Four-Unit Property Near
New
For Sale
$539,900
1055 E Front Street, Traverse City, MI 49686
Four residential units feature private entrances, rear parking, and proximity to downtown Traverse City and the East Bay waterfront.
Property Size3,138 SF
Lot Size0.19 Acres
Days on Market7
Property Features for 1055 E Front Street
General Information
Standard status
Active
Size
3,138 SF
Lot size
0.19 Acres
Property subtype
Multi Family
Occupancy
75%
Property Condition
Severity
Repairs Needed
Evidence
light updates
Additional Details
Gross Income
$41,100
Multifamily Units
4
Building Details
Building Size
3,138 SF
Year Built
1895
Tenancy
Multi
Listing Agency:
REO-TCFront-233021
Listed By:
Erica Foerster
(210) 286-8954
Source:
Themittengroup
Added: Sep 3
Changed: Sep 8
Last Checked: Sep 8 at 8:40AM
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 REO-TCFront-233021
Investment Insights
Based on property information with market context.
Built in 1895, this four-unit residential property occupies a .19-acre double lot near Traverse City's downtown-to-bay corridor. Each apartment has a private entryway, while Units 2 and 4 have received the most recent updates. Unit 3 includes a dedicated washer and dryer, and tenant parking is positioned behind the building with access from the alley.
The property is located at 1055 E Front St, close to downtown shops, restaurants, and the East Bay waterfront. Mature trees contribute to the established setting, while the location scores 64 for walkability and 61 for bikeability. Three of the four units are leased, with Unit 2 available.
The property is located at 1055 E Front St, close to downtown shops, restaurants, and the East Bay waterfront. Mature trees contribute to the established setting, while the location scores 64 for walkability and 61 for bikeability. Three of the four units are leased, with Unit 2 available.
Key Highlights
- Four‑unit property on a .19‑acre double lot
- Built in 1895 at 1055 E Front St, Traverse City, MI 49686
- Units 2 and 4 have been most recently updated
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
$33,984
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
6.29%
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%
$679,680
$679.7K
Cap Rate 7%
$485,486
$485.5K
Cap Rate 9%
$377,600
$377.6K
Market Conditions
NOI Build-Up for 3,138 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
$50.8K $16.20/SF
− Vacancy
−$2.3K −$0.73/SF
EGI
$48.5K $15.47/SF
− OpEx
−$14.6K −$4.64/SF
NOI
$34.0K $10.83/SF
Area
Grand Traverse County, MI
Vacancy
4.50%
Lease Rate
$16.20 /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%
$679,680
Cap Rate 7%
$485,486
Cap Rate 9%
$377,600
Alternative Uses
Best Use
Multifamily LT 5
$485.5K
$424.8K – $566.4K
NOI $33,984 @ 7.0% cap · market cap 6.29%
Second Best
Apartment 5plus
$426.1K
$372.8K – $497.1K
NOI $29,824 @ 7.0% cap · market cap 5.52%
Theoretical Best
Office A
$681.7K
$596.5K – $795.3K
NOI $47,718 @ 7.0% cap · market cap 8.84%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
4
Residential units
75%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
656
Businesses Nearby
Explore this area
Business Placement
Demographics for 49686, MI
25,859
Population
13,261
Households
2
Avg Household Size
45
Median Age
46%
College-Educated
95%
High-School Grad
47.3 sq mi
ZIP Area
547
Density / Sq Mi
$71,198
Median Household Income
$40,373
Median Earnings
$1,209
Median Rent
$295,500
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?
Quadplex - Four residential units feature private entrances, rear parking, and proximity to downtown Traverse City and the East Bay waterfront.
Where is this quadplex located?
The property is located at 1055 E Front Street Traverse City, MI.
What is the asking price?
The asking price for this property is $539,900.
What are key features of this property?
This property features: Four‑unit property on a .19‑acre double lot; Built in 1895 at 1055 E Front St, Traverse City, MI 49686; Units 2 and 4 have been most recently updated
