101-115 E 51st St, Chicago, IL

Description:

WASHINGTON PARK RETAIL CENTER

101–115 E 51st St, Chicago, IL 60615

Executive Summary

Washington Park Retail Center presents a rare opportunity to acquire a stabilized, neighborhood-serving retail asset with strong in-place income and meaningful upside through lease-up. Strategically positioned at the signalized intersection of East 51st Street and South Michigan Avenue, the property benefits from consistent vehicular traffic, dense surrounding population, and proximity to major institutional and retail anchors.

Offered at $1,150,000, the asset consists of a 7,953 SF multi-tenant retail building situated on a 17,948 SF parcel, featuring 165 feet of frontage along 51st Street and dedicated on-site parking. The center is currently occupied by a diverse mix of service-oriented and food-based tenants, with one second-generation vacancy providing immediate value-add potential.

The property has demonstrated long-term tenant stability, with occupancy history dating back nearly two decades and leases extending through 2030. Combined with favorable B3-3 zoning and infrastructure conducive to food service uses, the asset is well-positioned for continued income growth and tenant demand.

Investment Highlights


Stable In-Place Income with Upside


Current PGI: $185,316
Stabilized PGI: $213,516 upon lease-up
Vacancy provides immediate NOI growth and improved expense ratio


Established Tenant Base

Oldest tenant in occupancy since 2006
Longest lease term extends through 2030
Mix of seven retail tenants with strong neighborhood ties


Food Service-Ready Infrastructure

Multiple spaces equipped with Type I hoods, large kitchens, and prep areas
Non-restaurant units are plumbed and adaptable for food or service uses
Proven resilience through COVID due to take-out/QSR model


Signalized Corner Location

Hard corner at 51st St & Michigan Ave
Traffic counts of approximately 12,548 vehicles per day
Strong visibility with 165 feet of frontage


Transit-Oriented Location

Two blocks from the CTA Green Line at the 51st Street Station
Immediate access to multiple CTA bus routes along 51st Street and Michigan Avenue


Recent Capital Improvements

Parking lot restriped and reconfigured (2026)
Roof recoated with updated flashing and coping (2017)
Routine plumbing maintenance and strong operational upkeep




Property Overview


Address: 101–115 E 51st St, Chicago, IL 60615
Property Name: Washington Park Retail Center
Price: $1,150,000
Building Size: 7,953 SF
Lot Size: 17,948 SF
Zoning: B3-3 (Community Shopping District)
Tenants: 7
Parking: 9+ surface spaces
Frontage: 165 FT on 51st Street
Traffic Count: 12,548 VPD
Intersection: Signalized


Physical & Structural Details


Foundation: Concrete slab
Structure: Steel joist framing
Exterior: Concrete masonry walls
Windows: Thermopane glass
Roof: Bituminous system

Recoated in 2017
Flashing replaced at all penetration points
Coping tiles replaced


Parking Lot: Asphalt

Reconfigured and restriped in 2026




Systems & Maintenance


HVAC: Tenant-maintained per lease agreements
Electrical: Fluorescent interior lighting
Plumbing:

Main lines rodded up to twice annually


Environmental:

Phase I Environmental Site Assessment completed in 2022
No recognized environmental concerns




Tenancy & Leasing Profile


Average Rent: $26.00/SF NNN
Occupancy: 6 of 7 units leased
Vacancy: One second-generation restaurant space

Currently being marketed for lease
Significant upside through lease-up


Tenant Mix:

Four second-generation restaurant spaces
Three traditional retail/service units


Lease Term Stability:

Long-term tenancy with historical retention
Lease expirations staggered, minimizing rollover risk




Location & Retail Corridor

Washington Park Retail Center is situated within a rapidly improving South Side corridor anchored by strong institutional and national retail presence. The property benefits from proximity to Hyde Park, Washington Park, and the University of Chicago, all of which have driven significant economic and demographic growth over the past two decades.

Nearby national and regional retailers include:


Starbucks
Whole Foods Market
Walgreens


These anchors, along with additional neighborhood retail, contribute to consistent consumer traffic and reinforce the area as a key commercial node.

