Renovated Cannabis
New
For Sale
$399,999
1014 N Johnson St, Bay City, MI 48708
Updated retail building with a newer roof and refreshed interior finishes.
Property Size2,823 SF
Days on Market6
Property Features for 1014 N Johnson St
General Information
Standard status
Active
Size
2,823 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$4,611
Building Details
Building Size
2,823 SF
Year Built
1900
Listing Agency:
eXp Realty
(248) 910-1379
Listed By:
Carmita Ballard
(248) 910-1379
Source:
Elliman
Added: Aug 15
Changed: Aug 16
Last Checked: Aug 20 at 10:52AM
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 eXp Realty
Investment Insights
Based on property information with market context.
Located at 1014 N Johnson St in Bay City, this approximately 2,800 sq. ft. commercial building was originally built in 1900 and has undergone extensive renovation. The property is currently operating as a licensed cannabis dispensary, with updated interior finishes, a newer roof, and a maintained retail configuration.
The offering consists of the real estate only. Business operations, licensing, inventory, furniture, fixtures, equipment, security systems, POS equipment, and other contents are excluded, although certain business-related assets may be negotiated separately. Continued cannabis use and other commercial applications remain subject to applicable zoning and licensing requirements.
The offering consists of the real estate only. Business operations, licensing, inventory, furniture, fixtures, equipment, security systems, POS equipment, and other contents are excluded, although certain business-related assets may be negotiated separately. Continued cannabis use and other commercial applications remain subject to applicable zoning and licensing requirements.
Key Highlights
- Approximately 2,800 sq. ft. commercial building
- Currently operating as a licensed cannabis dispensary
- Extensive interior renovation with updated finishes
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
$20,868
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
5.22%
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%
$417,360
$417.4K
Cap Rate 7%
$298,114
$298.1K
Cap Rate 9%
$231,867
$231.9K
Market Conditions
NOI Build-Up for 2,823 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
$33.9K $12.00/SF
− Vacancy
−$4.1K −$1.44/SF
EGI
$29.8K $10.56/SF
− OpEx
−$8.9K −$3.17/SF
NOI
$20.9K $7.39/SF
Area
Bay County, MI
Vacancy
12.00%
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%
$417,360
Cap Rate 7%
$298,114
Cap Rate 9%
$231,867
Alternative Uses
Best Use
Retail
$298.1K
$260.9K – $347.8K
NOI $20,868 @ 7.0% cap · market cap 5.22%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$511.0K
$447.2K – $596.2K
NOI $35,773 @ 7.0% cap · market cap 8.94%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
289
Businesses Nearby
6k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
7-Eleven
Shops & Services
6,411 visits/mo
0.5 miles
Demographics for 48708, MI
25,860
Population
12,625
Households
2
Avg Household Size
41
Median Age
17%
College-Educated
89%
High-School Grad
29.1 sq mi
ZIP Area
889
Density / Sq Mi
$50,216
Median Household Income
$31,978
Median Earnings
$703
Median Rent
$98,500
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?
Cannabis property - Updated retail building with a newer roof and refreshed interior finishes.
Where is this cannabis property located?
The property is located at 1014 N Johnson St Bay City, MI.
What is the asking price?
The asking price for this property is $399,999.
What are key features of this property?
This property features: Approximately 2,800 sq. ft. commercial building; Currently operating as a licensed cannabis dispensary; Extensive interior renovation with updated finishes
