Six-Unit Brick Apartment
For Sale
$1,375,000
Pending
8649 W Foster Avenue, Chicago, IL 60656
Well-kept multifamily property with refreshed apartments and practical shared basement amenities.
Property Size6,864 SF
Days on Market9
Property Features for 8649 W Foster Avenue
General Information
Standard status
Pending
Size
6,864 SF
Property subtype
Commercial
Zoning
MULTI
Taxes and HOA fees
Annual Taxes
$13,714
Building Details
Building Size
6,864 SF
Year Built
1977
Stories
3
Units
6
Listing Agency:
Enterprise Realty Brokers Inc
(312) 780-9300
Listed By:
Velibor Popovic · License #475163375
Source:
Jjillrealtygroup
Added: Aug 23
Changed: Aug 30
Last Checked: Aug 30 at 10:19AM
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 Enterprise Realty Brokers Inc
Investment Insights
Based on property information with market context.
Built in 1977, this brick multifamily property contains six apartments, each configured with two bedrooms and 1.5 baths. Most units have been updated, and the building includes a full basement with shared laundry, individual storage cages, and an additional large room suitable for storage use. The property is zoned MULTI.
Basement laundry facilities include two washers and two dryers. The association is responsible for landscaping, parking, snow removal, and water. The building is located near a school and Forest Preserve, with access to the Blue Line, I-90, and O'Hare.
Basement laundry facilities include two washers and two dryers. The association is responsible for landscaping, parking, snow removal, and water. The building is located near a school and Forest Preserve, with access to the Blue Line, I-90, and O'Hare.
Key Highlights
- Six 2‑bedroom, 1.5‑bath units
- Brick building constructed in 1977
- Full basement with 2 washers and 2 dryers
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
$105,219
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
7.65%
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%
$2,104,380
$2.1M
Cap Rate 7%
$1,503,129
$1.5M
Cap Rate 9%
$1,169,100
$1.2M
Market Conditions
NOI Build-Up for 6,864 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
$201.8K $29.40/SF
− Vacancy
−$10.5K −$1.53/SF
EGI
$191.3K $27.87/SF
− OpEx
−$86.1K −$12.54/SF
NOI
$105.2K $15.33/SF
Area
Chicago, IL
Vacancy
5.20%
Lease Rate
$29.40 /SF/Yr
Expense Ratio
45.00%
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%
$2,104,380
Cap Rate 7%
$1,503,129
Cap Rate 9%
$1,169,100
Alternative Uses
Best Use
Apartment 5plus
$1.50M
$1.32M – $1.75M
NOI $105,219 @ 7.0% cap · market cap 7.65%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.24M
$2.83M – $3.78M
NOI $226,545 @ 7.0% cap · market cap 16.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
976
Businesses Nearby
Explore this area
Business Placement
Demographics for 60656, IL
28,474
Population
12,840
Households
2.2
Avg Household Size
40
Median Age
42%
College-Educated
92%
High-School Grad
3.2 sq mi
ZIP Area
8,898
Density / Sq Mi
$88,000
Median Household Income
$54,639
Median Earnings
$1,388
Median Rent
$344,400
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Well-kept multifamily property with refreshed apartments and practical shared basement amenities.
Where is this apartment building located?
The property is located at 8649 W Foster Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $1,375,000.
What are key features of this property?
This property features: Six 2‑bedroom, 1.5‑bath units; Brick building constructed in 1977; Full basement with 2 washers and 2 dryers
