8714 S Commercial Avenue,Chicago, IL 60617
Chicago, IL 60617
Description
8714 S. Commercial Ave. is a mixed-use retail and residential value-add opportunity located in Chicago's 60617 area. The property is being offered at $450,000 with a $25,000 buyer credit that may be applied toward the remaining renovation scope, subject to the terms of the purchase agreement. The asset consists of a 1,100-square-foot street-level retail storefront and five residential apartments, providing investors with a diversified income profile supported by neighborhood-serving retail and workforce housing demand. With three residential units and the retail storefront currently positioned for lease-up, the property offers a clear path to near-term income while the remaining apartments are completed and brought online. Lease the completed residential units and storefront, use the resulting operating momentum to reduce carrying costs, and complete the remaining residential renovations to achieve stabilized occupancy and cash flow. Residential and Retail Components The residential component includes: Three 2BR/1BA apartments that are move-in ready Two 3BR/1BA apartments requiring completion One 1,100-square-foot retail storefront that is move-in ready The two unfinished 3BR/1BA apartments require additional interior improvements, including drywall, kitchen cabinetry, appliances, finishes, and related completion work. The remaining renovation budget is estimated at $50,000. With the seller offering a $25,000 credit, the buyer's remaining estimated renovation exposure is reduced to $25,000, providing a more attractive basis and a defined path toward stabilization. Rather than deploying the full renovation budget before generating income, the buyer can sequence the remaining work while leasing the completed portions of the property. At stabilization, the property is projected to generate: Pro Forma Gross Revenue: $92,400 Effective Gross Revenue: $89,112 Pro Forma Net Operating Income: $53,482 Pro Forma Cap Rate on Estimated All-In Basis: 11.26% Based on an illustrative financing structure of 70% loan-to-value, the property may also produce $30,208 in annual cash flow after debt service, representing a projected 18.88% cash-on-cash return. Financing terms and actual returns will depend on the buyer's loan structure, renovation costs, lease-up timing, and operating performance. 8714 S. Commercial Ave. is well-suited for local and regional investors seeking a manageable mixed-use value-add opportunity with near-term income potential, limited remaining renovation exposure, and a measurable path to stabilized cash flow. The revised $450,000 asking price and $25,000 seller credit provide a more compelling entry point while preserving meaningful upside through renovation completion, leasing, and professional management.
Details
| MLS # | 12587967 |
|---|---|
| Listing Type | For Sale |
| Style | Mixed Use |
| Sub-Type | Resale |
| Status | Active |
| Year | 1899 |
| Days On Site | 167 |
| Listing Provided By | Keller Williams ONEChicago | Anthony Hardy |
Features
| SQ Feet | 2,425 |
|---|---|
| Story(s) | 3 |
| Units | 6 |
Interior
| Cooling | None |
|---|
Exterior
| Roof | Rubber, Tar/Gravel |
|---|---|
| Foundation Details | Stone |
| Construction Materials | Brick, Stone |
Utilities
| Electric | Other |
|---|
Taxes
| Tax Year | 2024 |
|---|---|
| Tax Annual Amount | 7663.53 |
Area Information
| State | IL |
|---|---|
| County | Cook |
| City | Chicago |
| Zip Code | 60617 |
| Area | CHI South Chicago |
| Listing VS Median (in 60617) | |
Price: $450,000 low | high Med: $215,000 sqft: 2,425 low | high Med: 1,266 $ / sqft: $186 low | high Med: $176 On site: 167 low | high Med: 291.5 | |
Market Activity 60617
Request a showing
Request a showing
Contact
Learn More About This Property
| State | IL |
|---|---|
| County | Cook |
| City | Chicago |
| Zip Code | 60617 |
| Area | CHI South Chicago |
| Listing VS Median (in 60617) | |
Price: $450,000 low | high Med: $215,000 sqft: 2,425 low | high Med: 1,266 $ / sqft: $186 low | high Med: $176 On site: 167 low | high Med: 291.5 | |
