Remodeled Restaurant with New
For Sale
$459,900
2126 S Macarthur Boulevard, Springfield, IL 62704
Restaurant property with updated improvements, new equipment, and B1 B2 zoning along South Macarthur Boulevard.
Property Size2,464 SF
Price / SF$186.65
Days on Market55
Property Features for 2126 S Macarthur Boulevard
General Information
Standard status
Active
Size
2,464 SF
Total Parking Spaces
10
Property subtype
Commercial
Zoning
B1 B2
Additional Details
Road Access
Yes
Commercial Hood
Yes
Taxes and HOA fees
Annual Taxes
$3,345
Building Details
Building Size
2,464 SF
Year Built
1950
Buildings
1
Listing Agency:
The Real Estate Group, Inc.
(217) 638-1360
Listed By:
Jerry George · License #475159363
(217) 638-1360
Source:
Shawneehillsrealestate
Added: Jul 6
Changed: Aug 28
Last Checked: Aug 28 at 11:31AM
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.
Located at 2126 S Macarthur Boulevard in Springfield, this conventional restaurant property was fully remodeled and includes new equipment along with a new hood system. The building dates to 1950 and carries B1 B2 zoning.
The property fronts South Macarthur Boulevard, a major commercial corridor near downtown Springfield. Surrounding businesses include Walgreens, PNC Bank, offices, restaurants, and retail centers, creating an established commercial setting for the property.
The property fronts South Macarthur Boulevard, a major commercial corridor near downtown Springfield. Surrounding businesses include Walgreens, PNC Bank, offices, restaurants, and retail centers, creating an established commercial setting for the property.
Key Highlights
- Fully remodeled restaurant property
- New equipment included
- New hood system installed
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
$34,212
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
7.44%
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%
$684,240
$684.2K
Cap Rate 7%
$488,743
$488.7K
Cap Rate 9%
$380,133
$380.1K
Market Conditions
NOI Build-Up for 2,464 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
$48.8K $19.80/SF
− Vacancy
−$3.2K −$1.29/SF
EGI
$45.6K $18.51/SF
− OpEx
−$11.4K −$4.63/SF
NOI
$34.2K $13.88/SF
Area
Springfield, IL
Vacancy
6.50%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
25.00%
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%
$684,240
Cap Rate 7%
$488,743
Cap Rate 9%
$380,133
Alternative Uses
Best Use
Specialty Retail
$488.7K
$427.7K – $570.2K
NOI $34,212 @ 7.0% cap · market cap 7.44%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$605.0K
$529.3K – $705.8K
NOI $42,347 @ 7.0% cap · market cap 9.21%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Yes
Commercial hood
Location Intelligence
Trade Area within ½ mile
551
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 62704, IL
39,157
Population
20,706
Households
1.9
Avg Household Size
40
Median Age
42%
College-Educated
95%
High-School Grad
12.2 sq mi
ZIP Area
3,210
Density / Sq Mi
$66,352
Median Household Income
$44,793
Median Earnings
$924
Median Rent
$166,900
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Hibachi Grill Supreme Buffet — 2309 S MacArthur Blvd, Springfield, IL 62704
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Restaurant property with updated improvements, new equipment, and B1 B2 zoning along South Macarthur Boulevard.
Where is this conventional restaurant located?
The property is located at 2126 S Macarthur Boulevard Springfield, IL.
What is the asking price?
The asking price for this property is $459,900.
What are key features of this property?
This property features: Fully remodeled restaurant property; New equipment included; New hood system installed
