Chicago Commercial Property For
5257 S Ashland Ave, Chicago, IL 60609
Commercial property in Chicago's New City Community for sale.
Type:Retail, Office
Property size:
12,901 SFPrice / SF:
$267/SF- Added:
- Dec 4, 2025
- Days on Market:
- 164
- Last Refresh:
- Mar 17 at 1:24 pm
Property Features for 5257 S Ashland Ave
General Information
- Standard status
- Active
- Size
- 12,901 SF
- Property subtype
- Retail, Office
Building Details
- Year Built
- 2004
Listing agent Neil Haleem License #IL 37077037778HN
Listing office Network Real Estate Group
Listing date Dec 4, 2025
Source Crexi
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 Network Real Estate Group
HighLights
- Long‑term GSA lease provides durable, government‑backed cash flow with an initial ten (10)-year term and five (5) years firm.
- Significant annual Tenant Improvement allowance of $111,122 reimbursed to the landlord through May 31, 2028, substantially increasing the effective NOI and cap rate.
- Recent comprehensive capital improvement program minimizes near‑term capital expenditure risk, including a new roof, new HVAC systems, and a complete interior renovation of the GSA‑leased space.
- Strategic location in a densely populated area on the south end of a Major Shopping & Business District along 47th Street and Ashland Ave.
- The GSA (Social Security Office) has operated in the immediate trade area for more than 20 years.
- Value‑add opportunity with three retail tenants providing additional income and upside potential.
Overview
Located at the northeast corner of 53rd & Ashland in Chicago's New City Community, this property is situated in a densely populated area. The surrounding properties along Ashland Avenue consist of commercial, mixed-use, and some multifamily buildings. The site is on the south end of a major shopping and business district along 47th Street and Ashland Avenue. The property is an institutional-quality investment anchored by a long-term GSA lease with an initial ten-year term and five years firm, providing government-backed cash flow. The GSA occupies 8,776 square feet (67.8%) of the approximately 12,901 square foot single-story building and operates a Social Security Office that has served the immediate trade area for more than 20 years. This location represents a strategic relocation from a nearby, older facility into a substantially upgraded and modernized building. Rent commenced May 15, 2023, and the GSA has invested nearly $1,000,000 in tenant improvements, underscoring its long-term commitment to the site and the surrounding community. The property has undergone a comprehensive capital improvement program, including a new roof, new HVAC systems, and a complete modern interior renovation of the GSA-leased space, minimizing near-term capital expenditure risk. The remaining 4,214 square feet consists of three value-add retail tenants that provide additional income and upside potential. Unit 5255 (approximately 1,180 square feet) is leased to Lomax Urban Outreach; Unit 5257 (approximately 1,575 square feet) is occupied by a nail salon on a month-to-month gross lease, offering future re-tenanting or rent growth potential; and Unit 5259 (approximately 1,380 square feet) is leased to a convenience store under a modified gross lease. There is an annual $111,122 Tenant Improvement allowance reimbursed to the landlord through May 31, 2028.
Financial Insights
Value Estimation Calculated for Office B
Conservative
$3.08M
NOI $276,804 @ 9.00% cap · cautious / downside scenario
Moderate
$3.95M
NOI $276,804 @ 7.00% cap · market / base-case scenario
Aggressive
$5.54M
NOI $276,804 @ 5.00% cap · optimistic / upside scenario
NOI & Cap Rate Calculator
NOI Build-Up
- 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.
Calculated for Office B
| Component | $ | $/SF |
|---|---|---|
| Gross rent | $495.4k | $38.40 |
| − Vacancy | −$126.3k | −$9.79 |
| EGI | $369.1k | $28.61 |
| − OpEx | −$92.3k | −$7.15 |
| NOI | $276.8k | $21.46 |
12,901 SF · lease $38.40/SF/yr · vacancy 25.50% · expense 25.00%
Alternative Use Scenarios
Best Use
Office B
$3.95M
$3.46M – $4.61M
NOI $276,804 @ 7.0% cap · market cap 8.01%
Second Best
Retail
$2.55M
$2.23M – $2.97M
NOI $178,483 @ 7.0% cap · market cap 5.17%
Theoretical Best
Office A
$6.08M
$5.32M – $7.10M
NOI $425,795 @ 7.0% cap · market cap 12.32%
Zoning and permitted uses should be independently verified with local authorities.
Location Intelligence
Current Use by Public Records
Sassy Nails
Nail Salon
La Bonita Supermarket
Grocery & Convenience Store
Similar Places Nearby
- Bishop Plaza — 1400 W 47th St, Chicago, IL 60609
- Coinstar Kiosk | Bitcoin ATM — PLS Financial Services, Inc, 4655 S Ashland Ave, Chicago, IL 60609
- Yards Plaza — 4636 S Damen Ave, Chicago, IL 60609
Location Insight
- Map
- Local Demand
- City
- Chicago
- County
- Cook
- State
- Illinois
- Longitude
- -87.6643746
- Latitude
- 41.7979227
Nearby Similar for Sale
FAQs
What type of property is this?
Shopping center - Commercial property in Chicago's New City Community for sale.
Where is this shopping center located?
The property is located at 5257 S Ashland Ave Chicago, IL.
What is the asking price?
The asking price for this property is $3,455,000.
What are key features of this property?
This property features: Long‑term GSA lease provides durable, government‑backed cash flow with an initial ten (10)-year term and five (5) years firm.; Significant annual Tenant Improvement allowance of $111,122 reimbursed to the landlord through May 31, 2028, substantially increasing the effective NOI and cap rate.; Recent comprehensive capital improvement program minimizes near‑term capital expenditure risk, including a new roof, new HVAC systems, and a complete interior renovation of the GSA‑leased space.
