Historic Mixed-Use Redevelopment
For Sale
$475,000
1007 Wealthy St SE, Grand Rapids, MI 49506
Approved plans combine residential units with adaptable main-floor commercial space along Wealthy Street.
Property Size3,600 SF
Price / SF$131.94
Days on Market10
Property Features for 1007 Wealthy St SE
General Information
Standard status
Active
Size
3,600 SF
Total Parking Spaces
3
Building Details
Year Built
1884
Buildings
1
Listing Agency:
Urban Soil Realty
(616) 437-1065
Listed By:
Bradley S Veneklase · License #6505408520
Source:
Katie-k
Added: Aug 22
Changed: Aug 28
Last Checked: Aug 30 at 8:12PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Urban Soil Realty
Investment Insights
Based on property information with market context.
Built in 1884, this historic mixed-use property is positioned for redevelopment with approved Historic Preservation Commission plans and completed permit drawings. The approved configuration includes four one-bedroom apartments, each with in-unit laundry, above approximately 1,800 SF of main-floor white-box commercial space with two restrooms.
The commercial area is planned for retail, hospitality, restaurant, or office use. The property also provides parking for three vehicles and includes a rear yard with patio potential. Located at 1007 Wealthy St SE in Grand Rapids, the building sits on the Wealthy Street corridor between Electric Cheetah and The Meanwhile Bar.
The commercial area is planned for retail, hospitality, restaurant, or office use. The property also provides parking for three vehicles and includes a rear yard with patio potential. Located at 1007 Wealthy St SE in Grand Rapids, the building sits on the Wealthy Street corridor between Electric Cheetah and The Meanwhile Bar.
Key Highlights
- Historic mixed‑use building constructed in 1884
- Approved plans for four one‑bedroom apartments with in‑unit laundry
- Approximately 1,800 SF of main‑floor white‑box commercial space
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
$39,744
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
8.37%
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%
$794,880
$794.9K
Cap Rate 7%
$567,771
$567.8K
Cap Rate 9%
$441,600
$441.6K
Market Conditions
NOI Build-Up for 3,600 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
$69.1K $19.20/SF
− Vacancy
−$5.5K −$1.54/SF
EGI
$63.6K $17.66/SF
− OpEx
−$23.8K −$6.62/SF
NOI
$39.7K $11.04/SF
Area
Grand Rapids, MI
Vacancy
8.00%
Lease Rate
$19.20 /SF/Yr
Expense Ratio
37.50%
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%
$794,880
Cap Rate 7%
$567,771
Cap Rate 9%
$441,600
Alternative Uses
Best Use
Retail
$745.5K
$652.3K – $869.8K
NOI $52,185 @ 7.0% cap · market cap 10.99%
Second Best
Mixed Use
$567.8K
$496.8K – $662.4K
NOI $39,744 @ 7.0% cap · market cap 8.37%
Theoretical Best
Specialty Retail
$835.5K
$731.0K – $974.7K
NOI $58,482 @ 7.0% cap · market cap 12.31%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,250
Businesses Nearby
Explore this area
Business Placement
Demographics for 49506, MI
33,050
Population
13,262
Households
2.5
Avg Household Size
34
Median Age
67%
College-Educated
97%
High-School Grad
7.3 sq mi
ZIP Area
4,527
Density / Sq Mi
$112,287
Median Household Income
$48,631
Median Earnings
$1,305
Median Rent
$338,600
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Approved plans combine residential units with adaptable main-floor commercial space along Wealthy Street.
Where is this mixed-use property located?
The property is located at 1007 Wealthy St SE Grand Rapids, MI.
What is the asking price?
The asking price for this property is $475,000.
What are key features of this property?
This property features: Historic mixed‑use building constructed in 1884; Approved plans for four one‑bedroom apartments with in‑unit laundry; Approximately 1,800 SF of main‑floor white‑box commercial space
