Renovated Strip Center with 6
For Sale
$3,300,000
6421 87th Street, Oak Lawn, IL 60453
Renovated in 2025, this strip center includes 6 fully leased units in a 15,810 SF building.
Property Size15,810 SF
Lot Size1.10 Acres
Price / SF$208.73
Days on Market376
Property Features for 6421 87th Street
General Information
Standard status
Active
Size
15,810 SF
Lot size
1.10 Acres
Property subtype
General Commercial
Occupancy
100%
Amenities
Central Air
3
Building Details
Year Built
1968
Year Renovated
2025
Tenancy
Multi
Listing Agency:
Network Property Managment LLC
(708) 800-6487
Listed By:
Adam Haleem · License #475191917
(708) 800-6487
Source:
Xome
Added: Jul 30, 2025
Changed: Aug 8
Last Checked: Aug 8 at 3:50AM
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 Property Managment LLC
Investment Insights
Based on property information with market context.
This renovated strip center offers a total building area of 15,810 SF and sits on approximately 1.10 acres. The property features 6 fully leased units and was renovated in 2025, with the current tenant occupancy providing immediate income potential.
The center is located at the Oak Lawn and Burbank border in the Chicago MSA, at 6417-6421 W 87th St (6421 W 87th Street, Oak Lawn, IL 60453).
The center is located at the Oak Lawn and Burbank border in the Chicago MSA, at 6417-6421 W 87th St (6421 W 87th Street, Oak Lawn, IL 60453).
Key Highlights
- Renovated in 2025
- 6 fully leased units
- 15,810 SF building on +/-48,138 SF site (~1.10 acres)
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
$219,445
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
6.65%
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%
$4,388,900
$4.4M
Cap Rate 7%
$3,134,929
$3.1M
Cap Rate 9%
$2,438,278
$2.4M
Market Conditions
NOI Build-Up for 15,810 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
$341.5K $21.60/SF
− Vacancy
−$28.0K −$1.77/SF
EGI
$313.5K $19.83/SF
− OpEx
−$94.0K −$5.95/SF
NOI
$219.4K $13.88/SF
Area
Cook County, IL
Vacancy
8.20%
Lease Rate
$21.60 /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%
$4,388,900
Cap Rate 7%
$3,134,929
Cap Rate 9%
$2,438,278
Alternative Uses
Best Use
Retail
$3.13M
$2.74M – $3.66M
NOI $219,445 @ 7.0% cap · market cap 6.65%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$5.46M
$4.78M – $6.37M
NOI $382,093 @ 7.0% cap · market cap 11.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
100%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
487
Businesses Nearby
81k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 54%
Dining 44%
Electronics 1%
Panda Express
Dining
15,848 visits/mo
0.3 miles
Dunkin' Donuts
Dining
13,317 visits/mo
0.4 miles
BP
Shops & Services
10,505 visits/mo
0.4 miles
Citgo
Shops & Services
8,166 visits/mo
0.4 miles
Dollar General
Shops & Services
7,754 visits/mo
0.3 miles
Demographics for 60453, IL
58,362
Population
23,115
Households
2.5
Avg Household Size
40
Median Age
30%
College-Educated
90%
High-School Grad
8.5 sq mi
ZIP Area
6,866
Density / Sq Mi
$82,493
Median Household Income
$48,810
Median Earnings
$1,310
Median Rent
$267,900
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Strip mall - Renovated in 2025, this strip center includes 6 fully leased units in a 15,810 SF building.
Where is this strip mall located?
The property is located at 6421 87th Street Oak Lawn, IL.
What is the asking price?
The asking price for this property is $3,300,000.
What are key features of this property?
This property features: Renovated in 2025; 6 fully leased units; 15,810 SF building on +/-48,138 SF site (~1.10 acres)
