Equipment Dealership Flex
For Sale
$3,495,000
26336 Heritage Drive, Elwood, IL 60421
Nearly new 10,985 SF flex facility with showroom offices, high-clear shop, multiple overhead doors, and secure fenced yard.
Property Size10,985 SF
Lot Size3.29 Acres
Price / SF$318.16
Days on Market35
Property Features for 26336 Heritage Drive
General Information
Standard status
Active
Size
10,985 SF
Lot size
3.29 Acres
Property subtype
Commercial
Zoning
PUD
Site & Location
Traffic Count
6,100 vehicles/day
Fenced Yard
Yes
Outdoor Storage
Yes
Warehouse & Industrial
Clear Height
18 ft
Heavy Power
Yes
Sprinkler System
Yes
Additional Details
Business Included
No
Taxes and HOA fees
Annual Taxes
$32,502
Amenities
showroom
private offices
service counter
customer waiting area
ADA-compliant restrooms
break room with kitchenette
utility room
monitored fire alarm
security camera system
alarm system
Starlink internet
in-floor radiant heat
wash bay
Hotsy pressure washer
triple trap basins
fenced yard
paved, concrete, and gravel surfaces
6-foot perimeter fence with oversized aluminum gates
Building Details
Building Size
10,985 SF
Year Built
2024
Stories
2
Units
1
Listing Agency:
RE/MAX Ultimate Professionals
(815) 725-4545
Listed By:
Daniel Condon · License #475178004
(815) 725-4545
Source:
Midwestrealestate
Added: Jul 23
Changed: Aug 24
Last Checked: Aug 25 at 8:40AM
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 Ultimate Professionals
Investment Insights
Based on property information with market context.
Completed in 2025, this nearly new Lester Building flex facility includes a professional showroom with three private offices, a service counter, a customer waiting area, and two ADA-compliant restrooms. The shop features approximately 20' ceilings with 18' clear height, in-floor radiant heat, and 8" concrete floors, along with a break room with kitchenette, utility room, and a third ADA-compliant restroom. Service support includes a massive 23' x 70' wash bay with a Hotsy 3,000 PSI hot water pressure washer, plus triple trap basins.
The property is equipped with a fire sprinkler system, monitored fire alarm, security camera and alarm systems, Starlink internet, and 208V 400-amp three-phase power. It offers one 14'x14' overhead door with opener, three 16'x16' overhead doors with openers, and one 10'x9' showroom overhead door. Exterior improvements include approximately 2.17+/- acres of secure fenced yard with a 6-foot perimeter fence and oversized 40-foot aluminum gates for equipment and commercial vehicle access.
Zoned C-2 General Commercial with a special use PUD zoning approved with the Village of Elwood, the property is approved for the sale and lease of small and mid-sized construction equipment and machinery with limited repairs, and is built to support related uses with special use approval. The site sits along a corridor with approximately 6,100 average annual daily traffic (AADT). The current property footprint sits on 3.29 acres with the possibility to expand to 5.45 acres.
The property is equipped with a fire sprinkler system, monitored fire alarm, security camera and alarm systems, Starlink internet, and 208V 400-amp three-phase power. It offers one 14'x14' overhead door with opener, three 16'x16' overhead doors with openers, and one 10'x9' showroom overhead door. Exterior improvements include approximately 2.17+/- acres of secure fenced yard with a 6-foot perimeter fence and oversized 40-foot aluminum gates for equipment and commercial vehicle access.
Zoned C-2 General Commercial with a special use PUD zoning approved with the Village of Elwood, the property is approved for the sale and lease of small and mid-sized construction equipment and machinery with limited repairs, and is built to support related uses with special use approval. The site sits along a corridor with approximately 6,100 average annual daily traffic (AADT). The current property footprint sits on 3.29 acres with the possibility to expand to 5.45 acres.
Key Highlights
- Nearly new 10,985 SF Lester Building built in 2024 and completed in 2025 on 3.29 acres (expandable to 5.45 acres).
- Zoned C‑2 General Commercial with PUD special use approved with Village of Elwood for sale/lease of small and mid‑sized construction equipment (limited repairs).
- Shop features ~20' ceilings with 18' clear height, in‑floor radiant heat, and 8" concrete floors, plus a 23' x 70' wash bay with Hotsy 3,000 PSI hot water pressure washer.
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
$103,808
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
2.97%
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%
$2,076,160
$2.1M
Cap Rate 7%
$1,482,971
$1.5M
Cap Rate 9%
$1,153,422
$1.2M
Market Conditions
NOI Build-Up for 10,985 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
$164.8K $15.00/SF
− Vacancy
−$16.5K −$1.50/SF
EGI
$148.3K $13.50/SF
− OpEx
−$44.5K −$4.05/SF
NOI
$103.8K $9.45/SF
Area
Will County, IL
Vacancy
10.00%
Lease Rate
$15.00 /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%
$2,076,160
Cap Rate 7%
$1,482,971
Cap Rate 9%
$1,153,422
Alternative Uses
Best Use
Retail
$1.48M
$1.30M – $1.73M
NOI $103,808 @ 7.0% cap · market cap 2.97%
Second Best
Flex RnD
$738.4K
$646.1K – $861.5K
NOI $51,687 @ 7.0% cap · market cap 1.48%
Theoretical Best
Office A
$2.49M
$2.18M – $2.91M
NOI $174,398 @ 7.0% cap · market cap 4.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
18 ft
Clear height
6,100 VPD
Traffic count
Yes
Heavy power
Yes
Sprinkler system
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
11
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 60421, IL
3,734
Population
1,645
Households
2.3
Avg Household Size
45
Median Age
18%
College-Educated
96%
High-School Grad
59.8 sq mi
ZIP Area
62
Density / Sq Mi
$101,818
Median Household Income
$51,306
Median Earnings
$989
Median Rent
$251,400
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 new 10,985 SF flex facility with showroom offices, high-clear shop, multiple overhead doors, and secure fenced yard.
Where is this flex space located?
The property is located at 26336 Heritage Drive Elwood, IL.
What is the asking price?
The asking price for this property is $3,495,000.
What are key features of this property?
This property features: Nearly new 10,985 SF Lester Building built in 2024 and completed in 2025 on 3.29 acres (expandable to 5.45 acres).; Zoned C‑2 General Commercial with PUD special use approved with Village of Elwood for sale/lease of small and mid‑sized construction equipment (limited repairs).; Shop features ~20' ceilings with 18' clear height, in‑floor radiant heat, and 8" concrete floors, plus a 23' x 70' wash bay with Hotsy 3,000 PSI hot water pressure washer.
