Waterfront Lounge and
For Sale
$1,800,000
4168 W Houghton Lake Drive, Houghton Lake, MI 48629
COMMERCIAL - Houghton Lake, MI
Property Size8,420 SF
Lot Size0.95 Acres
Price / SF$213.78
Days on Market29
Property Features for 4168 W Houghton Lake Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Parking features
Parking Lot
Exterior features
Wood
Lot features
Freestanding
Directions
Highway M55 South Shore of Houghton Lake directly across from Spicer's Boat City Marina
Subdivision
Roscommon
Standard status
Active
Size
8,420 SF
Lot size
0.95 Acres
Taxes and HOA fees
Tax Description
L1164/P2394 L928/P692 L900/P11 L890/P266 L420/P292 223 LOT 10 -.81 A KILLCARE RESORT AND ALL LAND THAT LIES W OF W LINE OF LOT 10 KILLCARE RESORT AND 141 FT E OF AND PARALLEL TO E LINE OF DETROIT ST EXT FROM N LINE OF M-55 TO S SHORE OF LAKE BEING 10.7 FT
Legal Description
L1164/P2394 L928/P692 L900/P11 L890/P266 L420/P292 223 LOT 10 -.81 A KILLCARE RESORT AND ALL LAND THAT LIES W OF W LINE OF LOT 10 KILLCARE RESORT AND 141 FT E OF AND PARALLEL TO E LINE OF DETROIT ST EXT FROM N LINE OF M-55 TO S SHORE OF LAKE BEING 10.7 FT
Utilities
Water source
Private
Water front
1
Amenities
sandy beach
lakeside dock
flat-screen televisions
leather-furnished lounge area
entertainment stage
Building Details
Building materials
Frame
Roof type
Asphalt
Listing Agency:
COLDWELL BANKER SCHMIDT REALTORS-HL
(989) 366-5522
Listed By:
RUTH CLEMENS · License #6506043271
(989) 429-3100
Added: Jul 27
Changed: Aug 4
Last Checked: Aug 24 at 4:06PM
MLS# 1948619
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.
An iconic waterfront lounge and restaurant featuring approximately 8,400 square feet with a signature horseshoe-shaped bar and four distinct bar areas for flexible service and events. Indoor spaces include a main horseshoe-shaped bar, and additional options include a lake-level open-air lower bar, a 1,404-square-foot three-sided open-air lakeside pavilion bar, and an additional bar and entertainment area.
A second floor, originally designed as a poker room, adds extra space that can support private events, gaming, entertainment, or expanded seating. The restaurant includes a well-equipped commercial kitchen with top-of-the-line equipment and a modern POS system, plus a unique char broiler in the dining area for an interactive steak-prep presentation.
Outside, enjoy a 560-square-foot open-air lakeside balcony and expansive indoor and outdoor seating capacity. The property also features numerous flat-screen televisions, a leather-furnished lounge area, an entertainment stage, a lakeside pavilion, a sandy beach, and a lakeside dock. The site offers 152 feet of frontage on Houghton Lake, Michigan’s largest inland lake spanning more than 22,000 acres.
A second floor, originally designed as a poker room, adds extra space that can support private events, gaming, entertainment, or expanded seating. The restaurant includes a well-equipped commercial kitchen with top-of-the-line equipment and a modern POS system, plus a unique char broiler in the dining area for an interactive steak-prep presentation.
Outside, enjoy a 560-square-foot open-air lakeside balcony and expansive indoor and outdoor seating capacity. The property also features numerous flat-screen televisions, a leather-furnished lounge area, an entertainment stage, a lakeside pavilion, a sandy beach, and a lakeside dock. The site offers 152 feet of frontage on Houghton Lake, Michigan’s largest inland lake spanning more than 22,000 acres.
Key Highlights
- Approximately 8,400 SF lounge and restaurant with signature horseshoe‑shaped bar
- 152 feet of frontage on Houghton Lake with sandy beach and lakeside dock
- Four distinct bar areas including lake‑level open‑air lower bar
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
$64,103
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
3.56%
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%
$1,282,060
$1.3M
Cap Rate 7%
$915,757
$915.8K
Cap Rate 9%
$712,256
$712.3K
Market Conditions
NOI Build-Up for 8,420 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
$118.2K $14.04/SF
− Vacancy
−$32.7K −$3.89/SF
EGI
$85.5K $10.15/SF
− OpEx
−$21.4K −$2.54/SF
NOI
$64.1K $7.61/SF
Area
Roscommon County, MI
Vacancy
27.70%
Lease Rate
$14.04 /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%
$1,282,060
Cap Rate 7%
$915,757
Cap Rate 9%
$712,256
Alternative Uses
Best Use
Specialty Retail
$915.8K
$801.3K – $1.07M
NOI $64,103 @ 7.0% cap · market cap 3.56%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.39M
$1.21M – $1.62M
NOI $96,998 @ 7.0% cap · market cap 5.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
98
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48629, MI
7,420
Population
7,248
Households
1
Avg Household Size
56
Median Age
18%
College-Educated
90%
High-School Grad
77.5 sq mi
ZIP Area
96
Density / Sq Mi
$54,622
Median Household Income
$33,544
Median Earnings
$784
Median Rent
$142,300
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Limberlost Fine Food & Spirits — 4168 w houghton lake dr, houghton lake, mi 48629
- The Limberlost — 4168 W Houghton Lake Dr, Houghton Lake, MI 48629
- LJ'S Kilkare — 3942 W Houghton Lake Dr, Houghton Lake, MI 48629
Frequently Asked Questions
What type of property is this?
Bar & Pub - Lounge and restaurant with 152 feet of lake frontage on a sandy beach, dock, and multiple bar and event areas.
Where is this bar & pub located?
The property is located at 4168 W Houghton Lake Drive Houghton Lake, MI.
What is the asking price?
The asking price for this property is $1,800,000.
What are key features of this property?
This property features: Approximately 8,400 SF lounge and restaurant with signature horseshoe‑shaped bar; 152 feet of frontage on Houghton Lake with sandy beach and lakeside dock; Four distinct bar areas including lake‑level open‑air lower bar
