Three-Level Mixed-Use
For Sale
$4,250,000
2241 South Wabash Avenue, Chicago, IL 60616
Versatile commercial property with office, retail, garage, warehouse, and basement areas across a multi-level layout.
Property Size11,520 SF
Price / SF$368.92
Days on Market2275
Property Features for 2241 South Wabash Avenue
General Information
Standard status
Active
Size
11,520 SF
Total Parking Spaces
19
Zoning
COMMR
Taxes and HOA fees
Annual Taxes
$236,726
Building Details
Year Built
1915
Stories
3
Listing Agency:
Century 21 S.G.R., Inc.
Listed By:
Myra Nimchaiyong · License #471018194
(773) 575-2779
Source:
Compass
Added: Jun 12, 2020
Changed: Sep 2
Last Checked: Sep 1 at 11:05PM
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 Century 21 S.G.R., Inc.
Investment Insights
Based on property information with market context.
This mixed-use commercial building provides approximately 39,900 square feet across three levels and a full basement, with about 10,000 square feet on each floor. The property combines office, retail, warehouse, garage, and storage areas. Upper-level improvements include glass-enclosed offices, conference rooms, private offices, open work areas, reception space, kitchen facilities, restrooms, and a kitchenette. The third floor also includes a skylit conference room. Timber ceilings reach 16 feet on the second and third floors, while the garage offers 17-foot clearance, a drive-in door, and 400-amp electrical service per floor. A freight elevator serves the building.
The main level includes front-facing retail or office space, a rear garage, warehouse area, and locker room. The basement provides full-height space for storage, equipment, or additional buildout. The property is situated in a TIF District and Opportunity Zone, near McCormick Place and the McCormick Place Green Line Station, with access to bus routes, Interstates 55 and 90, and Route 41-Lake Shore Drive.
The main level includes front-facing retail or office space, a rear garage, warehouse area, and locker room. The basement provides full-height space for storage, equipment, or additional buildout. The property is situated in a TIF District and Opportunity Zone, near McCormick Place and the McCormick Place Green Line Station, with access to bus routes, Interstates 55 and 90, and Route 41-Lake Shore Drive.
Key Highlights
- Approximately 39,900 square feet across three levels plus a full basement
- 16‑foot timber ceilings on the second and third floors; 17‑foot garage clearance
- 400‑amp electrical service per floor and a freight elevator
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
$247,173
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
5.82%
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%
$4,943,460
$4.9M
Cap Rate 7%
$3,531,043
$3.5M
Cap Rate 9%
$2,746,367
$2.7M
Market Conditions
NOI Build-Up for 11,520 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
$442.4K $38.40/SF
− Vacancy
−$112.8K −$9.79/SF
EGI
$329.6K $28.61/SF
− OpEx
−$82.4K −$7.15/SF
NOI
$247.2K $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%
$4,943,460
Cap Rate 7%
$3,531,043
Cap Rate 9%
$2,746,367
Alternative Uses
Best Use
Office B
$3.53M
$3.09M – $4.12M
NOI $247,173 @ 7.0% cap · market cap 5.82%
Second Best
Mixed Use
$2.78M
$2.43M – $3.24M
NOI $194,400 @ 7.0% cap · market cap 4.57%
Theoretical Best
Office A
$5.43M
$4.75M – $6.34M
NOI $380,215 @ 7.0% cap · market cap 8.95%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,404
Businesses Nearby
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 Office in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Versatile commercial property with office, retail, garage, warehouse, and basement areas across a multi-level layout.
Where is this mixed-use property located?
The property is located at 2241 South Wabash Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $4,250,000.
What are key features of this property?
This property features: Approximately 39,900 square feet across three levels plus a full basement; 16‑foot timber ceilings on the second and third floors; 17‑foot garage clearance; 400‑amp electrical service per floor and a freight elevator
