DWG Capital Group presents a significantly repriced industrial investment opportunity in Harrisburg, Illinois. The ±34,621 SF facility is offered at approximately $2.70 million, or $77.95/SF, representing a significant price improvement from the prior 6.0% cap pricing to a 7.0% cap rate.
The property is currently a dark leased industrial asset with contractual income in place and considerable long-term upside.
The next contractual rent escalation occurs in December 2026, increasing annual rent and NOI to approximately $188,899, or approximately $5.46/SF NNN. At a 7.0% cap rate, the implied value is approximately $2.70 million. The lease remains in place through May 31, 2033, subject to its terms.
Investment Highlights
Offering Price: Approximately $2.70 million
Cap Rate: 7.00%
NOI: Approximately $188,899
Basis: Approximately $77.95/SF
Contract Rent: Approximately $5.46/SF NNN
Significant Price Improvement: Repriced from a 6.0% cap to a 7.0% cap
Dark Lease: The facility is currently dark while contractual lease obligations remain in place
Lease Term: Initial term through May 31, 2033, with approximately 6.7 years remaining as of September 2026.
Absolute Net Lease: Tenant is responsible for substantially all property operating costs, taxes, maintenance and repairs under the lease.
Goodyear Guaranty: The lease package includes a guaranty from The Goodyear Tire & Rubber Company covering rent and other tenant obligations.
Below Replacement Cost: Entry basis of approximately $78/SF
Multiple Exit Strategies: Hold for contractual income through the existing lease term, pursue re-tenanting or owner-user occupancy following lease expiration, or evaluate alternative occupancy strategies only as permitted by the existing lease and any future tenant negotiations
1031 Exchange Appeal: Attractive sub-$3 million transaction size with contractual income and long-term optionality
Property Overview
Address: 709 S. Commercial Street, Harrisburg, IL 62946
Building Size: Approximately 34,621 SF
Current Use: Commercial truck / industrial facility
Market & Location
The property is positioned in Harrisburg, Illinois, serving southern Illinois and the broader tri-state region including nearby Kentucky and Indiana.
The low acquisition basis provides a defensible entry point relative to replacement cost and supports multiple long-term strategies after the existing lease term, subject to the lease and any future tenant arrangements.
Current Economics
NOI: $188,899
Cap Rate: 7.00%
Offering Price: Approximately $2.70 million
Price/SF: Approximately $77.95/SF
Contract Rent: Approximately $5.46/SF NNN
Opportunity
The investment thesis is straightforward:
A dark leased industrial asset at approximately $78/SF, with contractual income, a Goodyear guaranty, approximately 6.7 years of remaining initial lease term, and long-term upside after lease expiration or otherwise as permitted by the lease.
The current pricing represents a significant improvement from the prior 6.0% cap pricing to a 7.0% cap, creating an attractive basis for investors seeking contractual income and future optionality.