North Kenwood Apartment
For Sale
Contact for pricing
4625 S Drexel Blvd, Chicago, IL 60653
62-unit building in Chicago's historic North Kenwood neighborhood.
Property Size42,600 SF
Price / SF$325.12
Days on Market181
Property Features for 4625 S Drexel Blvd
General Information
Standard status
Active
Size
42,600 SF
Property subtype
Multifamily
Building Details
Year Renovated
2020
Units
62
Tenancy
Single
Listing Agency:
Kiser Group
(773) 293-5032
Listed By:
Noah Birk · License #IL 475.125864
Source:
Crexi
Added: Feb 23
Changed: Aug 8
Last Checked: Jul 19 at 7:03AM
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 Kiser Group
Investment Insights
Based on property information with market context.
Located on a quiet, tree-lined street in Chicago's historic North Kenwood neighborhood, 4625 S. Drexel is a sixty-two (62) unit building with curb appeal. The property is situated blocks away from Lake Michigan and Williams-Davis Park, providing easy access to S. Lake Shore Dr. and Chicago's downtown, along with close proximity to Hyde Park and the University of Chicago. The unit mix is comprised of thirty-nine (39) 1Bd/1Ba and twenty-three (23) 2Bd/1Ba units. The units are spacious and have undergone extensive renovations, including modern finishes. Typical unit features include hardwood floors, stainless steel appliances, individual laundry units, and HVAC furnaces. The property offers investors the opportunity to obtain a stabilized, cash-flowing asset in a rapidly appreciating neighborhood. The building has an in-place cap rate of 7% and a cash return of 12.84%. There is a current assumable loan on the building with a 3.32% interest rate with roughly 5 years left at roughly 78% LTV. The property size is 42600 square feet.
Key Highlights
- Assumable loan with a 3.32% interest rate and roughly 5 years remaining at approximately 78% LTV.
- In‑place cap rate of 7%** and a cash return of 12.84%.
- Sixty‑two (62) unit building with a desirable mix of 1Bd/1Ba and 2Bd/1Ba units.
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
$653,022
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
4.71%
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%
$13,060,440
$13.1M
Cap Rate 7%
$9,328,886
$9.3M
Cap Rate 9%
$7,255,800
$7.3M
Market Conditions
NOI Build-Up for 42,600 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
$1.25M $29.40/SF
− Vacancy
−$65.1K −$1.53/SF
EGI
$1.19M $27.87/SF
− OpEx
−$534.3K −$12.54/SF
NOI
$653.0K $15.33/SF
Area
Chicago, IL
Vacancy
5.20%
Lease Rate
$29.40 /SF/Yr
Expense Ratio
45.00%
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%
$13,060,440
Cap Rate 7%
$9,328,886
Cap Rate 9%
$7,255,800
Alternative Uses
Best Use
Apartment 5plus
$9.33M
$8.16M – $10.88M
NOI $653,022 @ 7.0% cap · market cap 4.71%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$20.09M
$17.58M – $23.43M
NOI $1,406,004 @ 7.0% cap · market cap 10.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,587
Businesses Nearby
Explore this area
Business Placement
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 Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - 62-unit building in Chicago's historic North Kenwood neighborhood.
Where is this apartment building located?
The property is located at 4625 S Drexel Blvd Chicago, IL.
What is the asking price?
The asking price for this property is $13,850,000.
What are key features of this property?
This property features: Assumable loan with a **3.32% interest rate** and roughly 5 years remaining at approximately 78% LTV.; In‑place cap rate of 7%** and a cash return of 12.84%.; Sixty‑two (62) unit building with a desirable mix of 1Bd/1Ba and 2Bd/1Ba units.
