Updated Storefront
New
For Sale
$140,000
3232 Michigan Street, New Chicago, IN 46342
Commercial Sale, New Chicago, IN
Property Size1,290 SF
Lot Size0.22 Acres
Price / SF$108.53
Days on Market2
Property Features for 3232 Michigan Street
General Information
Property type
Commercial Sale
Property subtype
Other
Parking
10
Subdivision
New Chicago Add 06
Lot features
Corner Lot, Paved
Directions
Michigan St. to 3232. SW corner of Michigan St. and Tyler Ave.
Standard status
Active
APN
450919156020000022
Size
1,290 SF
Lot size
0.22 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
6TH ADD NEW CHICAGO BLK 6 LOTS 1 TO 3
Tax Annual Amount
4497
Legal Description
6TH ADD NEW CHICAGO BLK 6 LOTS 1 TO 3
Utilities
Utilities
Cable Available
Sewer type
Public Sewer
Heating system
Natural Gas, Forced Air
Water source
Public
Building Details
Year built
1957
Listing Agency:
McColly Real Estate
(219) 962-7538
Listed By:
Frank Ennis · License #RB14022177
(219) 730-6680
Added: Sep 4
Last Checked: Sep 5 at 1:06PM
MLS# 844857
Copyright © 2026 Greater Northwest Indiana Association of REALTORS. 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 storefront property in New Chicago includes a 1,290-square-foot building on 0.215 acres. Constructed in 1957, the building has newer mechanical systems, a newer roof, and interior improvements that support continued retail or commercial use. Natural gas forced-air heat is in place, with public water and public sewer serving the property.
The site includes parking and is located at 3232 Michigan Street in Lake County. Cable service is available, providing an additional utility connection for the building.
The site includes parking and is located at 3232 Michigan Street in Lake County. Cable service is available, providing an additional utility connection for the building.
Key Highlights
- 1,290‑square‑foot storefront building
- 0.215‑acre commercial site
- Newer mechanical systems and roof
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
$12,431
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
8.88%
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%
$248,620
$248.6K
Cap Rate 7%
$177,586
$177.6K
Cap Rate 9%
$138,122
$138.1K
Market Conditions
NOI Build-Up for 1,290 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
$18.6K $14.40/SF
− Vacancy
−$817 −$0.63/SF
EGI
$17.8K $13.77/SF
− OpEx
−$5.3K −$4.13/SF
NOI
$12.4K $9.64/SF
Area
Lake County, IN
Vacancy
4.40%
Lease Rate
$14.40 /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%
$248,620
Cap Rate 7%
$177,586
Cap Rate 9%
$138,122
Alternative Uses
Best Use
Retail
$177.6K
$155.4K – $207.2K
NOI $12,431 @ 7.0% cap · market cap 8.88%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$360.1K
$315.1K – $420.1K
NOI $25,208 @ 7.0% cap · market cap 18.01%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
168
Businesses Nearby
4k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 100%
El Ranchero
Dining
3,543 visits/mo
0.4 miles
Demographics for 46342, IN
32,540
Population
13,774
Households
2.4
Avg Household Size
40
Median Age
21%
College-Educated
93%
High-School Grad
35.0 sq mi
ZIP Area
930
Density / Sq Mi
$72,163
Median Household Income
$41,574
Median Earnings
$1,110
Median Rent
$193,400
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Bryan's Florist — 1331 W 37th Ave, Hobart, IN 46342
Frequently Asked Questions
What type of property is this?
Storefront property - Freestanding retail building with refreshed mechanical systems, roof improvements, and on-site parking.
Where is this storefront property located?
The property is located at 3232 Michigan Street New Chicago, IN.
What is the asking price?
The asking price for this property is $140,000.
What are key features of this property?
This property features: 1,290‑square‑foot storefront building; 0.215‑acre commercial site; Newer mechanical systems and roof
