Remodeled Conventional
For Sale
$264,900
5610 109th Avenue, Pullman, MI 49450
Commercial Sale, Pullman, MI
Property Size1,080 SF
Lot Size0.17 Acres
Price / SF$245.28
Days on Market189
Property Features for 5610 109th Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1
Elementary school district
Bloomingdale
Middle school district
Bloomingdale
High school district
Bloomingdale
Standard status
Active
APN
031200805901
Size
1,080 SF
Lot size
0.17 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
on file
Tax Annual Amount
4300
Legal Description
on file
Utilities
Utilities
Phone Available
Heating system
Forced Air
Cooling system
Central Air
Building Details
Year built
2004
Floors in Building
1
Number of units
1
Roof type
Composition
Listing Agency:
Berkshire Hathaway HomeServices Michigan Real Estate
(269) 639-9998
Listed By:
Trish King · License #6502349985
(269) 208-1250
Added: Mar 4
Changed: Sep 7
Last Checked: Sep 9 at 3:06AM
MLS# 26008199
Copyright © 2026 Michigan Regional Information Center, LLC. 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 1,080-square-foot conventional restaurant was built in 2004 and includes kitchen equipment, a fire-suppression system over the fryer, and a stove system. The interior and exterior have been remodeled, and the property includes a septic drain system. Heating is provided by forced air, with central air conditioning and a composition roof.
Located at 5610 109th Avenue in Pullman, Michigan, the sale also includes an adjacent building formerly used as a hardware store. That building has been partially remodeled and has a new roof, but it does not currently have water. The drive area and land associated with the building next door are leased from CSX rail. An extra lot behind the property is included and could possibly be approved for a well.
Located at 5610 109th Avenue in Pullman, Michigan, the sale also includes an adjacent building formerly used as a hardware store. That building has been partially remodeled and has a new roof, but it does not currently have water. The drive area and land associated with the building next door are leased from CSX rail. An extra lot behind the property is included and could possibly be approved for a well.
Key Highlights
- 1,080 SF restaurant building constructed in 2004
- Remodeled interior and exterior
- Kitchen equipment with fire‑suppression system over fryer and stove system
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
$12,012
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
4.53%
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%
$240,240
$240.2K
Cap Rate 7%
$171,600
$171.6K
Cap Rate 9%
$133,467
$133.5K
Market Conditions
NOI Build-Up for 1,080 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
$16.7K $15.48/SF
− Vacancy
−$702 −$0.65/SF
EGI
$16.0K $14.83/SF
− OpEx
−$4.0K −$3.71/SF
NOI
$12.0K $11.12/SF
Area
Allegan County, MI
Vacancy
4.20%
Lease Rate
$15.48 /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%
$240,240
Cap Rate 7%
$171,600
Cap Rate 9%
$133,467
Alternative Uses
Best Use
Specialty Retail
$171.6K
$150.2K – $200.2K
NOI $12,012 @ 7.0% cap · market cap 4.53%
Second Best
Retail
$160.2K
$140.1K – $186.9K
NOI $11,211 @ 7.0% cap · market cap 4.23%
Theoretical Best
Hotel Hospitality
$10.14M
$8.87M – $11.83M
NOI $709,962 @ 7.0% cap · market cap 268.01%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
62
Businesses Nearby
8k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Mobil
Shops & Services
4,241 visits/mo
0.0 miles
Dollar General
Shops & Services
4,181 visits/mo
0.1 miles
Demographics for 49450, MI
3,159
Population
1,610
Households
2
Avg Household Size
36
Median Age
18%
College-Educated
74%
High-School Grad
29.3 sq mi
ZIP Area
108
Density / Sq Mi
$48,809
Median Household Income
$31,897
Median Earnings
$1,205
Median Rent
$128,100
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?
Conventional restaurant - Restaurant property with kitchen equipment, fire-suppression systems, and an additional building with a new roof.
Where is this conventional restaurant located?
The property is located at 5610 109th Avenue Pullman, MI.
What is the asking price?
The asking price for this property is $264,900.
What are key features of this property?
This property features: 1,080 SF restaurant building constructed in 2004; Remodeled interior and exterior; Kitchen equipment with fire‑suppression system over fryer and stove system
