Corner Lot Retail and
For Sale
$400,000
1902 W Highway 50, O Fallon, IL 62269
B-1 zoned property with two two-bedroom rental units on a corner lot with highway frontage for signage visibility.
Property Size1,500 SF
Price / SF$266.67
Days on Market64
Property Features for 1902 W Highway 50
General Information
Standard status
Active
Size
1,500 SF
Property subtype
Commercial
Zoning
B-1
Site & Location
Traffic Count
19,500 vehicles/day
Highway Access
Yes
Road Access
Yes
Additional Details
Multifamily Units
2
Taxes and HOA fees
Annual Taxes
$3,471
Building Details
Year Built
1960
Buildings
1
Stories
2
Listing Agency:
Re/Max Alliance
(618) 604-1984
Listed By:
Jo Woodward · License #475116390
(618) 604-1984
Source:
Century21laclede
Added: Jun 23
Changed: Aug 23
Last Checked: Aug 25 at 8:11AM
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 Re/Max Alliance
Investment Insights
Based on property information with market context.
This property offers 1,500+ square feet and has been previously used as a multi-family investment with two (2) two-bedroom rental units. The site sits on a prominent corner lot with 75 feet of frontage on Highway 50 and 208 feet on Brookside, supporting signage opportunities.
The property is positioned in a high-traffic commercial corridor surrounded by retail and big-box stores. Public remarks also cite approximately 19,500 vehicles per day on Highway 50, with convenient access to the interstate.
Zoned B-1, the building presents flexibility for continued residential income use or conversion to a retail storefront or office setting, depending on the buyer’s intended plan.
The property is positioned in a high-traffic commercial corridor surrounded by retail and big-box stores. Public remarks also cite approximately 19,500 vehicles per day on Highway 50, with convenient access to the interstate.
Zoned B-1, the building presents flexibility for continued residential income use or conversion to a retail storefront or office setting, depending on the buyer’s intended plan.
Key Highlights
- B‑1 zoned commercial property with 1,500+ SF and two 2‑bedroom rental units previously used as a multi‑family investment.
- Corner lot with 75 ft frontage on Highway 50 and 208 ft on Brookside.
- 19,500 daily traffic count on Highway 50—suited for signage.
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
$12,370
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
3.09%
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%
$247,400
$247.4K
Cap Rate 7%
$176,714
$176.7K
Cap Rate 9%
$137,444
$137.4K
Market Conditions
NOI Build-Up for 1,500 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
$18.9K $12.60/SF
− Vacancy
−$1.2K −$0.82/SF
EGI
$17.7K $11.78/SF
− OpEx
−$5.3K −$3.53/SF
NOI
$12.4K $8.25/SF
Area
St. Clair County, IL
Vacancy
6.50%
Lease Rate
$12.60 /SF/Yr
Expense Ratio
30.00%
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%
$247,400
Cap Rate 7%
$176,714
Cap Rate 9%
$137,444
Alternative Uses
Best Use
Multifamily LT 5
$176.7K
$154.6K – $206.2K
NOI $12,370 @ 7.0% cap · market cap 3.09%
Second Best
Apartment 5plus
$159.2K
$139.3K – $185.7K
NOI $11,143 @ 7.0% cap · market cap 2.79%
Theoretical Best
Office A
$355.1K
$310.7K – $414.3K
NOI $24,857 @ 7.0% cap · market cap 6.21%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
19,500 VPD
Traffic count
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
592
Businesses Nearby
Explore this area
Business Placement
Demographics for 62269, IL
36,068
Population
14,616
Households
2.5
Avg Household Size
38
Median Age
51%
College-Educated
97%
High-School Grad
29.8 sq mi
ZIP Area
1,210
Density / Sq Mi
$100,167
Median Household Income
$58,724
Median Earnings
$1,258
Median Rent
$274,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Duplex - B-1 zoned property with two two-bedroom rental units on a corner lot with highway frontage for signage visibility.
Where is this duplex located?
The property is located at 1902 W Highway 50 O Fallon, IL.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: B‑1 zoned commercial property with 1,500+ SF and two 2‑bedroom rental units previously used as a multi‑family investment.; Corner lot with 75 ft frontage on Highway 50 and 208 ft on Brookside.; 19,500 daily traffic count on Highway 50—suited for signage.
