Flex Space with Bow Truss
For Sale
$490,000
5245 W Diversey Avenue, Chicago, IL 60639
Divisible commercial building with adaptable industrial space and access to an equipped woodshop.
Property Size6,200 SF
Price / SF$78.40
Days on Market361
Property Features for 5245 W Diversey Avenue
General Information
Standard status
Active
Size
6,200 SF
Property subtype
Commercial
Zoning
COMMR
Additional Details
Clear Height
16 ft
Taxes and HOA fees
Annual Taxes
$11,427
Building Details
Building Size
6,200 SF
Year Built
1955
Buildings
1
Stories
1
Listing Agency:
Jameson Sotheby's Intl Realty
(312) 751-0300
Listed By:
Jason Hiller · License #475158547
(312) 751-0300
Source:
Perillorealestategroup
Added: Aug 14, 2025
Changed: Aug 7
Last Checked: Aug 9 at 1:11PM
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 Jameson Sotheby's Intl Realty
Investment Insights
Based on property information with market context.
This 6,250 SF flex space at 5245 W Diversey Avenue provides a divisible commercial configuration for a range of operational requirements. Built in 1955, the building features 16-foot bow truss ceilings that create an open interior volume. The property is zoned COMMR and includes access to a fully equipped woodshop.
Woodshop equipment, tools, and supplies are available for purchase separately. Located in Chicago, the property combines flexible interior planning with an existing specialized workspace for industrial or fabrication-oriented operations.
Woodshop equipment, tools, and supplies are available for purchase separately. Located in Chicago, the property combines flexible interior planning with an existing specialized workspace for industrial or fabrication-oriented operations.
Key Highlights
- 6,250 SF flex space at 5245 W Diversey Avenue in Chicago
- Divisible building configuration supports varied space requirements
- 16‑foot bow truss ceilings
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
$24,438
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
4.99%
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%
$488,760
$488.8K
Cap Rate 7%
$349,114
$349.1K
Cap Rate 9%
$271,533
$271.5K
Market Conditions
NOI Build-Up for 6,250 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
$40.5K $6.48/SF
− Vacancy
−$5.6K −$0.89/SF
EGI
$34.9K $5.59/SF
− OpEx
−$10.5K −$1.68/SF
NOI
$24.4K $3.91/SF
Area
ZIP 60639
Vacancy
13.80%
Lease Rate
$6.48 /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%
$488,760
Cap Rate 7%
$349,114
Cap Rate 9%
$271,533
Alternative Uses
Best Use
Flex RnD
$1.08M
$949.1K – $1.27M
NOI $75,928 @ 7.0% cap · market cap 15.50%
Second Best
Industrial
$349.1K
$305.5K – $407.3K
NOI $24,438 @ 7.0% cap · market cap 4.99%
Theoretical Best
Office A
$2.76M
$2.42M – $3.22M
NOI $193,440 @ 7.0% cap · market cap 39.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
16 ft
Clear height
Location Intelligence
Trade Area within ½ mile
2,071
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 60639, IL
89,543
Population
28,656
Households
3.1
Avg Household Size
34
Median Age
15%
College-Educated
69%
High-School Grad
5.0 sq mi
ZIP Area
17,909
Density / Sq Mi
$59,710
Median Household Income
$34,846
Median Earnings
$1,212
Median Rent
$289,000
Median Home Value
Market
Vacancy Rate% for Industrial in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Divisible commercial building with adaptable industrial space and access to an equipped woodshop.
Where is this flex space located?
The property is located at 5245 W Diversey Avenue Chicago, IL.
What is the asking price?
The asking price for this property is $490,000.
What are key features of this property?
This property features: 6,250 SF flex space at 5245 W Diversey Avenue in Chicago; Divisible building configuration supports varied space requirements; 16‑foot bow truss ceilings
