Hyde Park Apartment
For Sale
$2,225,000
5124 South University Avenue, Chicago, IL 60615
Apartment building near University of Chicago with strong income.
Property Size8,200 SF
Price / SF$271.34
Days on Market353
Property Features for 5124 South University Avenue
General Information
Standard status
Active
Size
8,200 SF
Property subtype
Multi Family 5+ / Flats
Net Operating Income
$166,122
Taxes and HOA fees
Annual Taxes
$28,013
Building Details
Year Built
1904
Stories
3
Listing Agency:
Chicago Real Estate Resources
(847) 863-2707
Listed By:
Steven Rapoport · License #471006648
(847) 863-2707
Source:
Compass
Added: Sep 6, 2025
Changed: Aug 23
Last Checked: Aug 23 at 6:37AM
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 Chicago Real Estate Resources
Investment Insights
Based on property information with market context.
This apartment building is located near the University of Chicago. The Hyde Park location is known for stable tenant demand, architectural character, and long term appreciation. The property offers access to the University of Chicago, Lake Michigan, Downtown Chicago, and public transportation. It is suited for investors seeking a Hyde Park position with income and long term value growth. The location drives high demand in a stable multifamily submarket.
Key Highlights
- Prime location near the University of Chicago, ensuring stable tenant demand.
- Strong in‑place income and durable long‑term value growth potential.
- Located in Hyde Park, a resilient and historically stable multifamily submarket.
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
$125,699
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
5.65%
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%
$2,513,980
$2.5M
Cap Rate 7%
$1,795,700
$1.8M
Cap Rate 9%
$1,396,656
$1.4M
Market Conditions
NOI Build-Up for 8,200 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
$241.1K $29.40/SF
− Vacancy
−$12.5K −$1.53/SF
EGI
$228.5K $27.87/SF
− OpEx
−$102.8K −$12.54/SF
NOI
$125.7K $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%
$2,513,980
Cap Rate 7%
$1,795,700
Cap Rate 9%
$1,396,656
Alternative Uses
Best Use
Apartment 5plus
$1.80M
$1.57M – $2.09M
NOI $125,699 @ 7.0% cap · market cap 5.65%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.87M
$3.38M – $4.51M
NOI $270,639 @ 7.0% cap · market cap 12.16%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,754
Businesses Nearby
Explore this area
Business Placement
Demographics for 60615, IL
43,502
Population
24,997
Households
1.7
Avg Household Size
35
Median Age
61%
College-Educated
93%
High-School Grad
2.2 sq mi
ZIP Area
19,774
Density / Sq Mi
$62,105
Median Household Income
$47,186
Median Earnings
$1,444
Median Rent
$305,200
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 - Apartment building near University of Chicago with strong income.
Where is this apartment building located?
The property is located at 5124 South University Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $2,225,000.
What are key features of this property?
This property features: Prime location near the University of Chicago, ensuring stable tenant demand.; Strong in‑place income and durable long‑term value growth potential.; Located in Hyde Park, a resilient and historically stable multifamily submarket.
