Two-Story Mixed-Use
For Sale
$290,000
1637 Kemble Ave, South Bend, IN 46613
Convenience store occupies the main floor, with three additional rooms and residential quarters above.
Property Size2,394 SF
Price / SF$121.14
Days on Market172
Property Features for 1637 Kemble Ave
General Information
Standard status
Active
Size
2,394 SF
Property subtype
Multi-Family
Additional Details
Business Included
Yes
Road Access
Yes
Building Details
Year Built
1956
Buildings
2
Stories
2
Construction
brick
Listing Agency:
McKinnies Realty, LLC Elkhart
(574) 387-9959
Listed By:
Kavita Patel · License #RB22002108
Source:
Spencerchildersgroup
Added: Mar 13
Changed: Aug 29
Last Checked: Aug 30 at 7:14PM
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 McKinnies Realty, LLC Elkhart
Investment Insights
Based on property information with market context.
This approximately 2,394-square-foot mixed-use property combines a main-level grocery and convenience store with three additional rooms suited to office, storage, or expansion use. The two-story brick building was constructed in 1956 and is being offered in its current as-is condition.
The upper floor contains five bedrooms, a living room, an eat-in kitchen, and a full bathroom. A basement provides additional storage, while the property also includes a double-fenced lot and a recently updated detached two-car garage. Located at 1637 Kemble Avenue in South Bend, Indiana, the property sits on a corner within an active redevelopment area.
The upper floor contains five bedrooms, a living room, an eat-in kitchen, and a full bathroom. A basement provides additional storage, while the property also includes a double-fenced lot and a recently updated detached two-car garage. Located at 1637 Kemble Avenue in South Bend, Indiana, the property sits on a corner within an active redevelopment area.
Key Highlights
- Approximately 2,394 square feet of mixed‑use space
- Main‑level grocery and convenience store with 3 additional rooms
- Upper level includes 5 bedrooms, living room, eat‑in kitchen, and full bathroom
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
$26,515
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
9.14%
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%
$530,300
$530.3K
Cap Rate 7%
$378,786
$378.8K
Cap Rate 9%
$294,611
$294.6K
Market Conditions
NOI Build-Up for 2,394 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
$47.4K $19.80/SF
− Vacancy
−$5.0K −$2.08/SF
EGI
$42.4K $17.72/SF
− OpEx
−$15.9K −$6.65/SF
NOI
$26.5K $11.08/SF
Area
South Bend, IN
Vacancy
10.50%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
37.50%
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%
$530,300
Cap Rate 7%
$378,786
Cap Rate 9%
$294,611
Alternative Uses
Best Use
Specialty Retail
$393.9K
$344.7K – $459.6K
NOI $27,575 @ 7.0% cap · market cap 9.51%
Second Best
Mixed Use
$378.8K
$331.4K – $441.9K
NOI $26,515 @ 7.0% cap · market cap 9.14%
Theoretical Best
Office A
$605.7K
$530.0K – $706.6K
NOI $42,396 @ 7.0% cap · market cap 14.62%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
247
Businesses Nearby
895
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Home Improvements & Furnishings 100%
Ferguson
Home Improvements & Furnishings
895 visits/mo
0.3 miles
Demographics for 46613, IN
11,427
Population
4,758
Households
2.4
Avg Household Size
30
Median Age
13%
College-Educated
82%
High-School Grad
3.2 sq mi
ZIP Area
3,571
Density / Sq Mi
$41,625
Median Household Income
$23,984
Median Earnings
$991
Median Rent
$71,000
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Convenience store occupies the main floor, with three additional rooms and residential quarters above.
Where is this mixed-use property located?
The property is located at 1637 Kemble Ave South Bend, IN.
What is the asking price?
The asking price for this property is $290,000.
What are key features of this property?
This property features: Approximately 2,394 square feet of mixed‑use space; Main‑level grocery and convenience store with 3 additional rooms; Upper level includes 5 bedrooms, living room, eat‑in kitchen, and full bathroom
