River North Three-Story Office
For Sale
Contact for pricing
158 W Erie St, Chicago, IL 60654
Historic 7,100 SF building in the heart of River North.
Property Size7,100 SF
Price / SF$352.11
Days on Market216
Property Features for 158 W Erie St
General Information
Standard status
Active
Size
7,100 SF
Class
B
Property subtype
Mixed Use, Office, Retail
Zoning
DX-7
Building Details
Stories
3
Tenancy
Multi
Listing Agency:
CBRE - Chicago
(913) 909-9529
Listed By:
Dominic Soltero · License #IL 475.153308
Source:
Crexi
Added: Jan 9
Changed: Aug 8
Last Checked: Jul 23 at 12:56PM
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 CBRE - Chicago
Investment Insights
Based on property information with market context.
Located in the River North neighborhood of Chicago, Illinois, 158 West Erie is a three-story office building offering 7,100 square feet of space. This historic property, originally constructed as a 3-bay horse-drawn fire engine station, features approximately 2,367 square feet per floor. The entire building is available for sale and can be delivered in shell or vanilla box condition. The building includes a full basement and elevator service to all floors, as well as abundant power. The property is located within a six-minute walk of both the Merchandise Mart and Chicago 'L' stops. The Ohio feeder ramp is two blocks west of the property, providing access to I-290, I-90, and I-94. The River North location and proximity to public transit and major highways make this property suitable for office, retail, medical, or entertainment uses.
Key Highlights
- Prime River North location in a vibrant live, work, play neighborhood.
- Exceptional transit access: close proximity to Merchandise Mart and Chicago 'L' stops, and Ohio feeder ramp for major highways (I‑290, I‑90, I‑94).
- Historic, iconic three‑story building with approximately 7,100 SF of space.
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
$152,338
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
6.09%
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%
$3,046,760
$3.0M
Cap Rate 7%
$2,176,257
$2.2M
Cap Rate 9%
$1,692,644
$1.7M
Market Conditions
NOI Build-Up for 7,100 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
$272.6K $38.40/SF
− Vacancy
−$69.5K −$9.79/SF
EGI
$203.1K $28.61/SF
− OpEx
−$50.8K −$7.15/SF
NOI
$152.3K $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%
$3,046,760
Cap Rate 7%
$2,176,257
Cap Rate 9%
$1,692,644
Alternative Uses
Best Use
Office B
$2.18M
$1.90M – $2.54M
NOI $152,338 @ 7.0% cap · market cap 6.09%
Second Best
Mixed Use
$1.71M
$1.50M – $2.00M
NOI $119,813 @ 7.0% cap · market cap 4.79%
Theoretical Best
Office A
$3.35M
$2.93M – $3.91M
NOI $234,334 @ 7.0% cap · market cap 9.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
28,625
Businesses Nearby
Explore this area
Business Placement
Demographics for 60654, IL
23,890
Population
17,960
Households
1.3
Avg Household Size
34
Median Age
92%
College-Educated
99%
High-School Grad
0.5 sq mi
ZIP Area
47,780
Density / Sq Mi
$144,831
Median Household Income
$106,856
Median Earnings
$2,571
Median Rent
$495,900
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 - Historic 7,100 SF building in the heart of River North.
Where is this mixed-use property located?
The property is located at 158 W Erie St Chicago, IL.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: Prime River North location in a vibrant live, work, play neighborhood.; Exceptional transit access: close proximity to Merchandise Mart and Chicago 'L' stops, and Ohio feeder ramp for major highways (I‑290, I‑90, I‑94).; Historic, iconic three‑story building with approximately 7,100 SF of space.
