Brick Flex Space with
For Sale
$850,000
2722 S Hillock Avenue, Chicago, IL 60608
Commercial Sale, Chicago, IL
Property Size7,000 SF
Lot Size0.16 Acres
Price / SF$121.43
Days on Market51
Property Features for 2722 S Hillock Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
MANUF
Directions
Archer Avenue west to Throop, left on Hillock Avenue
Subdivision
CHI - Bridgeport
Standard status
Active
APN
17293070330000
Lot size
0.16 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
16827
Utilities
Cooling system
Central Air
Amenities
conference room
kitchen
Building Details
Year built
1954
Floors in Building
2
Building materials
Brick
Listing Agency:
Jameson Sotheby's Intl Realty
(312) 751-0300
Listed By:
Natalie Ruffolo · License #475182822
(312) 335-3291
Added: Jul 7
Changed: Aug 19
Last Checked: Aug 26 at 12:06AM
MLS# 12698536
Copyright © 2026 Midwest Real Estate Data, LLC. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 1954 brick flex property combines office and warehouse functionality within an approximately 7,000-square-foot mixed-use building. The office portion includes open work areas, private offices, a kitchen, and two recently renovated restrooms. A renovated conference room occupies the second level, while two rear warehouse areas provide additional storage or operational space with an overhead garage door for direct access. The property is offered as-is.
The building occupies two city lots totaling 0.1607 acres and is zoned MANUF. It is located in Chicago’s Bridgeport area near Archer Avenue, with street parking available. Central air serves the building, supporting the existing office component.
The building occupies two city lots totaling 0.1607 acres and is zoned MANUF. It is located in Chicago’s Bridgeport area near Archer Avenue, with street parking available. Central air serves the building, supporting the existing office component.
Key Highlights
- Approximately 7,000 square feet of mixed‑use office and warehouse space
- Two city lots totaling 0.1607 acres
- MANUF zoning
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
$53,023
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
6.24%
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%
$1,060,460
$1.1M
Cap Rate 7%
$757,471
$757.5K
Cap Rate 9%
$589,144
$589.1K
Market Conditions
NOI Build-Up for 7,000 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
$66.0K $9.43/SF
− Vacancy
−$3.6K −$0.52/SF
EGI
$62.4K $8.91/SF
− OpEx
−$9.4K −$1.34/SF
NOI
$53.0K $7.57/SF
Area
Chicago, IL
Vacancy
5.50%
Lease Rate
$9.43 /SF/Yr
Expense Ratio
15.00%
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%
$1,060,460
Cap Rate 7%
$757,471
Cap Rate 9%
$589,144
Alternative Uses
Best Use
Office B
$2.15M
$1.88M – $2.50M
NOI $150,192 @ 7.0% cap · market cap 17.67%
Second Best
Flex RnD
$1.15M
$1.01M – $1.35M
NOI $80,808 @ 7.0% cap · market cap 9.51%
Theoretical Best
Office A
$3.30M
$2.89M – $3.85M
NOI $231,034 @ 7.0% cap · market cap 27.18%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
973
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 60608, IL
75,770
Population
32,617
Households
2.3
Avg Household Size
34
Median Age
34%
College-Educated
77%
High-School Grad
6.2 sq mi
ZIP Area
12,221
Density / Sq Mi
$70,704
Median Household Income
$42,211
Median Earnings
$1,208
Median Rent
$341,500
Median Home Value
Market
Vacancy Rate% for Office in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Mixed-use commercial property with offices, renovated amenities, conference space, and rear warehouse access.
Where is this flex space located?
The property is located at 2722 S Hillock Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $850,000.
What are key features of this property?
This property features: Approximately 7,000 square feet of mixed‑use office and warehouse space; Two city lots totaling 0.1607 acres; MANUF zoning
