Car Lot with Retail Office
For Sale
$799,900
5740 Division Avenue S, Grand Rapids, MI 49548
COMMERCIAL - Grand Rapids, MI
Property Size2,128 SF
Lot Size1.57 Acres
Price / SF$375.89
Days on Market27
Property Features for 5740 Division Avenue S
General Information
Property type
Commercial Sale
Property subtype
Retail
Zoning description
FBC/COMMERCIAL
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1
Elementary school district
Kentwood
Middle school district
Kentwood
High school district
Kentwood
Directions
S Division to 58th
Standard status
Active
APN
41-18-31-304-040
Size
2,128 SF
Lot size
1.57 Acres
Taxes and HOA fees
Tax Year
2026
Tax Description
Lengthy Legal(See attached)
Tax Annual Amount
8180
Legal Description
Lengthy Legal(See attached)
Utilities
Heating system
Forced Air
Building Details
Year built
1950
Floors in Building
1
Number of units
1
Listing Agency:
Cascade Properties Rlty LLC
(616) 942-0048
Listed By:
Jordan P Nemmers · License #6506042764
(616) 745-5062
Added: Jul 14
Changed: Aug 4
Last Checked: Aug 9 at 1:06PM
MLS# 26035836
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 1.57-acre commercial parcel has operated as a car lot for more than 30 years. The site includes a retail building with a bath and four separate offices, providing on-site space that can support a range of commercial uses.
The property is located on the south side of Division Ave in the Grand Rapids area, near Cutlerville, and is described as having great visibility and easy access.
With both paved lot use and enclosed office space, the layout offers flexible options for buyers seeking a multi-use property configuration.
The property is located on the south side of Division Ave in the Grand Rapids area, near Cutlerville, and is described as having great visibility and easy access.
With both paved lot use and enclosed office space, the layout offers flexible options for buyers seeking a multi-use property configuration.
Key Highlights
- 1.566‑acre commercial parcel on the south side of busy Division Ave near Cutlerville
- Retail building includes a bathroom and 4 separate offices
- Forced air heating
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
$30,847
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
3.86%
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%
$616,940
$616.9K
Cap Rate 7%
$440,671
$440.7K
Cap Rate 9%
$342,744
$342.7K
Market Conditions
NOI Build-Up for 2,128 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
$46.7K $21.96/SF
− Vacancy
−$2.7K −$1.25/SF
EGI
$44.1K $20.71/SF
− OpEx
−$13.2K −$6.21/SF
NOI
$30.8K $14.50/SF
Area
Grand Rapids, MI
Vacancy
5.70%
Lease Rate
$21.96 /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%
$616,940
Cap Rate 7%
$440,671
Cap Rate 9%
$342,744
Alternative Uses
Best Use
Retail
$440.7K
$385.6K – $514.1K
NOI $30,847 @ 7.0% cap · market cap 3.86%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$493.8K
$432.1K – $576.2K
NOI $34,569 @ 7.0% cap · market cap 4.32%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
472
Businesses Nearby
23k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 48%
Shops & Services 47%
Electronics 5%
Popeyes Louisiana Kitchen
Dining
10,885 visits/mo
0.3 miles
Mobil
Shops & Services
5,425 visits/mo
0.5 miles
Family Dollar
Shops & Services
5,297 visits/mo
0.1 miles
Boost Mobile
Electronics
1,127 visits/mo
0.2 miles
Demographics for 49548, MI
34,741
Population
13,174
Households
2.6
Avg Household Size
34
Median Age
17%
College-Educated
86%
High-School Grad
10.8 sq mi
ZIP Area
3,217
Density / Sq Mi
$62,218
Median Household Income
$35,831
Median Earnings
$1,129
Median Rent
$149,500
Median Home Value
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- DRC Customs — 5610 Division Ave S #103, Kentwood, MI 49548
- U-Haul Neighborhood Dealer — 5633 Division Ave S, Wyoming, MI 49548
- Car Rental — 5824 Division Ave S, Grand Rapids, MI 49548
- Division Ave Self Storage — 5633 Division Ave S, Wyoming, MI 49548
- Penske Truck Rental — 5475 clay ave sw, grand rapids, mi 49548
Frequently Asked Questions
What type of property is this?
Parking lot & garage - 1.57-acre parcel includes a retail building with a bath and four separate offices, with access off busy Division Ave.
Where is this parking lot & garage located?
The property is located at 5740 Division Avenue S Grand Rapids, MI.
What is the asking price?
The asking price for this property is $799,900.
What are key features of this property?
This property features: 1.566‑acre commercial parcel on the south side of busy Division Ave near Cutlerville; Retail building includes a bathroom and 4 separate offices; Forced air heating
