Corner Live-Work
For Sale
$850,000
400 N Racine Avenue, Chicago, IL 60642
Commercial Sale, Chicago, IL
Property Size2,680 SF
Price / SF$317.16
Days on Market24
Property Features for 400 N Racine Avenue
General Information
Property type
Commercial Sale
Property subtype
Office
Directions
GRAND TO RACINE, SOUTH TO PROPERTY
Subdivision
CHI - West Town
Standard status
Active
APN
17081410191006
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
10842
Utilities
Utilities
Cable Available
Sewer type
Public Sewer
Cooling system
Ceiling Fan(s), Central Air
Amenities
dramatic natural light
designer kitchen
custom finishes
open flex space
Building Details
Year built
1990
Floors in Building
1
Number of units
33
Flooring type
Wood
Building materials
Split-face Block, Block
Roof type
Membrane
Listing Agency:
Jameson Sotheby's Intl Realty
(312) 751-0300
Listed By:
Michael Shenfeld · License #475125273
(312) 335-3291
Added: Sep 9
Changed: Sep 30
Last Checked: Oct 2 at 7:06AM
MLS# 12754524
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 corner live-work loft offers 2,680 SF, including a 54' x 31' open flex area beneath ceilings measuring 13+ ft. A designer kitchen, custom finishes, wood flooring, central air, and ceiling fans are among the interior features. The property was built in 1990 and includes two side-by-side parking spaces. Its former use was as a photography studio.
Located in Chicago’s Fulton Market area, the property is steps from the restaurant row, shops, and nightlife described for the district. Grand Avenue’s Italian grocery stores and neighborhood eateries are to the north. The address is 400 N Racine Avenue.
Located in Chicago’s Fulton Market area, the property is steps from the restaurant row, shops, and nightlife described for the district. Grand Avenue’s Italian grocery stores and neighborhood eateries are to the north. The address is 400 N Racine Avenue.
Key Highlights
- 2,680 SF corner live‑work loft
- Open flex area measures 54' x 31'
- Ceilings are 13+ ft.
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
$57,502
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
6.76%
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%
$1,150,040
$1.2M
Cap Rate 7%
$821,457
$821.5K
Cap Rate 9%
$638,911
$638.9K
Market Conditions
NOI Build-Up for 2,680 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
$102.9K $38.40/SF
− Vacancy
−$26.2K −$9.79/SF
EGI
$76.7K $28.61/SF
− OpEx
−$19.2K −$7.15/SF
NOI
$57.5K $21.46/SF
Area
Chicago, IL
Vacancy
25.50%
Lease Rate
$38.40 /SF/Yr
Expense Ratio
25.00%
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%
$1,150,040
Cap Rate 7%
$821,457
Cap Rate 9%
$638,911
Alternative Uses
Best Use
Office B
$821.5K
$718.8K – $958.4K
NOI $57,502 @ 7.0% cap · market cap 6.76%
Second Best
Mixed Use
$646.1K
$565.3K – $753.8K
NOI $45,225 @ 7.0% cap · market cap 5.32%
Theoretical Best
Office A
$1.26M
$1.11M – $1.47M
NOI $88,453 @ 7.0% cap · market cap 10.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
6,877
Businesses Nearby
Explore this area
Business Placement
Demographics for 60642, IL
21,687
Population
12,144
Households
1.8
Avg Household Size
33
Median Age
78%
College-Educated
97%
High-School Grad
1.7 sq mi
ZIP Area
12,757
Density / Sq Mi
$141,179
Median Household Income
$90,885
Median Earnings
$2,216
Median Rent
$604,200
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Chicago, IL
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Frequently Asked Questions
What type of property is this?
Live-work space - An adaptable interior pairs a large open flex area with a designer kitchen and custom finishes.
Where is this live-work space located?
The property is located at 400 N Racine 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: 2,680 SF corner live‑work loft; Open flex area measures 54' x 31'; Ceilings are 13+ ft.
