Two-Building Warehouse
For Sale
$1,900,000
17 Kemp Drive, Chatham, IL 62629
Two newly built steel warehouses offer varied ceiling heights, loading features, office space, and dedicated heating systems.
Property Size23,400 SF
Price / SF$81.20
Days on Market132
Property Features for 17 Kemp Drive
General Information
Standard status
Active
Size
23,400 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$1,993
Building Details
Building Size
23,400 SF
Year Built
2024
Buildings
2
Listing Agency:
The Real Estate Group, Inc.
(217) 741-0198
Listed By:
Bill Marriott · License #475116051
(217) 741-0198
Source:
Craggsrealtors
Added: Mar 31
Changed: Aug 9
Last Checked: Aug 9 at 11:00AM
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 The Real Estate Group, Inc.
Investment Insights
Based on property information with market context.
This warehouse property includes two ACREE Steel buildings completed in 2024, totaling 23,400 square feet. Each structure measures 11,700 square feet and includes a 20-foot overhead door. One building adds a 35-foot ceiling, man door, recessed dock, bathroom, and office area. The second has a 25-foot ceiling, man door, and plumbing stubbed for a bathroom.
Electrical service is 200 amp single phase, with 22,000-lumen lighting throughout the buildings. Heating is provided by radiant hanging heaters in one building and forced-air hanging heaters in the other. The property does not have air conditioning.
Electrical service is 200 amp single phase, with 22,000-lumen lighting throughout the buildings. Heating is provided by radiant hanging heaters in one building and forced-air hanging heaters in the other. The property does not have air conditioning.
Key Highlights
- Two ACREE Steel warehouse buildings completed in 2024
- 23,400 SF total; each building contains 11,700 SF
- Each building includes a 20‑foot overhead door
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
$133,470
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
7.02%
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%
$2,669,400
$2.7M
Cap Rate 7%
$1,906,714
$1.9M
Cap Rate 9%
$1,483,000
$1.5M
Market Conditions
NOI Build-Up for 23,400 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
$168.5K $7.20/SF
− Vacancy
−$11.5K −$0.49/SF
EGI
$157.0K $6.71/SF
− OpEx
−$23.6K −$1.01/SF
NOI
$133.5K $5.70/SF
Area
Sangamon County, IL
Vacancy
6.80%
Lease Rate
$7.20 /SF/Yr
Expense Ratio
15.00%
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%
$2,669,400
Cap Rate 7%
$1,906,714
Cap Rate 9%
$1,483,000
Alternative Uses
Best Use
Warehouse
$1.91M
$1.67M – $2.22M
NOI $133,470 @ 7.0% cap · market cap 7.02%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$5.17M
$4.52M – $6.03M
NOI $361,760 @ 7.0% cap · market cap 19.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
114
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 62629, IL
15,255
Population
6,160
Households
2.5
Avg Household Size
37
Median Age
50%
College-Educated
97%
High-School Grad
34.9 sq mi
ZIP Area
437
Density / Sq Mi
$106,373
Median Household Income
$60,951
Median Earnings
$1,159
Median Rent
$232,000
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Warehouse - Two newly built steel warehouses offer varied ceiling heights, loading features, office space, and dedicated heating systems.
Where is this warehouse located?
The property is located at 17 Kemp Drive Chatham, IL.
What is the asking price?
The asking price for this property is $1,900,000.
What are key features of this property?
This property features: Two ACREE Steel warehouse buildings completed in 2024; 23,400 SF total; each building contains 11,700 SF; Each building includes a 20‑foot overhead door
