Grocery Convenience Store with Food-Service
For Sale
$324,900
2821 S Hill Road, Gladstone, MI 49837
COM/IND/BUS OPP, Gladstone, MI
Property Size2,584 SF
Lot Size0.26 Acres
Price / SF$125.74
Days on Market129
Property Features for 2821 S Hill Road
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Commercial
Zoning description
Commercial
Parking features
Parking Lot
Subdivision
MASHEK BUCKBEE ADDITION OF CITY OF GLADSTONE
Lot features
Subdivision, Cleared
Standard status
Active
Size
2,584 SF
Lot size
0.26 Acres
Taxes and HOA fees
Tax Year
2022
Tax Annual Amount
4849
Utilities
Heating system
Forced Air
Cooling system
Central Air
Water source
Public
Amenities
large cooler space
separate kitchen/prep area
separate entrance
large storage/bathroom
office
Building Details
Year built
1997
Roof type
Asphalt
Listing Agency:
PREMIER REAL ESTATE, INC.
(906) 786-5030
Listed By:
LORI RYMKOS · License #UPAR
(906) 280-3165
Added: May 15
Changed: Sep 7
Last Checked: Sep 20 at 3:06PM
MLS# 50207974
Copyright © 2026 Upper Peninsula Association of Realtors. 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.
Built in 1997, this 2,584-square-foot commercial building previously operated as a grocery, liquor, and convenience store. The layout includes large cooler space, a separate kitchen and preparation area with its own entrance, storage, a bathroom, and an office. Past merchandise included groceries, beer, wine, liquor, lottery products, and convenience items. Forced-air heat, central air, public water, and an asphalt roof serve the building.
The property occupies 0.26 acres at 2821 S Hill Road in Gladstone, Michigan, at the corner of two roads. A parking lot provides off-street parking. The separate food-service area can accommodate preparation for offerings such as pizza, subs, deli items, ice cream, or coffee, subject to applicable approvals and requirements.
The property occupies 0.26 acres at 2821 S Hill Road in Gladstone, Michigan, at the corner of two roads. A parking lot provides off-street parking. The separate food-service area can accommodate preparation for offerings such as pizza, subs, deli items, ice cream, or coffee, subject to applicable approvals and requirements.
Key Highlights
- 2,584‑square‑foot commercial building on 0.26 acres
- Former grocery, liquor, and convenience store operation
- Large cooler space plus separate kitchen and preparation area
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
$22,275
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
6.86%
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%
$445,500
$445.5K
Cap Rate 7%
$318,214
$318.2K
Cap Rate 9%
$247,500
$247.5K
Market Conditions
NOI Build-Up for 2,584 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
$38.8K $15.00/SF
− Vacancy
−$6.9K −$2.69/SF
EGI
$31.8K $12.32/SF
− OpEx
−$9.5K −$3.69/SF
NOI
$22.3K $8.62/SF
Area
Delta County, MI
Vacancy
17.90%
Lease Rate
$15.00 /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%
$445,500
Cap Rate 7%
$318,214
Cap Rate 9%
$247,500
Alternative Uses
Best Use
Specialty Retail
$485.4K
$424.7K – $566.3K
NOI $33,977 @ 7.0% cap · market cap 10.46%
Second Best
Retail
$318.2K
$278.4K – $371.3K
NOI $22,275 @ 7.0% cap · market cap 6.86%
Theoretical Best
Office A
$505.8K
$442.6K – $590.2K
NOI $35,409 @ 7.0% cap · market cap 10.90%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
74
Businesses Nearby
26k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 76%
Shops & Services 24%
McDonald's
Dining
16,083 visits/mo
0.4 miles
Mobil
Shops & Services
6,175 visits/mo
0.4 miles
SUBWAY
Dining
2,480 visits/mo
0.3 miles
Domino's Pizza
Dining
1,048 visits/mo
0.3 miles
Demographics for 49837, MI
10,086
Population
4,488
Households
2.2
Avg Household Size
48
Median Age
24%
College-Educated
95%
High-School Grad
69.0 sq mi
ZIP Area
146
Density / Sq Mi
$65,905
Median Household Income
$35,156
Median Earnings
$782
Median Rent
$145,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Frequently Asked Questions
What type of property is this?
Grocery and convenience store - Commercial building with cooler capacity, food-preparation space, office area, and dedicated customer access.
Where is this grocery and convenience store located?
The property is located at 2821 S Hill Road Gladstone, MI.
What is the asking price?
The asking price for this property is $324,900.
What are key features of this property?
This property features: 2,584‑square‑foot commercial building on 0.26 acres; Former grocery, liquor, and convenience store operation; Large cooler space plus separate kitchen and preparation area
