Mixed-Use Building with Day
For Sale
$1,799,000
5801 N Northwest Highway, Chicago, IL 60631
Mixed-use property with retail, office, and multifamily components.
Property Size9,250 SF
Lot Size0.19 Acres
Price / SF$194.49
Days on Market161
Property Features for 5801 N Northwest Highway
General Information
Standard status
Active
Size
9,250 SF
Lot size
0.19 Acres
Property subtype
Multifamily
Building Details
Building Size
9,250 SF
Year Built
1991
Listed By:
John Meyer
(312) 415-9586
Source:
33realty
Added: Apr 1
Changed: Sep 7
Last Checked: Sep 7 at 6:46AM
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 John Meyer
Investment Insights
Based on property information with market context.
This mixed-use building, completed in 1991, offers 9,250 net rentable square feet. The property features co-working type office space, a day care operation on the first floor, and six one-bedroom, one-bathroom apartments. Five apartments are located on the second floor, with the sixth in the lower level. The 8,250 square foot parcel includes a spacious rear yard and parking for five vehicles. The property is equipped with central HVAC, including 10 gas forced air furnaces, six hot water tanks, and 10 condensers. Additional features include on-site laundry, tenant storage, copper plumbing and electric throughout, and a basement sump pump. The day care has been a successful retail tenant since 2007. The property is located one block from the Norwood Park and Gladstone Park Metra stops and is minutes from I-90. Tenants are responsible for paying for their own heating and air conditioning, and there is a bus stop in front of the building. The pitched roof was fully replaced in 2014.
Key Highlights
- Mixed‑use building with commercial, retail, and multi‑family components
- Successful daycare tenant in place since 2007
- Six one‑bedroom/one‑bathroom apartments provide residential 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
$156,094
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
8.68%
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%
$3,121,880
$3.1M
Cap Rate 7%
$2,229,914
$2.2M
Cap Rate 9%
$1,734,378
$1.7M
Market Conditions
NOI Build-Up for 9,250 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
$277.5K $30.00/SF
− Vacancy
−$27.8K −$3.00/SF
EGI
$249.8K $27.00/SF
− OpEx
−$93.7K −$10.13/SF
NOI
$156.1K $16.88/SF
Area
Chicago, IL
Vacancy
10.00%
Lease Rate
$30.00 /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%
$3,121,880
Cap Rate 7%
$2,229,914
Cap Rate 9%
$1,734,378
Alternative Uses
Best Use
Office B
$2.84M
$2.48M – $3.31M
NOI $198,468 @ 7.0% cap · market cap 11.03%
Second Best
Mixed Use
$2.23M
$1.95M – $2.60M
NOI $156,094 @ 7.0% cap · market cap 8.68%
Theoretical Best
Office A
$4.36M
$3.82M – $5.09M
NOI $305,294 @ 7.0% cap · market cap 16.97%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,072
Businesses Nearby
Explore this area
Business Placement
Demographics for 60631, IL
29,691
Population
12,757
Households
2.3
Avg Household Size
43
Median Age
50%
College-Educated
96%
High-School Grad
3.7 sq mi
ZIP Area
8,025
Density / Sq Mi
$117,688
Median Household Income
$70,295
Median Earnings
$1,604
Median Rent
$431,400
Median Home Value
Market
Vacancy Rate% for Office in Chicago, IL
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property with retail, office, and multifamily components.
Where is this mixed-use property located?
The property is located at 5801 N Northwest Highway Chicago, IL.
What is the asking price?
The asking price for this property is $1,799,000.
What are key features of this property?
This property features: Mixed‑use building with commercial, retail, and multi‑family components; Successful daycare tenant in place since 2007; Six one‑bedroom/one‑bathroom apartments provide residential income
