6-Unit Warehouse
For Sale
$277,000
368 N Harlem Avenue, Peotone, IL 60468
Two-building warehouse property with concrete floors, overhead doors, and on-site gravel parking.
Property Size3,493 SF
Lot Size0.50 Acres
Days on Market329
Property Features for 368 N Harlem Avenue
General Information
Standard status
Active
Size
3,493 SF
Lot size
0.50 Acres
Property subtype
Commercial
Zoning
COMMR
Site & Location
Road Access
Yes
Utilities to Site
Yes
Taxes and HOA fees
Annual Taxes
$6,045
Building Details
Building Size
3,493 SF
Year Built
1997
Buildings
2
Stories
1
Units
7
Listing Agency:
McColly Rosenboom - B
(815) 939-1255
Listed By:
Millie Zigtema · License #471019516
(815) 939-1255
Source:
Cavanaghrealty
Added: Sep 16, 2025
Changed: Aug 9
Last Checked: Aug 9 at 3:39PM
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 McColly Rosenboom - B
Investment Insights
Based on property information with market context.
This warehouse property includes a 25' x 125' block building with concrete floors, 6 units, and 9 overhead doors. A separate 16 x 23 frame garage has vinyl siding and a concrete floor. Both buildings are served by gas and electric and include a furnace.
The property occupies 0.5 acres on Harlem Avenue with direct access from the road. A large gravel parking area supports vehicle and operational needs. The improvements were built in 1997 and are configured as multiple warehouse and garage spaces.
The property occupies 0.5 acres on Harlem Avenue with direct access from the road. A large gravel parking area supports vehicle and operational needs. The improvements were built in 1997 and are configured as multiple warehouse and garage spaces.
Key Highlights
- 25' x 125' block building with concrete floors
- 6 units and 9 overhead doors
- Separate 16 x 23 frame garage with vinyl siding
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
$18,258
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
6.59%
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%
$365,160
$365.2K
Cap Rate 7%
$260,829
$260.8K
Cap Rate 9%
$202,867
$202.9K
Market Conditions
NOI Build-Up for 3,493 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
$22.6K $6.48/SF
− Vacancy
−$1.2K −$0.33/SF
EGI
$21.5K $6.15/SF
− OpEx
−$3.2K −$0.92/SF
NOI
$18.3K $5.23/SF
Area
Will County, IL
Vacancy
5.10%
Lease Rate
$6.48 /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%
$365,160
Cap Rate 7%
$260,829
Cap Rate 9%
$202,867
Alternative Uses
Best Use
Warehouse
$260.8K
$228.2K – $304.3K
NOI $18,258 @ 7.0% cap · market cap 6.59%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$792.2K
$693.2K – $924.3K
NOI $55,455 @ 7.0% cap · market cap 20.02%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
248
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 60468, IL
6,112
Population
2,329
Households
2.6
Avg Household Size
42
Median Age
29%
College-Educated
93%
High-School Grad
69.6 sq mi
ZIP Area
88
Density / Sq Mi
$101,618
Median Household Income
$44,625
Median Earnings
$1,102
Median Rent
$282,500
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
- Peotone Storage — 301 Harlem Ave, Peotone, IL 60468
Frequently Asked Questions
What type of property is this?
Warehouse - Two-building warehouse property with concrete floors, overhead doors, and on-site gravel parking.
Where is this warehouse located?
The property is located at 368 N Harlem Avenue Peotone, IL.
What is the asking price?
The asking price for this property is $277,000.
What are key features of this property?
This property features: 25' x 125' block building with concrete floors; 6 units and 9 overhead doors; Separate 16 x 23 frame garage with vinyl siding
