Renovated Mixed-Use Building Near
For Sale
Contact for pricing
474 Fayette St, Hammond, IN 46320
Renovated mixed-use building suitable for event center or microbrewery.
Property Size6,161 SF
Price / SF$125.79
Days on Market163
Property Features for 474 Fayette St
General Information
Standard status
Active
Size
6,161 SF
Property subtype
Retail
Zoning
C-3
Building Details
Units
3
Listing Agency:
Commercial In-Sites LLC
Listed By:
David Lasser · License #IN RB14026085
(219) 795-1100
Source:
Crexi
Added: Mar 26
Changed: Aug 14
Last Checked: Sep 2 at 3:02PM
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 In-Sites LLC
Investment Insights
Based on property information with market context.
This completely renovated building is currently configured as an event center/distillery with two apartments. The property is located one block from the new West Lake Train Station, which is currently under construction. The building's irregular shape makes it suitable for various commercial uses, including an event center or microbrewery. Recent renovations include a new roof, HVAC systems, all LED lighting, shutters, plumbing system, three overhead doors, windows, and a concrete patio. The main unit features 5,296 square feet of open space suitable for a brewery area, a bar, an office, bathrooms, and an exterior patio area. It also features 13-foot clear height and three drive-in doors (two measuring 10 feet by 13 feet and one measuring 12 feet by 12 feet) with 480V power. Apartment #1, located on the north side of the building, is 631 square feet and includes one bedroom, a kitchenette/living room, and a private bath. Apartment #2, situated on the south side, is 802 square feet and features two bedrooms, a kitchenette/living room, and a private bath. The property is located on Fayette Street between Russell Avenue and Oakley Avenue in Hammond, approximately 1/4 mile east of the Indiana/Illinois state line, 1/2 mile west of Calumet Avenue (U.S. Highway 41), 1 1/2 miles north of 165th Street, 2 3/4 miles south of I-94, and 3 miles west of the Indiana Toll Road. It is also located 23 miles south of Chicago and 8 miles north of U.S. Highway 30. The property is one block from the Hammond Police Station, Strack and Van Til, Midwest Express Clinic, Wendy's, the United States Post Office, Family Dollar, Hammond Central High School, Area Career Center, U.S. District Courthouse, and Hammond City Hall.
Key Highlights
- Prime Location: Just one block from the future "New West Lake Train Station".
- Versatile Commercial Space:** Boasting 5,296 SF of open space, ideal for an event center, microbrewery, or various other commercial ventures.
- Completely Renovated:** Features a new roof, HVAC, LED lighting, plumbing, windows, and concrete patio.
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
$60,994
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
7.87%
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%
$1,219,880
$1.2M
Cap Rate 7%
$871,343
$871.3K
Cap Rate 9%
$677,711
$677.7K
Market Conditions
NOI Build-Up for 6,161 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
$110.9K $18.00/SF
− Vacancy
−$13.3K −$2.16/SF
EGI
$97.6K $15.84/SF
− OpEx
−$36.6K −$5.94/SF
NOI
$61.0K $9.90/SF
Area
Lake County, IN
Vacancy
12.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
37.50%
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%
$1,219,880
Cap Rate 7%
$871,343
Cap Rate 9%
$677,711
Alternative Uses
Best Use
Mixed Use
$871.3K
$762.4K – $1.02M
NOI $60,994 @ 7.0% cap · market cap 7.87%
Second Best
Industrial
$510.6K
$446.8K – $595.7K
NOI $35,743 @ 7.0% cap · market cap 4.61%
Theoretical Best
Specialty Retail
$1.72M
$1.50M – $2.01M
NOI $120,394 @ 7.0% cap · market cap 15.53%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,074
Businesses Nearby
Explore this area
Business Placement
Demographics for 46320, IN
14,514
Population
6,236
Households
2.3
Avg Household Size
33
Median Age
12%
College-Educated
81%
High-School Grad
4.7 sq mi
ZIP Area
3,088
Density / Sq Mi
$35,706
Median Household Income
$24,499
Median Earnings
$853
Median Rent
$115,300
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Renovated mixed-use building suitable for event center or microbrewery.
Where is this mixed-use property located?
The property is located at 474 Fayette St Hammond, IN.
What is the asking price?
The asking price for this property is $775,000.
What are key features of this property?
This property features: Prime Location: Just one block from the future "New West Lake Train Station".; Versatile Commercial Space:** Boasting 5,296 SF of open space, ideal for an event center, microbrewery, or various other commercial ventures.; Completely Renovated:** Features a new roof, HVAC, LED lighting, plumbing, windows, and concrete patio.
