Mixed-Use Building with
For Sale
$4,950,000
1219 W Madison St, Chicago, IL 60607
ADA-compliant steel-frame property combines customizable commercial space, private parking, and an unoccupied luxury residence.
Property Size8,000 SF
Price / SF$618.75
Days on Market25
Property Features for 1219 W Madison St
General Information
Standard status
Active
Size
8,000 SF
Total Parking Spaces
9
Elevators
Yes
Amenities
private courtyard/patio
Building Details
Year Built
2004
Buildings
1
Construction
steel frame
Listing Agency:
@properties Christie's International Real Estate
(773) 517-1323
Listed By:
Jovanka Corazzina · License #475179166
Source:
Bktchicago
Added: Aug 7
Changed: Aug 29
Last Checked: Aug 30 at 6:57PM
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 @properties Christie's International Real Estate
Investment Insights
Based on property information with market context.
Built in 2004, this ADA-compliant steel-frame mixed-use property combines approximately 4,000 square feet of commercial space with 17.5-foot ceilings, a 4,000-square-foot lower level, and a private courtyard or patio. Nine secured on-site parking spaces and a private elevator add functional support for the building’s commercial and residential components. The first level is described as suitable for corporate headquarters, showroom, medical or wellness practice, family office, creative studio, experiential retail, or other professional use.
Above, the never-occupied penthouse residence includes three bedrooms, three-and-a-half baths, 17.5-foot ceilings, designer finishes, smart-home technology, and an open-concept great room with a floor-to-ceiling book-matched marble fireplace. Additional residential features include a chef’s kitchen with a Taj Mahal quartzite island, a primary suite with radiant heated flooring, and a private terrace. The property is located on Madison Street in Chicago’s West Loop district on a double lot.
Above, the never-occupied penthouse residence includes three bedrooms, three-and-a-half baths, 17.5-foot ceilings, designer finishes, smart-home technology, and an open-concept great room with a floor-to-ceiling book-matched marble fireplace. Additional residential features include a chef’s kitchen with a Taj Mahal quartzite island, a primary suite with radiant heated flooring, and a private terrace. The property is located on Madison Street in Chicago’s West Loop district on a double lot.
Key Highlights
- Approximately 4,000 square feet of customizable commercial space with 17.5‑foot ceilings
- 4,000‑square‑foot lower level plus private courtyard or patio
- Never‑occupied penthouse with 3 bedrooms and 3.5 baths
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
$171,648
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
3.47%
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%
$3,432,960
$3.4M
Cap Rate 7%
$2,452,114
$2.5M
Cap Rate 9%
$1,907,200
$1.9M
Market Conditions
NOI Build-Up for 8,000 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
$307.2K $38.40/SF
− Vacancy
−$78.3K −$9.79/SF
EGI
$228.9K $28.61/SF
− OpEx
−$57.2K −$7.15/SF
NOI
$171.6K $21.46/SF
Area
Chicago, IL
Vacancy
25.50%
Lease Rate
$38.40 /SF/Yr
Expense Ratio
25.00%
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%
$3,432,960
Cap Rate 7%
$2,452,114
Cap Rate 9%
$1,907,200
Alternative Uses
Best Use
Office B
$2.45M
$2.15M – $2.86M
NOI $171,648 @ 7.0% cap · market cap 3.47%
Second Best
Mixed Use
$1.93M
$1.69M – $2.25M
NOI $135,000 @ 7.0% cap · market cap 2.73%
Theoretical Best
Office A
$3.77M
$3.30M – $4.40M
NOI $264,038 @ 7.0% cap · market cap 5.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
8,876
Businesses Nearby
Explore this area
Business Placement
Demographics for 60607, IL
31,816
Population
16,540
Households
1.9
Avg Household Size
31
Median Age
81%
College-Educated
97%
High-School Grad
2.3 sq mi
ZIP Area
13,833
Density / Sq Mi
$126,307
Median Household Income
$79,870
Median Earnings
$2,333
Median Rent
$494,300
Median Home Value
Market
Vacancy Rate% for Office in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - ADA-compliant steel-frame property combines customizable commercial space, private parking, and an unoccupied luxury residence.
Where is this mixed-use property located?
The property is located at 1219 W Madison St Chicago, IL.
What is the asking price?
The asking price for this property is $4,950,000.
What are key features of this property?
This property features: Approximately 4,000 square feet of customizable commercial space with 17.5‑foot ceilings; 4,000‑square‑foot lower level plus private courtyard or patio; Never‑occupied penthouse with 3 bedrooms and 3.5 baths
