Bronzeville Commercial Building For
For Sale
$1,900,000
418 E 43rd Street, Chicago, IL 60653
12,000 SF commercial building in revitalizing Bronzeville neighborhood.
Property Size12,000 SF
Price / SF$158.33
Days on Market207
Property Features for 418 E 43rd Street
General Information
Standard status
Active
Size
12,000 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$46,064
Amenities
Central air
Central Air Cooling
Building Details
Year Built
1942
Listing Agency:
SK PROPERTIES GROUP, LLC
(773) 493-7000
Listed By:
SUNI KARIM · License #471000095
Source:
Corcoran
Added: Jan 27
Changed: Aug 22
Last Checked: Aug 22 at 7:46AM
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 SK PROPERTIES GROUP, LLC
Investment Insights
Based on property information with market context.
This one-story commercial building provides 12,000 square feet of rentable space, complemented by 704 square feet allocated for parking. Situated in the Bronzeville neighborhood, the property benefits from ongoing revitalization efforts and new residential developments, including townhomes, condominiums, single-family homes, and apartment rentals. The location on East 43rd Street places it on a main thoroughfare, with Cottage Grove to the east and King Drive to the west. Public transportation is readily accessible via the bus line on East 43rd Street and the elevated Green Line. The B3-3 zoning accommodates a range of business uses, such as large grocery stores, medical centers, restaurants, professional offices, retail shops, and banks. The property is also offered for sale.
Key Highlights
- 12,000 sq ft of rentable space in a one‑story commercial building
- Located on East 43rd Street in the revitalizing Bronzeville neighborhood
- Zoned B3‑3, allowing for a wide range of business uses
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
$166,018
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
8.74%
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%
$3,320,360
$3.3M
Cap Rate 7%
$2,371,686
$2.4M
Cap Rate 9%
$1,844,644
$1.8M
Market Conditions
NOI Build-Up for 12,000 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
$259.2K $21.60/SF
− Vacancy
−$22.0K −$1.84/SF
EGI
$237.2K $19.76/SF
− OpEx
−$71.2K −$5.93/SF
NOI
$166.0K $13.83/SF
Area
Chicago, IL
Vacancy
8.50%
Lease Rate
$21.60 /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%
$3,320,360
Cap Rate 7%
$2,371,686
Cap Rate 9%
$1,844,644
Alternative Uses
Best Use
Retail
$2.37M
$2.08M – $2.77M
NOI $166,018 @ 7.0% cap · market cap 8.74%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$5.66M
$4.95M – $6.60M
NOI $396,058 @ 7.0% cap · market cap 20.85%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,618
Businesses Nearby
6k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 61%
Electronics 39%
JJ Fish & Chicken
Dining
3,600 visits/mo
0.2 miles
Boost Mobile
Electronics
2,303 visits/mo
0.5 miles
Demographics for 60653, IL
33,146
Population
18,279
Households
1.8
Avg Household Size
37
Median Age
38%
College-Educated
90%
High-School Grad
2.4 sq mi
ZIP Area
13,811
Density / Sq Mi
$39,565
Median Household Income
$49,335
Median Earnings
$856
Median Rent
$347,800
Median Home Value
Market
Vacancy Rate% for Retail in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - 12,000 SF commercial building in revitalizing Bronzeville neighborhood.
Where is this storefront property located?
The property is located at 418 E 43rd Street Chicago, IL.
What is the asking price?
The asking price for this property is $1,900,000.
What are key features of this property?
This property features: 12,000 sq ft of rentable space in a one‑story commercial building; Located on East 43rd Street in the revitalizing Bronzeville neighborhood; Zoned B3‑3, allowing for a wide range of business uses
