Downtown McHenry Commercial
For Sale
Contact for pricing
3908 Main Street, McHenry, IL 60050
Own your business location in downtown McHenry's established business district.
Property Size560 SF
Price / SF$178.39
Days on Market186
Property Features for 3908 Main Street
General Information
Standard status
Active
Size
560 SF
Property subtype
Retail
Zoning
COMMR
Building Details
Year Built
1935
Units
1
Listing Agency:
Dream Real Estate, Inc. - Strach
(815) 790-0833
Listed By:
Shawn Strach · License #IL 471.000585
Source:
Crexi
Added: Feb 12
Changed: Aug 16
Last Checked: Aug 14 at 7:12AM
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 Dream Real Estate, Inc. - Strach
Investment Insights
Based on property information with market context.
Located in the heart of downtown McHenry's established business district, this 560-square-foot commercial space offers an accessible entry point for entrepreneurs, startups, or established businesses looking to build equity. The property includes two deeded parking spots, plus additional street parking. The building's character reflects its history and will need updates, creating an opportunity to customize the space. The property benefits from established foot traffic, surrounding businesses, and the visibility that comes with a main street presence. The compact size keeps overhead manageable while the ownership model turns your monthly payment into long-term asset building. This represents an accessible path to commercial real estate ownership, and is suitable for launching a new venture, relocating an existing business, or as an investment property with tenant income potential. The building is sold AS-IS.
Key Highlights
- Own commercial space instead of renting, building equity.
- Prime downtown McHenry location with high visibility and foot traffic.
- Two deeded parking spots included**, a valuable downtown asset.
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
$5,404
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
5.41%
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%
$108,080
$108.1K
Cap Rate 7%
$77,200
$77.2K
Cap Rate 9%
$60,044
$60.0K
Market Conditions
NOI Build-Up for 560 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
$8.4K $15.00/SF
− Vacancy
−$680 −$1.22/SF
EGI
$7.7K $13.79/SF
− OpEx
−$2.3K −$4.14/SF
NOI
$5.4K $9.65/SF
Area
McHenry County, IL
Vacancy
8.10%
Lease Rate
$15.00 /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%
$108,080
Cap Rate 7%
$77,200
Cap Rate 9%
$60,044
Alternative Uses
Best Use
Retail
$77.2K
$67.6K – $90.1K
NOI $5,404 @ 7.0% cap · market cap 5.41%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$193.3K
$169.2K – $225.6K
NOI $13,534 @ 7.0% cap · market cap 13.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
854
Businesses Nearby
33k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 67%
Shops & Services 21%
Home Improvements & Furnishings 8%
Beauty & Spa 4%
Taco Bell
Dining
16,007 visits/mo
0.4 miles
Wingstop
Dining
3,887 visits/mo
0.5 miles
Old National Bank
Shops & Services
3,537 visits/mo
0.3 miles
Advance Auto Parts
Shops & Services
2,288 visits/mo
0.3 miles
Sherwin-Williams Paint Store
Home Improvements & Furnishings
1,784 visits/mo
0.1 miles
Demographics for 60050, IL
31,854
Population
13,399
Households
2.4
Avg Household Size
42
Median Age
25%
College-Educated
91%
High-School Grad
26.4 sq mi
ZIP Area
1,207
Density / Sq Mi
$86,315
Median Household Income
$48,953
Median Earnings
$1,522
Median Rent
$244,500
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Storefront property - Own your business location in downtown McHenry's established business district.
Where is this storefront property located?
The property is located at 3908 Main Street McHenry, IL.
What is the asking price?
The asking price for this property is $99,900.
What are key features of this property?
This property features: Own commercial space instead of renting, building equity.; Prime downtown McHenry location with **high visibility and foot traffic**.; Two deeded parking spots included**, a valuable downtown asset.
