Mixed-Use Property with Retail
For Sale
$109,900
5928 E Michigan Avenue, Kalamazoo, MI 49048
COMMERCIAL - Kalamazoo, MI
Property Size1,076 SF
Lot Size0.20 Acres
Price / SF$102.14
Days on Market713
Property Features for 5928 E Michigan Avenue
General Information
Property type
Commercial Sale
Property subtype
Retail
Zoning description
B-3
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1
Elementary school district
Comstock
Middle school district
Comstock
High school district
Comstock
Directions
Sprinkle, head east on E Michigan.
Subdivision
Greater Kalamazoo - K
Standard status
Active
APN
390719230190
Size
1,076 SF
Lot size
0.20 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
SEC 19-2-10 BEG IN E LI RIVER ST AT A PT 334.06 FT N OF N LI REV PARK PLAT TH NELY TO A PT 235 FT W OF E LI SEC 19 & AB
Tax Annual Amount
1980
Legal Description
SEC 19-2-10 BEG IN E LI RIVER ST AT A PT 334.06 FT N OF N LI REV PARK PLAT TH NELY TO A PT 235 FT W OF E LI SEC 19 & AB
Utilities
Utilities
Electricity Available
Heating system
Forced Air
Building Details
Year built
1930
Floors in Building
1
Number of units
1
Listing Agency:
O'Brien Real Estate
(269) 381-6470
Listed By:
Pat O'Brien · License #6502102326
(269) 381-6470
Added: Sep 10, 2024
Changed: Aug 4
Last Checked: Aug 23 at 1:06PM
MLS# 24047844
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 1,076-square-foot mixed-use building, constructed in 1930, combines retail space with a bathroom that includes a shower. The layout also offers room for a small one-plus-bedroom apartment, allowing residential occupancy alongside commercial use or a retail-only configuration. Forced-air heating, city sewer, city water, electricity availability, and off-street parking are included.
The property occupies 0.2 acres on E Michigan Avenue, also identified as River Street, along M96. The location records 16,000 cars per day. B-3 zoning includes retail and open-air display uses, with the source also identifying potential applications such as a vape store, restaurant, or general store. The building was formerly used for water softener sales and service.
The property occupies 0.2 acres on E Michigan Avenue, also identified as River Street, along M96. The location records 16,000 cars per day. B-3 zoning includes retail and open-air display uses, with the source also identifying potential applications such as a vape store, restaurant, or general store. The building was formerly used for water softener sales and service.
Key Highlights
- Mixed‑use building with 1,076 square feet on 0.2 acres
- B‑3 zoning with retail and open‑air display uses
- Located on M96, also identified as E Michigan Avenue and River Street
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
$7,421
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
6.75%
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%
$148,420
$148.4K
Cap Rate 7%
$106,014
$106.0K
Cap Rate 9%
$82,456
$82.5K
Market Conditions
NOI Build-Up for 1,076 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
$12.9K $12.00/SF
− Vacancy
−$2.3K −$2.15/SF
EGI
$10.6K $9.85/SF
− OpEx
−$3.2K −$2.96/SF
NOI
$7.4K $6.90/SF
Area
Kalamazoo County, MI
Vacancy
17.90%
Lease Rate
$12.00 /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%
$148,420
Cap Rate 7%
$106,014
Cap Rate 9%
$82,456
Alternative Uses
Best Use
Mixed Use
$159.1K
$139.2K – $185.6K
NOI $11,137 @ 7.0% cap · market cap 10.13%
Second Best
Retail
$106.0K
$92.8K – $123.7K
NOI $7,421 @ 7.0% cap · market cap 6.75%
Theoretical Best
Warehouse
$281.6K
$246.4K – $328.5K
NOI $19,710 @ 7.0% cap · market cap 17.93%
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
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
151
Businesses Nearby
24k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Speedway
Shops & Services
11,142 visits/mo
0.1 miles
Dollar General
Shops & Services
5,326 visits/mo
0.3 miles
7-Eleven
Shops & Services
4,453 visits/mo
0.1 miles
Citgo
Shops & Services
2,856 visits/mo
0.4 miles
Demographics for 49048, MI
25,067
Population
10,440
Households
2.4
Avg Household Size
36
Median Age
25%
College-Educated
90%
High-School Grad
35.1 sq mi
ZIP Area
714
Density / Sq Mi
$62,160
Median Household Income
$36,150
Median Earnings
$1,032
Median Rent
$158,300
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - B-3 zoning accommodates retail, open-air displays, and a small residential component.
Where is this mixed-use property located?
The property is located at 5928 E Michigan Avenue Kalamazoo, MI.
What is the asking price?
The asking price for this property is $109,900.
What are key features of this property?
This property features: Mixed‑use building with 1,076 square feet on 0.2 acres; B‑3 zoning with retail and open‑air display uses; Located on M96, also identified as E Michigan Avenue and River Street
