ATI Physical Therapy Investment
For Sale
Contact for pricing
2701 Sheridan Rd, Zion, IL 60099
Single-tenant property with a new 10-year lease and stable income.
Property Size2,951 SF
Price / SF$431.04
Days on Market147
Property Features for 2701 Sheridan Rd
General Information
Standard status
Active
Size
2,951 SF
Property subtype
Office
Occupancy
100%
Lease Type
NNN
Investment Type
Net Lease
Net Operating Income
$85,868
Building Details
Buildings
1
Stories
1
Tenancy
Single
Listing Agency:
Bang Realty
(888) 737-2264
Listed By:
Brian Brockman · License #BRK.200900214
Source:
Crexi
Added: Mar 24
Changed: Aug 14
Last Checked: Aug 13 at 12:28PM
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 Bang Realty
Investment Insights
Based on property information with market context.
The property at 2701 Sheridan Road, Zion, IL 60099, presents an investment opportunity featuring ATI PHYSICAL THERAPY as a single tenant. The property has a new 10-year lease with a well-established tenant, offering a stable income stream. The sale price is $1,373,000 with a cap rate of 6.25%. The property is located on a signalized hard corner with excellent visibility, attracting over 18,200 consumers daily. The property has 2% annual rent increases and a 'Naked Lease' structure. The Net Operating Income (NOI) is $85,868. The landlord is responsible for roof, structure, and parking lot maintenance, with expenses reimbursed through CAM. The local economy has an average household income exceeding $98,152 within a five-mile radius. The property size is 2951 square feet.
Key Highlights
- New 10‑year lease with ATI PHYSICAL THERAPY, providing a stable income stream.
- Solid 6.25% cap rate on a $1,373,000 investment.
- Prime location on a signalized hard corner with excellent visibility and high traffic (18,200 consumers daily).
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
$42,743
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
3.36%
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%
$854,860
$854.9K
Cap Rate 7%
$610,614
$610.6K
Cap Rate 9%
$474,922
$474.9K
Market Conditions
NOI Build-Up for 2,951 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
$77.9K $26.40/SF
− Vacancy
−$6.7K −$2.26/SF
EGI
$71.2K $24.14/SF
− OpEx
−$28.5K −$9.66/SF
NOI
$42.7K $14.48/SF
Area
Lake County, IL
Vacancy
8.56%
Lease Rate
$26.40 /SF/Yr
Expense Ratio
40.00%
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%
$854,860
Cap Rate 7%
$610,614
Cap Rate 9%
$474,922
Alternative Uses
Best Use
Healthcare Medical
$610.6K
$534.3K – $712.4K
NOI $42,743 @ 7.0% cap · market cap 3.36%
Second Best
Office B
$581.3K
$508.6K – $678.2K
NOI $40,689 @ 7.0% cap · market cap 3.20%
Theoretical Best
Office A
$1.02M
$891.5K – $1.19M
NOI $71,319 @ 7.0% cap · market cap 5.61%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
564
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 60099, IL
31,579
Population
12,085
Households
2.6
Avg Household Size
36
Median Age
16%
College-Educated
86%
High-School Grad
22.6 sq mi
ZIP Area
1,397
Density / Sq Mi
$65,647
Median Household Income
$36,541
Median Earnings
$1,131
Median Rent
$190,300
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Emergency Veterinarian Care — 2384 Sheridan Rd, Zion, IL 60099
Frequently Asked Questions
What type of property is this?
Medical Office Space - Single-tenant property with a new 10-year lease and stable income.
Where is this medical office space located?
The property is located at 2701 Sheridan Rd Zion, IL.
What is the asking price?
The asking price for this property is $1,272,000.
What are key features of this property?
This property features: New 10‑year lease with ATI PHYSICAL THERAPY, providing a stable income stream.; Solid 6.25% cap rate on a $1,373,000 investment.; Prime location on a signalized hard corner with excellent visibility and high traffic (18,200 consumers daily).