Transit & Accessibility

The property is exceptionally well-connected via public transportation:


Two blocks from the CTA Green Line
Direct access via the 51st Street Station
Multiple CTA bus routes along 51st Street and Michigan Avenue


This accessibility supports both workforce mobility and customer traffic, enhancing tenant viability.

Demographics & Market Growth

Over the past 15–20 years, the surrounding South Side submarkets - particularly Hyde Park and Washington Park - have experienced substantial transformation driven by:


Expansion of the University of Chicago
Increased residential development and adaptive reuse projects
Public and private investment in infrastructure and retail corridors
Growing population density and rising household incomes


These trends have resulted in:


Strengthened retail demand
Increased consumer spending power
Improved tenant credit quality and retention


The subject property stands to benefit directly from these long-term macroeconomic tailwinds.

Value-Add Opportunity

The offering presents a clear path to NOI growth through:


Lease-up of the vacant second-generation space
Potential rental rate increases toward market levels
Continued demand for food-oriented retail spaces
Optimization of expense ratios through stabilized occupancy


With a stabilized PGI of $213,516, investors can achieve meaningful yield expansion while maintaining a defensible basis.

MARKET OVERVIEW & SUBMARKET CONTEXT

Washington Park Retail Center is strategically positioned along the 51st Street commercial corridor, bridging the Washington Park and Hyde Park submarkets on Chicago’s South Side. This corridor has experienced a multi-decade transformation driven by institutional expansion, public-sector reinvestment, and steady infill development.

The surrounding area benefits from proximity to some of Chicago’s most significant economic and institutional anchors, including the University of Chicago, Jackson Park redevelopment initiatives, and ongoing corridor-level infrastructure improvements.

Over the past 15–20 years, the submarket has experienced:


Significant demographic stabilization and income growth in select census tracts
Increased owner-occupied residential investment and renovation activity
Expansion of neighborhood-serving retail and QSR tenancy
Strengthening of transit-oriented commercial demand along CTA corridors


These dynamics have materially improved the long-term fundamentals supporting neighborhood retail assets such as the subject property.

INSTITUTIONAL ANCHORS & CATALYSTS

University of Chicago Influence Zone

The property benefits from proximity to the University of Chicago, one of the largest economic engines on the South Side.

Key impacts include:


Consistent demand from students, faculty, and hospital staff
Strong employment base supporting daily retail traffic
Long-term institutional capital investment in surrounding neighborhoods
Spillover demand into Washington Park retail corridors


Obama Presidential Center Catalyst

The property is also located within the broader influence area of the Obama Presidential Center, located in nearby Jackson Park.

This development is expected to:


Drive increased regional visitation and tourism traffic
Accelerate infrastructure upgrades in adjacent neighborhoods
Enhance retail demand across South Shore / Hyde Park / Washington Park corridors
Improve long-term investor sentiment toward surrounding commercial assets


OPPORTUNITY ZONE & PUBLIC INCENTIVE OVERLAY

The subject property is believed to be located within or adjacent to federally designated Opportunity Zone census tracts (verification at tract level recommended).

If confirmed, this designation may provide investors with potential tax advantages, including:


Deferral of capital gains taxes
Reduction of taxable gains depending on hold period
Potential tax-free appreciation on new gains if held long-term in a qualified structure


In addition, the property’s location within the City of Chicago 51st / Lake Park TIF District (T-175) further enhances its public incentive profile, supporting potential access to:


Façade improvement programs
Tenant improvement reimbursement
Corridor infrastructure reinvestment
Small business and retail activation grants (subject to approval)



- Washington Park, Chicago



Stable Income with Upside
$185K PGI with upside to $213K via lease-up of one vacancy, offering immediate NOI growth potential.
Prime Corner Location
Signalized 51st & Michigan Ave corner with ~12,548 VPD and 165 FT frontage for strong visibility.
Long-Term Tenant Stability
Tenants in place since 2006 with leases through 2030, minimizing turnover and vacancy risk.
Restaurant-Ready Spaces
Multiple units with Type I hoods and kitchens, ideal for QSR and food-based tenants.
Transit & Institutional Access
Near CTA Green Line and major anchors like University of Chicago and Obama Presidential Center.
High-Growth Corridor
Located in a redeveloping South Side corridor with strong demographics and investment momentum.