Commercial Land with Existing
For Sale
$1,350,000
120 Park Street, Traverse City, MI 49684
Commercial, Traverse City, MI
Property Size3,500 SF
Lot Size0.17 Acres
Price / SF$385.71
Days on Market654
Property Features for 120 Park Street
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
Commercial
Bathrooms
3
Full bathrooms
3
Rooms
Bathroom 3, Bathroom 1, Bathroom 2
Parking features
Parking Lot
Exterior features
Block
Lot features
Corner Lot, Freestanding
Directions
Downtown Traverse City. West side of Park Street between State and Front
Subdivision
Grand Traverse
Standard status
Active
Size
3,500 SF
Lot size
0.17 Acres
Taxes and HOA fees
Tax Description
N 56 FT OF LOTS 11 & 12 BLK 6 ORIG PLAT
Legal Description
N 56 FT OF LOTS 11 & 12 BLK 6 ORIG PLAT
Building Details
Building materials
Block, Steel
Roof type
Membrane
Listing Agency:
Twin Bay Properties, LLC
Listed By:
David Cutler · License #6502417683
(231) 357-7800
Added: Dec 11, 2024
Changed: Sep 15
Last Checked: Sep 26 at 9:06AM
MLS# 1929579
Copyright © 2026 Northern Great Lakes Realtors MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 0.17-acre commercial property includes an existing 3,500-square-foot block and steel building with a membrane roof. The building was previously used as a microbrewery and retains hoods, vents, and a walk-in cooler. Its layout can accommodate renewed brewery or restaurant use, subject to applicable approvals, and the structure may also serve office or retail purposes.
Located in downtown Traverse City at 120 Park Street, the property occupies a 7,392-square-foot lot with minimum setbacks. C4-C zoning allows maximum height and density, while the zoning information indicates that on-site parking is not required. A parking lot is also listed among the property features.
Located in downtown Traverse City at 120 Park Street, the property occupies a 7,392-square-foot lot with minimum setbacks. C4-C zoning allows maximum height and density, while the zoning information indicates that on-site parking is not required. A parking lot is also listed among the property features.
Key Highlights
- 0.17‑acre commercial property in downtown Traverse City
- Existing 3,500‑square‑foot block and steel building
- C4‑C zoning allows maximum height and density
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
$46,784
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
3.47%
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%
$935,680
$935.7K
Cap Rate 7%
$668,343
$668.3K
Cap Rate 9%
$519,822
$519.8K
Market Conditions
NOI Build-Up for 3,500 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
$66.4K $18.96/SF
− Vacancy
−$4.0K −$1.14/SF
EGI
$62.4K $17.82/SF
− OpEx
−$15.6K −$4.46/SF
NOI
$46.8K $13.37/SF
Area
Grand Traverse County, MI
Vacancy
6.00%
Lease Rate
$18.96 /SF/Yr
Expense Ratio
25.00%
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%
$935,680
Cap Rate 7%
$668,343
Cap Rate 9%
$519,822
Alternative Uses
Best Use
Specialty Retail
$668.3K
$584.8K – $779.7K
NOI $46,784 @ 7.0% cap · market cap 3.47%
Second Best
Office B
$535.5K
$468.6K – $624.8K
NOI $37,485 @ 7.0% cap · market cap 2.78%
Theoretical Best
Office A
$760.3K
$665.3K – $887.0K
NOI $53,222 @ 7.0% cap · market cap 3.94%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Commercial hood
Location Intelligence
Trade Area within ½ mile
2,085
Businesses Nearby
Explore this area
Business Placement
Demographics for 49684, MI
22,025
Population
10,959
Households
2
Avg Household Size
49
Median Age
46%
College-Educated
96%
High-School Grad
52.8 sq mi
ZIP Area
417
Density / Sq Mi
$75,678
Median Household Income
$39,553
Median Earnings
$1,216
Median Rent
$375,700
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Midwest region
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Frequently Asked Questions
What type of property is this?
Commercial land - C4-C zoning allows maximum height and density, with no parking requirement for the site.
Where is this commercial land located?
The property is located at 120 Park Street Traverse City, MI.
What is the asking price?
The asking price for this property is $1,350,000.
What are key features of this property?
This property features: 0.17‑acre commercial property in downtown Traverse City; Existing 3,500‑square‑foot block and steel building; C4‑C zoning allows maximum height and density
