cap · market cap 16.84%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,677
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 60641, IL
69,354
Population
27,377
Households
2.5
Avg Household Size
37
Median Age
36%
College-Educated
85%
High-School Grad
4.0 sq mi
ZIP Area
17,339
Density / Sq Mi
$81,649
Median Household Income
$46,376
Median Earnings
$1,249
Median Rent
$373,200
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?
Warehouse - 7,145 SF warehouse with high ceilings and truck access.
Where is this warehouse located?
The property is located at 3527 N Milwaukee Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $1,400,000.
What are key features of this property?
This property features: Large 7,145 sq ft one‑story warehouse with high ceilings and a separate 2,084 sq ft warehouse/storage facility on a nearly 9,000 sq ft lot.; Equipped with 2 overhead doors for easy truck/van drive‑thru operations and 1 dock with hydraulic lift.; Suitable for various business needs: Brewery, Distillery, Warehouse, Manufacturing, Automotive sales or repairs.
