Mixed-Use Property with
New
For Sale
$395,000
106 Water Street, Lake Mills, WI 53551
Business/Comm, Lake Mills, WI
Property Size2,800 SF
Lot Size0.05 Acres
Price / SF$141.07
Days on Market7
Property Features for 106 Water Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
B-1 Downto
Parking features
Offsite
Interior features
Public rest rooms, Private Restrooms, Inside storage, Outside storage
Lot features
Business district, Free standing, Near Major Highway
Directions
Hwy 89 (Main St) south of the city park to Water St.
Subdivision
LAKE MILLS - C
Standard status
Active
APN
246-0713-1322-055
Size
2,800 SF
Lot size
0.05 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
3520
Amenities
private courtyard
handicap accessible
Building Details
Year built
1960
Number of units
2
Roof type
Membrane
Additional Structures
Storage
Listing Agency:
RE/MAX Property Shop
(608) 764-5451
Listed By:
Roxane Schiller · License #52591-90
(608) 334-7699
Added: Aug 26
Changed: Aug 31
Last Checked: Sep 1 at 10:06PM
MLS# 2031287
Copyright © 2026 REALTORS® Association of South Central Wisconsin. 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.
Located in downtown Lake Mills, this 2800-square-foot mixed-use commercial property offers a flexible configuration for professional office, retail, service, or combined business use. Multiple entrances can support separate operational areas or tenant arrangements, while public and private restrooms, interior storage, and outside storage add practical functionality. Handicap accessibility is also provided.
The property includes a private courtyard that can serve as an outdoor area for employees, meetings, or customer use. Mechanical systems have been updated from the roof through the basement, and the building has a membrane roof. Constructed in 1960, the property is zoned B-1 Downto and includes offsite parking.
The property includes a private courtyard that can serve as an outdoor area for employees, meetings, or customer use. Mechanical systems have been updated from the roof through the basement, and the building has a membrane roof. Constructed in 1960, the property is zoned B-1 Downto and includes offsite parking.
Key Highlights
- 2800 square feet of mixed‑use commercial space
- Private courtyard for outdoor employee, meeting, or customer use
- Multiple entrances support flexible occupancy or tenant configurations
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
$36,288
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
9.19%
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%
$725,760
$725.8K
Cap Rate 7%
$518,400
$518.4K
Cap Rate 9%
$403,200
$403.2K
Market Conditions
NOI Build-Up for 2,800 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
$60.5K $21.60/SF
− Vacancy
−$12.1K −$4.32/SF
EGI
$48.4K $17.28/SF
− OpEx
−$12.1K −$4.32/SF
NOI
$36.3K $12.96/SF
Area
Jefferson County, WI
Vacancy
20.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
25.00%
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%
$725,760
Cap Rate 7%
$518,400
Cap Rate 9%
$403,200
Alternative Uses
Best Use
Office B
$518.4K
$453.6K – $604.8K
NOI $36,288 @ 7.0% cap · market cap 9.19%
Second Best
Retail
$386.3K
$338.0K – $450.7K
NOI $27,039 @ 7.0% cap · market cap 6.85%
Theoretical Best
Office A
$657.2K
$575.1K – $766.8K
NOI $46,005 @ 7.0% cap · market cap 11.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
301
Businesses Nearby
Explore this area
Business Placement
Demographics for 53551, WI
8,920
Population
4,048
Households
2.2
Avg Household Size
41
Median Age
45%
College-Educated
96%
High-School Grad
39.6 sq mi
ZIP Area
225
Density / Sq Mi
$89,841
Median Household Income
$53,503
Median Earnings
$1,089
Median Rent
$322,700
Median Home Value
Market
Vacancy Rate% for Office 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-1 Downto zoning and multiple entrances accommodate office, retail, service, or combined commercial uses.
Where is this mixed-use property located?
The property is located at 106 Water Street Lake Mills, WI.
What is the asking price?
The asking price for this property is $395,000.
What are key features of this property?
This property features: 2800 square feet of mixed‑use commercial space; Private courtyard for outdoor employee, meeting, or customer use; Multiple entrances support flexible occupancy or tenant configurations
