Standalone Warehouse with
New
For Sale
$1,225,000
345 Production Dr, South Elgin, IL 60177
Industrial facility combines warehouse, office, loading, and parking improvements.
Property Size10,210 SF
Lot Size0.63 Acres
Price / SF$119.98
Days on Market4
Property Features for 345 Production Dr
General Information
Standard status
Active
Size
10,210 SF
Total Parking Spaces
14
Lot size
0.63 Acres
Warehouse & Industrial
Clear Height
20 ft
Clear Span
Yes
Office Build-Out
1,350 SF
Dock-High Doors
1
Power
400 amps
Voltage
240 V
Building Details
Year Built
1997
Buildings
1
Building Size
10,210 SF
Listing Agency:
RE/MAX Horizon
Listed By:
Ben Henrikson · License #475091643
(847) 293-7900
Source:
Bktchicago
Added: Aug 30
Changed: Aug 31
Last Checked: Sep 1 at 9:55PM
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 Horizon
Investment Insights
Based on property information with market context.
Located at 345 Production Drive in South Elgin, this standalone warehouse property contains 10,210 SF on a .63 Acre lot. The warehouse offers 20-foot clear-span ceilings, a loading dock, and a 14-foot overhead door, along with four overhead furnaces, a bathroom, and mezzanine storage.
The approximately 1,350 SF office component includes a reception area, two private offices, a conference room, and two bathrooms. Additional property features include 14 parking spaces, including two handicap spaces, and 240V/400 AMP electrical service. Constructed in 1997, the facility provides a combined warehouse and office configuration for industrial operations.
The approximately 1,350 SF office component includes a reception area, two private offices, a conference room, and two bathrooms. Additional property features include 14 parking spaces, including two handicap spaces, and 240V/400 AMP electrical service. Constructed in 1997, the facility provides a combined warehouse and office configuration for industrial operations.
Key Highlights
- 10,210 SF warehouse on a .63 Acre lot
- 20' clear‑span ceilings with a 14' OH door
- Loading dock and mezzanine storage
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
$67,476
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
5.51%
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%
$1,349,520
$1.3M
Cap Rate 7%
$963,943
$963.9K
Cap Rate 9%
$749,733
$749.7K
Market Conditions
NOI Build-Up for 10,210 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
$109.0K $10.68/SF
− Vacancy
−$5.2K −$0.51/SF
EGI
$103.8K $10.17/SF
− OpEx
−$36.3K −$3.56/SF
NOI
$67.5K $6.61/SF
Area
Kane County, IL
Vacancy
4.80%
Lease Rate
$10.68 /SF/Yr
Expense Ratio
35.00%
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%
$1,349,520
Cap Rate 7%
$963,943
Cap Rate 9%
$749,733
Alternative Uses
Best Use
Flex RnD
$963.9K
$843.5K – $1.12M
NOI $67,476 @ 7.0% cap · market cap 5.51%
Second Best
Warehouse
$762.4K
$667.1K – $889.5K
NOI $53,369 @ 7.0% cap · market cap 4.36%
Theoretical Best
Office A
$3.53M
$3.08M – $4.11M
NOI $246,753 @ 7.0% cap · market cap 20.14%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
20 ft
Clear height
1
Dock-high doors
Location Intelligence
Trade Area within ½ mile
432
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 60177, IL
24,361
Population
8,700
Households
2.8
Avg Household Size
37
Median Age
38%
College-Educated
91%
High-School Grad
8.9 sq mi
ZIP Area
2,737
Density / Sq Mi
$123,700
Median Household Income
$59,266
Median Earnings
$1,612
Median Rent
$296,200
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.
Similar Off Market Nearby
- Berna Moving & Storage Inc. — 504 Sundown Rd, South Elgin, IL 60177
- Trojan Storage of South Elgin — 300 Sundown Rd, South Elgin, IL 60177
- U-Pack — 825 Commerce Dr, South Elgin, IL 60177
- Titan Self Storage — 939 S McLean Blvd, Elgin, IL 60123
Frequently Asked Questions
What type of property is this?
Warehouse - Industrial facility combines warehouse, office, loading, and parking improvements.
Where is this warehouse located?
The property is located at 345 Production Dr South Elgin, IL.
What is the asking price?
The asking price for this property is $1,225,000.
What are key features of this property?
This property features: 10,210 SF warehouse on a .63 Acre lot; 20' clear‑span ceilings with a 14' OH door; Loading dock and mezzanine storage
