Mixed-Use Investment
For Sale
$3,900,000
536 E Market Street, Indianapolis, IN 46204
Well-maintained mixed-use property with elevator, dry sprinkler system, LED lighting, and parking, zoned CBD-2 for retail, office, or multifamily.
Property Size20,952 SF
Price / SF$195
Days on Market69
Property Features for 536 E Market Street
General Information
Standard status
Active
Size
20,952 SF
Zoning
CBD-2
Additional Details
Business Included
Yes
Sprinkler System
Yes
Amenities
Common, Gated, Other
Building Details
Building Size
20,952 SF
Stories
3
Listing Agency:
Keller Williams Indy South
(317) 882-5900
Listed By:
Shelly Johnson · License #RB14043056
Source:
Evrealestate
Added: Jun 17
Changed: Aug 23
Last Checked: Aug 24 at 4:29AM
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 Keller Williams Indy South
Investment Insights
Based on property information with market context.
This well-maintained mixed-use investment property offers a versatile configuration supported by multiple building amenities. The building includes elevator service and a dry sprinkler system, with energy-efficient LED lighting throughout. New AC units were installed within the last five years, supporting day-to-day comfort and operational continuity. Off-site and on-site parking includes more than 20 paved spaces, plus an additional gravel lot that can accommodate more parking needs or future development concepts. Tenants are in place, providing immediate income as part of the current setup.
The property is located in the heart of Indianapolis in the Market East District. It is described as being minutes from Mass Ave, the Cultural Trail, Gainbridge Fieldhouse, and nearby dining options, supporting an active urban environment and convenient access to established destinations.
Zoned CBD-2, the site allows for a wide range of uses, including retail, office, and multifamily development. That flexibility can support a variety of ownership goals, whether you’re looking to keep existing tenants in place or plan for redevelopment or owner occupancy using a building that already includes key infrastructure like elevator service and a fire sprinkler system.
The property is located in the heart of Indianapolis in the Market East District. It is described as being minutes from Mass Ave, the Cultural Trail, Gainbridge Fieldhouse, and nearby dining options, supporting an active urban environment and convenient access to established destinations.
Zoned CBD-2, the site allows for a wide range of uses, including retail, office, and multifamily development. That flexibility can support a variety of ownership goals, whether you’re looking to keep existing tenants in place or plan for redevelopment or owner occupancy using a building that already includes key infrastructure like elevator service and a fire sprinkler system.
Key Highlights
- 1930‑built, well‑maintained mixed‑use property with over 20,000 SF
- Zoned CBD‑2, supporting retail, office, and multifamily development options
- Tenant‑in‑place for immediate income
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
$264,060
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
6.77%
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%
$5,281,200
$5.3M
Cap Rate 7%
$3,772,286
$3.8M
Cap Rate 9%
$2,934,000
$2.9M
Market Conditions
NOI Build-Up for 20,000 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
$432.0K $21.60/SF
− Vacancy
−$79.9K −$4.00/SF
EGI
$352.1K $17.60/SF
− OpEx
−$88.0K −$4.40/SF
NOI
$264.1K $13.20/SF
Area
Indianapolis, IN
Vacancy
18.50%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
25.00%
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%
$5,281,200
Cap Rate 7%
$3,772,286
Cap Rate 9%
$2,934,000
Alternative Uses
Best Use
Office B
$3.77M
$3.30M – $4.40M
NOI $264,060 @ 7.0% cap · market cap 6.77%
Second Best
Retail
$3.07M
$2.69M – $3.59M
NOI $215,208 @ 7.0% cap · market cap 5.52%
Theoretical Best
Office A
$4.98M
$4.36M – $5.81M
NOI $348,480 @ 7.0% cap · market cap 8.94%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Sprinkler system
Location Intelligence
Trade Area within ½ mile
5,294
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 46204, IN
9,086
Population
6,582
Households
1.4
Avg Household Size
31
Median Age
61%
College-Educated
90%
High-School Grad
1.1 sq mi
ZIP Area
8,260
Density / Sq Mi
$88,081
Median Household Income
$69,226
Median Earnings
$1,686
Median Rent
$350,400
Median Home Value
Market
Vacancy Rate% for Office in Indianapolis, IN
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Marka Florist — 101 W Market St, Indianapolis, IN 46204
- Touch of Class Florist | Send Flowers Indianapolis, IN — 48 E Washington St, Indianapolis, IN 46204
- Anuheas Same Day Flower Delivery Inc. — 100 Illinois St, Indianapolis, IN 46225
- Smith Florist — 42 Virginia Ave, Indianapolis, IN 46204
Frequently Asked Questions
What type of property is this?
Storefront property - Well-maintained mixed-use property with elevator, dry sprinkler system, LED lighting, and parking, zoned CBD-2 for retail, office, or multifamily.
Where is this storefront property located?
The property is located at 536 E Market Street Indianapolis, IN.
What is the asking price?
The asking price for this property is $3,900,000.
What are key features of this property?
This property features: 1930‑built, well‑maintained mixed‑use property with over 20,000 SF; Zoned CBD‑2, supporting retail, office, and multifamily development options; Tenant‑in‑place for immediate income
