Two-Story Garden-Style Apartment
For Sale
$6,999,970
604-620 E Grant Hwy, Marengo, IL 60152
Fully occupied multifamily property with separate utility metering, recent exterior improvements, and on-site laundry facilities.
Property Size49,680 SF
Price / SF$140.90
Days on Market50
Property Features for 604-620 E Grant Hwy
General Information
Standard status
Active
Size
49,680 SF
Total Parking Spaces
85
Property subtype
Commercial
Occupancy
100%
Units
Unit Mix
36 x 2BR, 12 x 1BR
Multifamily Units
48
Amenities
laundry room
Building Details
Year Built
1978
Buildings
2
Stories
2
Construction
garden-style
Listing Agency:
RE/MAX At Home
Listed By:
Basel Tarabein, GRI · License #IL 471008459
(847) 255-1970
Source:
Illianahomesource
Added: Jul 26
Changed: Sep 10
Last Checked: Sep 12 at 10:28AM
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 RE/MAX At Home
Investment Insights
Based on property information with market context.
Located at 604-620 E Grant Hwy in Marengo, Illinois, this apartment property includes two garden-style buildings with two stories each. The 48-unit configuration comprises 36 two-bedroom apartments and 12 one-bedroom apartments, with separate utilities serving each unit. The buildings date to 1978 and provide 49,680 square feet of property size.
Recent capital work includes a roof completed in 2019, plus windows, patio doors, siding, gutters, fascia, and front entrance doors completed or scheduled in 2023 and 2026, respectively. The laundry room has been remodeled and can accommodate six washers and six dryers. The property is fully occupied and includes 85 paved parking spaces.
Recent capital work includes a roof completed in 2019, plus windows, patio doors, siding, gutters, fascia, and front entrance doors completed or scheduled in 2023 and 2026, respectively. The laundry room has been remodeled and can accommodate six washers and six dryers. The property is fully occupied and includes 85 paved parking spaces.
Key Highlights
- 48‑unit apartment property with 36 two‑bedroom and 12 one‑bedroom units
- Two garden‑style, two‑story buildings totaling 49,680 square feet
- 100% occupied with separate utilities for each unit
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
$436,927
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
6.24%
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%
$8,738,540
$8.7M
Cap Rate 7%
$6,241,814
$6.2M
Cap Rate 9%
$4,854,744
$4.9M
Market Conditions
NOI Build-Up for 49,680 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
$864.4K $17.40/SF
− Vacancy
−$70.0K −$1.41/SF
EGI
$794.4K $15.99/SF
− OpEx
−$357.5K −$7.20/SF
NOI
$436.9K $8.79/SF
Area
McHenry County, IL
Vacancy
8.10%
Lease Rate
$17.40 /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%
$8,738,540
Cap Rate 7%
$6,241,814
Cap Rate 9%
$4,854,744
Alternative Uses
Best Use
Apartment 5plus
$6.24M
$5.46M – $7.28M
NOI $436,927 @ 7.0% cap · market cap 6.24%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$17.15M
$15.01M – $20.01M
NOI $1,200,657 @ 7.0% cap · market cap 17.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
48
Residential units
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
389
Businesses Nearby
Explore this area
Business Placement
Demographics for 60152, IL
12,382
Population
4,715
Households
2.6
Avg Household Size
42
Median Age
27%
College-Educated
94%
High-School Grad
95.4 sq mi
ZIP Area
130
Density / Sq Mi
$94,209
Median Household Income
$51,808
Median Earnings
$1,090
Median Rent
$259,200
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 - Fully occupied multifamily property with separate utility metering, recent exterior improvements, and on-site laundry facilities.
Where is this apartment building located?
The property is located at 604-620 E Grant Hwy Marengo, IL.
What is the asking price?
The asking price for this property is $6,999,970.
What are key features of this property?
This property features: 48‑unit apartment property with 36 two‑bedroom and 12 one‑bedroom units; Two garden‑style, two‑story buildings totaling 49,680 square feet; 100% occupied with separate utilities for each unit
