Turnkey Restaurant Opportunity in
For Sale
Contact for pricing
420 W Belmont Avenue, Chicago, IL 60657
East Lakeview restaurant with below-market lease and high visibility.
Property Size2,176 SF
Price / SF$298.25
Days on Market95
Property Features for 420 W Belmont Avenue
General Information
Standard status
Active
Size
2,176 SF
Property subtype
Retail, Business for Sale
Building Details
Stories
42
Listing Agency:
Commercial Real Estate Resources
Listed By:
Tuyen Nguyen · License #471006001
Source:
Crexi
Added: May 20
Changed: Aug 18
Last Checked: Aug 21 at 1:22PM
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 Commercial Real Estate Resources
Investment Insights
Based on property information with market context.
This turnkey restaurant opportunity is located in East Lakeview, within a 42-story high-rise on Belmont Avenue. The ground floor space spans 2,176 square feet and accommodates 80 seats. The location benefits from high visibility, with 18,000 to 25,000 vehicles passing by daily, a dense residential population, commuter traffic from Lake Shore Drive, and proximity to Belmont Harbor, the Lakefront Trail, and Wrigleyville. The current total rent is approximately $5,600 per month, below the submarket average of $7,400+ per month NNN for comparable spaces. A buildout completed in 2020, costing over $600,000, includes a commercial kitchen, draft beer line system, decor, branding, and operational infrastructure. The lease features two ADA-compliant restrooms, one dedicated garage parking space, and a recently renewed liquor license. Business assets included in the sale are a transferable customer database of over 55,000 email and SMS subscribers, more than 25,000 social media followers, established branding, recipes, a website, marketing assets, and operational systems. Opportunities exist for expanded operating hours, catering, private events, alcohol sales, delivery, and retail products. This acquisition is suitable for an owner-operator, restaurant group, cafe concept, cocktail lounge, or hospitality operator seeking a location in East Lakeview.
Key Highlights
- Turnkey restaurant opportunity in East Lakeview, fully built out in 2020 with $600,000+ investment.
- Below‑market lease at approximately $5,600/month.
- High‑traffic location with 18,000‑25,000 vehicles per day.
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
$40,500
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
6.24%
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%
$810,000
$810.0K
Cap Rate 7%
$578,571
$578.6K
Cap Rate 9%
$450,000
$450.0K
Market Conditions
NOI Build-Up for 2,176 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
$57.4K $26.40/SF
− Vacancy
−$3.4K −$1.58/SF
EGI
$54.0K $24.82/SF
− OpEx
−$13.5K −$6.20/SF
NOI
$40.5K $18.61/SF
Area
Chicago, IL
Vacancy
6.00%
Lease Rate
$26.40 /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%
$810,000
Cap Rate 7%
$578,571
Cap Rate 9%
$450,000
Alternative Uses
Best Use
Specialty Retail
$578.6K
$506.3K – $675.0K
NOI $40,500 @ 7.0% cap · market cap 6.24%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.03M
$897.7K – $1.20M
NOI $71,818 @ 7.0% cap · market cap 11.07%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
6,245
Businesses Nearby
223k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 31%
Groceries 20%
Superstores 15%
Home Improvements & Furnishings 14%
Trader Joe's
Groceries
43,874 visits/mo
0.4 miles
Target
Superstores
33,595 visits/mo
0.3 miles
The Home Depot
Home Improvements & Furnishings
30,960 visits/mo
0.5 miles
McDonald's
Dining
29,548 visits/mo
0.2 miles
Nando's PERi-PERi
Dining
11,806 visits/mo
0.4 miles
Demographics for 60657, IL
72,316
Population
42,246
Households
1.7
Avg Household Size
32
Median Age
87%
College-Educated
99%
High-School Grad
2.2 sq mi
ZIP Area
32,871
Density / Sq Mi
$109,025
Median Household Income
$77,731
Median Earnings
$1,839
Median Rent
$534,500
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?
Conventional restaurant - East Lakeview restaurant with below-market lease and high visibility.
Where is this conventional restaurant located?
The property is located at 420 W Belmont Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $649,000.
What are key features of this property?
This property features: Turnkey restaurant opportunity in East Lakeview, fully built out in 2020 with $600,000+ investment.; Below‑market lease at approximately $5,600/month.; High‑traffic location with 18,000‑25,000 vehicles per day.
