Industrial Flex Property with Expansion
For Sale
$1,275,000
1940 South Elizabeth St Kokomo, Kokomo, IN 46902
Nearly 12,000 SF available in Kokomo for an owner-user or investor near a major manufacturing plant.
Property Size46,576 SF
Price / SF$106.25
Days on Market49
Property Features for 1940 South Elizabeth St Kokomo
General Information
Standard status
Active
Size
46,576 SF
Property subtype
Retail
Building Details
Building Size
46,576 SF
Listing Agency:
(440) 669-1109
Listed By:
Dan Lariccia
Source:
Passovgroup
Added: Jun 25
Changed: Aug 10
Last Checked: Aug 11 at 6:13AM
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 Dan Lariccia
Investment Insights
Based on property information with market context.
This industrial flex property presents an investment and owner-user mix, with existing tenancy that includes largest tenants recently executing long-term extensions. The current structure also includes built-in rental increases, supporting ongoing rent growth over time. In addition, nearly 12,000 SF is available, which can be used for additional income or for an owner-user seeking space within the same facility.
The property is located across the street from the 3,100,000 square foot Chrysler Transmission Plant. That proximity places the asset within an active industrial employment environment.
For tenants and owner-users, the availability of nearly 12,000 SF creates a straightforward path to occupy additional space while maintaining income from the remainder of the property. For investors, the combination of extended lease commitments from the largest tenants and built-in rental increases can be an important factor when evaluating durability of cash flow. The property’s flex orientation can support a range of industrial uses, while the near-term availability provides flexibility for whichever strategy is preferred.
The property is located across the street from the 3,100,000 square foot Chrysler Transmission Plant. That proximity places the asset within an active industrial employment environment.
For tenants and owner-users, the availability of nearly 12,000 SF creates a straightforward path to occupy additional space while maintaining income from the remainder of the property. For investors, the combination of extended lease commitments from the largest tenants and built-in rental increases can be an important factor when evaluating durability of cash flow. The property’s flex orientation can support a range of industrial uses, while the near-term availability provides flexibility for whichever strategy is preferred.
Key Highlights
- Nearly 12,000 SF available in Kokomo for an owner‑user or investor
- Property is across the street from the 3,100,000 SF Chrysler Transmission Plant
- Largest tenants recently executed long‑term extensions
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
$35,805
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
2.81%
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%
$716,100
$716.1K
Cap Rate 7%
$511,500
$511.5K
Cap Rate 9%
$397,833
$397.8K
Market Conditions
NOI Build-Up for 12,000 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
$59.0K $4.92/SF
− Vacancy
−$4.0K −$0.33/SF
EGI
$55.1K $4.59/SF
− OpEx
−$19.3K −$1.61/SF
NOI
$35.8K $2.98/SF
Area
Howard County, IN
Vacancy
6.70%
Lease Rate
$4.92 /SF/Yr
Expense Ratio
35.00%
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%
$716,100
Cap Rate 7%
$511,500
Cap Rate 9%
$397,833
Alternative Uses
Best Use
Industrial
$7.78M
$6.81M – $9.08M
NOI $544,765 @ 7.0% cap · market cap 42.73%
Second Best
Flex RnD
$511.5K
$447.6K – $596.8K
NOI $35,805 @ 7.0% cap · market cap 2.81%
Theoretical Best
Warehouse
$9.45M
$8.27M – $11.03M
NOI $661,500 @ 7.0% cap · market cap 51.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
482
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 46902, IN
36,038
Population
18,004
Households
2
Avg Household Size
42
Median Age
20%
College-Educated
92%
High-School Grad
50.7 sq mi
ZIP Area
711
Density / Sq Mi
$59,548
Median Household Income
$36,902
Median Earnings
$929
Median Rent
$154,400
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.
Frequently Asked Questions
What type of property is this?
Flex space - Nearly 12,000 SF available in Kokomo for an owner-user or investor near a major manufacturing plant.
Where is this flex space located?
The property is located at 1940 South Elizabeth St Kokomo Kokomo, IN.
What is the asking price?
The asking price for this property is $1,275,000.
What are key features of this property?
This property features: Nearly 12,000 SF available in Kokomo for an owner‑user or investor; Property is across the street from the 3,100,000 SF Chrysler Transmission Plant; Largest tenants recently executed long‑term extensions
