Historic Bank
For Sale
$1,500,000
4636 S KING Drive, Chicago, IL 60653
Constructed in 1925, the property carries B3-3 zoning and permits apartments above the ground floor.
Property Size7,500 SF
Price / SF$200
Days on Market773
Property Features for 4636 S KING Drive
General Information
Standard status
Active
Size
7,500 SF
Property subtype
Commercial
Zoning
B3-3
Property Condition
Severity
Major Repairs Needed
Evidence
NEEDS COMPLETE REHAB
Site & Location
Highway Access
Yes
Public Transit
Yes
Taxes and HOA fees
Annual Taxes
$14,452
Building Details
Year Built
1925
Buildings
1
Stories
1
Building Size
7,500 SF
Construction
limestone
Listing Agency:
Realty One Group Heartland
(708) 678-1000
Listed By:
Shiree Booker · License #475148177
(708) 678-1000
Source:
Allinonerealestateco
Added: Jul 11, 2024
Changed: Aug 22
Last Checked: Aug 22 at 7:37AM
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 Realty One Group Heartland
Investment Insights
Based on property information with market context.
Constructed in 1925, this 7,500-square-foot limestone building was designed by architect Henry L. Newhouse and served as the home of Chicago’s first Black-owned insurance company. The property requires complete rehabilitation and is offered in its current as-is condition.
Located at 4636 S King Drive in Chicago’s Bronzeville area, the building sits within the Grand Boulevard 47th Street retail district. The property is near the Green Line, Lake Shore Drive to the east, and the Dan Ryan Expressway to the west, with Downtown Chicago approximately 15 minutes away.
B3-3 Community Shopping District zoning is in place, with apartments permitted above the ground floor. The building’s stated suitability includes credit union, banking, and office uses.
Located at 4636 S King Drive in Chicago’s Bronzeville area, the building sits within the Grand Boulevard 47th Street retail district. The property is near the Green Line, Lake Shore Drive to the east, and the Dan Ryan Expressway to the west, with Downtown Chicago approximately 15 minutes away.
B3-3 Community Shopping District zoning is in place, with apartments permitted above the ground floor. The building’s stated suitability includes credit union, banking, and office uses.
Key Highlights
- 7,500‑square‑foot limestone building constructed in 1925
- Designed by architect Henry L. Newhouse
- B3‑3 Community Shopping District zoning
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
$103,761
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
6.92%
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%
$2,075,220
$2.1M
Cap Rate 7%
$1,482,300
$1.5M
Cap Rate 9%
$1,152,900
$1.2M
Market Conditions
NOI Build-Up for 7,500 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
$162.0K $21.60/SF
− Vacancy
−$13.8K −$1.84/SF
EGI
$148.2K $19.76/SF
− OpEx
−$44.5K −$5.93/SF
NOI
$103.8K $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%
$2,075,220
Cap Rate 7%
$1,482,300
Cap Rate 9%
$1,152,900
Alternative Uses
Best Use
Office B
$2.30M
$2.01M – $2.68M
NOI $160,920 @ 7.0% cap · market cap 10.73%
Second Best
Specialty Retail
$1.99M
$1.74M – $2.33M
NOI $139,590 @ 7.0% cap · market cap 9.31%
Theoretical Best
Office A
$3.54M
$3.09M – $4.13M
NOI $247,536 @ 7.0% cap · market cap 16.50%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,640
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 Office in Chicago, IL
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Bank - Constructed in 1925, the property carries B3-3 zoning and permits apartments above the ground floor.
Where is this bank located?
The property is located at 4636 S KING Drive Chicago, IL.
What is the asking price?
The asking price for this property is $1,500,000.
What are key features of this property?
This property features: 7,500‑square‑foot limestone building constructed in 1925; Designed by architect Henry L. Newhouse; B3‑3 Community Shopping District zoning
