Renovated Mixed-Use
For Sale
Contact for pricing
2059 Ridge Road, Homewood, IL 60430
Mixed-use asset combining an operating bar and restaurant with four apartments and additional food-service space.
Property Size7,718 SF
Price / SF$213.79
Days on Market12
Property Features for 2059 Ridge Road
General Information
Standard status
Active
Size
7,718 SF
Property subtype
Retail, Mixed Use, Business for Sale
Zoning
B-1 Central Business District
Lease Type
Modified Gross
Investment Type
Owner/User
Additional Details
Business Included
Yes
Liquor License
Yes
Multifamily Units
4
Building Details
Year Built
1924
Year Renovated
2022
Buildings
1
Units
6
Tenancy
Multi
Listing Agency:
Realty Executives Premier
Listed By:
Bill Kornblum · License #475167449
Source:
Crexi
Added: Aug 19
Changed: Aug 29
Last Checked: Aug 29 at 6:24PM
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 Realty Executives Premier
Investment Insights
Based on property information with market context.
This 7,718-square-foot mixed-use property combines an operating bar and restaurant with four apartments above the commercial space. The business includes a 3-way liquor license, package sales, and video gaming. Additional restaurant and food-service space is available within the property for expansion, another concept, or third-party leasing.
The commercial areas, basement, and major mechanical, plumbing, and electrical systems were substantially renovated in 2023. The property is zoned B-1 Central Business District and was built in 1924. Its address is 2059 Ridge Road in Downtown Homewood, with the completed Homewood Metra station redevelopment nearby. Two proposed five-story mixed-use projects in the surrounding area are planned to add a combined 146 market-rate apartments and approximately 8,000 SF of commercial space, including one directly across Ridge Road.
The commercial areas, basement, and major mechanical, plumbing, and electrical systems were substantially renovated in 2023. The property is zoned B-1 Central Business District and was built in 1924. Its address is 2059 Ridge Road in Downtown Homewood, with the completed Homewood Metra station redevelopment nearby. Two proposed five-story mixed-use projects in the surrounding area are planned to add a combined 146 market-rate apartments and approximately 8,000 SF of commercial space, including one directly across Ridge Road.
Key Highlights
- 7,718‑square‑foot mixed‑use property with commercial space and four apartments
- Operating bar and restaurant with a 3‑way liquor license
- Package sales and video gaming included in the commercial operation
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
$130,241
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
7.89%
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%
$2,604,820
$2.6M
Cap Rate 7%
$1,860,586
$1.9M
Cap Rate 9%
$1,447,122
$1.4M
Market Conditions
NOI Build-Up for 7,718 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
$231.5K $30.00/SF
− Vacancy
−$23.2K −$3.00/SF
EGI
$208.4K $27.00/SF
− OpEx
−$78.1K −$10.13/SF
NOI
$130.2K $16.88/SF
Area
Cook County, IL
Vacancy
10.00%
Lease Rate
$30.00 /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%
$2,604,820
Cap Rate 7%
$1,860,586
Cap Rate 9%
$1,447,122
Alternative Uses
Best Use
Mixed Use
$1.86M
$1.63M – $2.17M
NOI $130,241 @ 7.0% cap · market cap 7.89%
Second Best
Specialty Retail
$1.85M
$1.61M – $2.15M
NOI $129,199 @ 7.0% cap · market cap 7.83%
Theoretical Best
Office A
$2.66M
$2.33M – $3.11M
NOI $186,527 @ 7.0% cap · market cap 11.30%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
4
Residential units
Turnkey business
Opportunity
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
1,092
Businesses Nearby
Explore this area
Business Placement
Demographics for 60430, IL
20,146
Population
7,662
Households
2.6
Avg Household Size
42
Median Age
46%
College-Educated
96%
High-School Grad
6.9 sq mi
ZIP Area
2,920
Density / Sq Mi
$91,402
Median Household Income
$48,509
Median Earnings
$1,419
Median Rent
$209,100
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use asset combining an operating bar and restaurant with four apartments and additional food-service space.
Where is this mixed-use property located?
The property is located at 2059 Ridge Road Homewood, IL.
What is the asking price?
The asking price for this property is $1,650,000.
What are key features of this property?
This property features: 7,718‑square‑foot mixed‑use property with commercial space and four apartments; Operating bar and restaurant with a 3‑way liquor license; Package sales and video gaming included in the commercial operation
