Two-Story Flex
For Sale
$3,900,000
1225 E Washington Street, Joliet, IL 60433
Combines corporate office improvements with dedicated warehouse space and loading access.
Property Size36,500 SF
Price / SF$150
Days on Market604
Property Features for 1225 E Washington Street
General Information
Standard status
Active
Size
36,500 SF
Property subtype
Commercial
Zoning
COMMR
Warehouse & Industrial
Warehouse Space
10,000 SF
Dock-High Doors
1
Drive-In Doors
1
Taxes and HOA fees
Annual Taxes
$35,930
Building Details
Building Size
36,500 SF
Year Built
2003
Buildings
1
Stories
2
Listing Agency:
WEB VIDEO Realty
(815) 955-9489
Listed By:
Michael O'Donnell · License #471009539
(815) 955-9489
Source:
Ozmentrealestate
Added: Jan 2, 2025
Changed: Aug 28
Last Checked: Aug 28 at 8:53PM
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 WEB VIDEO Realty
Investment Insights
Based on property information with market context.
Built in 2003, this flex property at 1225 E Washington Street combines a two-story corporate office component with 10,000 square feet of warehouse area. The building includes one indoor dock and one drive-in door, supporting a mix of office and industrial functions.
The property contains 26,000 square feet of office space and warehouse improvements, with a layout described as capable of being converted to 30,000 square feet of open industrial space. Its Joliet location provides an established Will County setting for continued flex or industrial use.
The property contains 26,000 square feet of office space and warehouse improvements, with a layout described as capable of being converted to 30,000 square feet of open industrial space. Its Joliet location provides an established Will County setting for continued flex or industrial use.
Key Highlights
- 26,000 square feet of two‑story corporate office space
- 10,000 square feet of warehouse area
- 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
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 Office in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Alex's Taco's Truck — 1619 E Cass St #2774, Joliet, IL 60432
Frequently Asked Questions
What type of property is this?
Flex space - Combines corporate office improvements with dedicated warehouse space and loading access.
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 area; One indoor dock and one drive‑in door
