Turn-Key Drive-Through
For Sale
$345,000
3510 W Cadillac Drive, Farwell, MI 48622
COM/IND/BUS OPP, Farwell, MI
Property Size1,612 SF
Lot Size0.97 Acres
Price / SF$214.02
Days on Market116
Property Features for 3510 W Cadillac Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Parking features
Parking Lot, Off Street
Subdivision
Mets and Bounds
Lot features
Main Street, Rural, Cleared
Standard status
Active
Size
1,612 SF
Lot size
0.97 Acres
Taxes and HOA fees
Tax Year
2024
Utilities
Heating system
Forced Air
Cooling system
Central Air
Water source
Private
Amenities
security cameras
alarm system
outdoor accessible restrooms
employee restroom
new well
natural gas heat
central air unit
makeup air unit
exterior building and parking lot lighting
Building Details
Year built
2001
Roof type
Shingle
Listing Agency:
CONDELL WONDER LAND
(989) 539-2771
Listed By:
TROY CONDELL · License #6504204982
(989) 578-9630
Added: Apr 28
Changed: Aug 19
Last Checked: Aug 21 at 2:06AM
MLS# 50205631
Copyright © 2026 Clare Gladwin Board 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.
This turn-key diner-style restaurant is ready for new ownership. The 1,612 SF building was built in 2001 and includes a 29x27 dining area with seating for over 50 guests, a fully updated 14x20 kitchen (2025), plus an 8x7 prep office and an 8x7 storage room. Additional kitchen support includes a 5x21 freezer and storage area with a 3-door refrigerator and 3-door freezer. A drive-through window with an outdoor menu board supports takeout and quick service. The property also includes two outdoor accessible restrooms (10x7 and 6x9) plus an employee restroom inside. Exterior amenities include a lighted street sign, four picnic tables for outdoor seating, and a spacious 25+ car blacktop circle driveway with room for trailer and RV parking. Security cameras and an alarm system are included.
The restaurant is located on busy M-115 just west of Farwell, right off the US-10 expressway exit, between Farwell and Cadillac. The property is well-lit with exterior building and parking lot lighting. Heating is natural gas forced air, with the furnace located in the ceiling, central air, a makeup air unit, and a fire suppression system. A new well was installed in fall 2025. Sale includes fixtures and equipment as seen.
Parking is off-street in a parking lot/circle driveway configuration, supported by private water and a shingle roof.
The restaurant is located on busy M-115 just west of Farwell, right off the US-10 expressway exit, between Farwell and Cadillac. The property is well-lit with exterior building and parking lot lighting. Heating is natural gas forced air, with the furnace located in the ceiling, central air, a makeup air unit, and a fire suppression system. A new well was installed in fall 2025. Sale includes fixtures and equipment as seen.
Parking is off-street in a parking lot/circle driveway configuration, supported by private water and a shingle roof.
Key Highlights
- 1,612 SF diner‑style restaurant built in 2001
- 29x27 dining area seats over 50 guests
- 14x20 fully updated kitchen (2025) plus prep office and storage
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
$21,273
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
6.17%
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%
$425,460
$425.5K
Cap Rate 7%
$303,900
$303.9K
Cap Rate 9%
$236,367
$236.4K
Market Conditions
NOI Build-Up for 1,612 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
$30.0K $18.60/SF
− Vacancy
−$1.6K −$1.00/SF
EGI
$28.4K $17.60/SF
− OpEx
−$7.1K −$4.40/SF
NOI
$21.3K $13.20/SF
Area
Detroit, MI
Vacancy
5.40%
Lease Rate
$18.60 /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%
$425,460
Cap Rate 7%
$303,900
Cap Rate 9%
$236,367
Alternative Uses
Best Use
Specialty Retail
$303.9K
$265.9K – $354.6K
NOI $21,273 @ 7.0% cap · market cap 6.17%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$355.6K
$311.2K – $414.9K
NOI $24,893 @ 7.0% cap · market cap 7.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
8
Businesses Nearby
Explore this area
Business Placement
Demographics for 48622, MI
6,364
Population
3,213
Households
2
Avg Household Size
47
Median Age
18%
College-Educated
93%
High-School Grad
86.1 sq mi
ZIP Area
74
Density / Sq Mi
$57,500
Median Household Income
$36,019
Median Earnings
$754
Median Rent
$123,600
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Drive through restaurant - Turn-key diner-style restaurant with a drive-through window, central air, and a large paved parking area on nearly one acre.
Where is this drive through restaurant located?
The property is located at 3510 W Cadillac Drive Farwell, MI.
What is the asking price?
The asking price for this property is $345,000.
What are key features of this property?
This property features: 1,612 SF diner‑style restaurant built in 2001; 29x27 dining area seats over 50 guests; 14x20 fully updated kitchen (2025) plus prep office and storage
