Industrial Warehouse with Drive-In
For Sale
$1,750,000
2419 S Michigan Ave., Chicago, IL 60616
Stand-alone industrial warehouse with 18' clear height, clear-span interior, and a 64' frontage on Michigan Avenue.
Property Size10,774 SF
Lot Size0.47 Acres
Price / SF$162.43
Days on Market82
Property Features for 2419 S Michigan Ave.
General Information
Standard status
Active
Size
10,774 SF
Total Parking Spaces
25
Lot size
0.47 Acres
Property subtype
Industrial
Zoning
DS-5
Site & Location
Traffic Count
103,700 vehicles/day
Highway Access
Yes
Road Access
Yes
Warehouse & Industrial
Clear Height
18 ft
Drive-In Doors
1
Additional Details
Opportunity Zone
Yes
Building Details
Building Size
10,774 SF
Listing Agency:
Cawley Chicago
(312) 208-1561
Listed By:
Frank H. Melchert V · License #IL 475159036
(312) 208-1561
Source:
Cawleycre
Added: Jun 2
Changed: Aug 22
Last Checked: Aug 22 at 4:46AM
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 Cawley Chicago
Investment Insights
Based on property information with market context.
A stand-alone industrial warehouse/distribution facility offering approximately 10,774 sq. ft. of clear-span space with an 18' clear ceiling height and no columns. The building is supported by one drive-in door/loading point and includes 25 off-street parking spaces. The property sits on approximately 20,294 sq. ft. of land and is zoned DS-5 (Downtown Service).
The site features 64' of frontage on Michigan Avenue and is described as having visibility from I-55 (Stevenson) Expressway. The public remarks also note immediate access to expressways and major transportation corridors, along with nearby public transit options including CTA rail and bus and Metra service.
The listing includes parcel information for multiple segments and identifies the property as located in the Chicago 3rd Ward, with listed 2024 property taxes of $96,668.
The site features 64' of frontage on Michigan Avenue and is described as having visibility from I-55 (Stevenson) Expressway. The public remarks also note immediate access to expressways and major transportation corridors, along with nearby public transit options including CTA rail and bus and Metra service.
The listing includes parcel information for multiple segments and identifies the property as located in the Chicago 3rd Ward, with listed 2024 property taxes of $96,668.
Key Highlights
- 10,774 SF stand‑alone industrial/warehouse building on approx. 20,294 SF land
- DS (Downtown Service) zoning with 64' frontage on Michigan Avenue
- 18' clear ceiling height with clear‑span layout and no columns
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
$81,609
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
4.66%
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%
$1,632,180
$1.6M
Cap Rate 7%
$1,165,843
$1.2M
Cap Rate 9%
$906,767
$906.8K
Market Conditions
NOI Build-Up for 10,774 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
$101.6K $9.43/SF
− Vacancy
−$5.6K −$0.52/SF
EGI
$96.0K $8.91/SF
− OpEx
−$14.4K −$1.34/SF
NOI
$81.6K $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%
$1,632,180
Cap Rate 7%
$1,165,843
Cap Rate 9%
$906,767
Alternative Uses
Best Use
Warehouse
$1.17M
$1.02M – $1.36M
NOI $81,609 @ 7.0% cap · market cap 4.66%
Second Best
Industrial
$965.2K
$844.5K – $1.13M
NOI $67,563 @ 7.0% cap · market cap 3.86%
Theoretical Best
Office A
$5.08M
$4.44M – $5.93M
NOI $355,594 @ 7.0% cap · market cap 20.32%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
18 ft
Clear height
1
Drive-in doors
103,700 VPD
Traffic count
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
3,275
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 60616, IL
54,013
Population
26,912
Households
2
Avg Household Size
38
Median Age
53%
College-Educated
86%
High-School Grad
3.8 sq mi
ZIP Area
14,214
Density / Sq Mi
$77,841
Median Household Income
$53,415
Median Earnings
$1,329
Median Rent
$387,300
Median Home Value
Market
Vacancy Rate% for Industrial in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - Stand-alone industrial warehouse with 18' clear height, clear-span interior, and a 64' frontage on Michigan Avenue.
Where is this warehouse located?
The property is located at 2419 S Michigan Ave. Chicago, IL.
What is the asking price?
The asking price for this property is $1,750,000.
What are key features of this property?
This property features: 10,774 SF stand‑alone industrial/warehouse building on approx. 20,294 SF land; DS (Downtown Service) zoning with 64' frontage on Michigan Avenue; 18' clear ceiling height with clear‑span layout and no columns
