Drive-Through Restaurant
For Sale
$829,000
12150 Market Place Dr, Birch Run, MI 48415
Purpose-built Wendy’s drive-through built in 2016 with NNN investment structure and tenant operating since 2017.
Property Size3,325 SF
Days on Market65
Property Features for 12150 Market Place Dr
General Information
Standard status
Active
Size
3,325 SF
Property subtype
Retail
Building Details
Building Size
3,325 SF
Year Built
2017
Listing Agency:
Altitude Commercial Real Estate
Listed By:
George Abro · License #6502432561
(248) 781-8076
Source:
Altitudecre
Added: Jul 3
Changed: Aug 26
Last Checked: Sep 4 at 2:47AM
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 Altitude Commercial Real Estate
Investment Insights
Based on property information with market context.
This purpose-built Wendy’s drive-through investment is offered on an NNN basis. The property was built in 2016, and Wendy’s has operated since 2017. The current rent is described as $73,122 annually, and the offering includes additional options that increase rent every five years upon extension by Wendy’s.
The asset is located at 12150 Market Place Dr in Birch Run, MI, with the property specifically constructed to support a drive-through restaurant use.
From an investor perspective, the structure is presented as a long-term, purpose-built restaurant facility with rent growth tied to renewal extensions by the tenant.
The asset is located at 12150 Market Place Dr in Birch Run, MI, with the property specifically constructed to support a drive-through restaurant use.
From an investor perspective, the structure is presented as a long-term, purpose-built restaurant facility with rent growth tied to renewal extensions by the tenant.
Key Highlights
- Purpose‑built Wendy’s drive‑through built in 2016
- NNN investment structure with Wendy’s operating since 2017
- Tenant rent listed as $73,122 annually
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
$43,002
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
5.19%
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%
$860,040
$860.0K
Cap Rate 7%
$614,314
$614.3K
Cap Rate 9%
$477,800
$477.8K
Market Conditions
NOI Build-Up for 3,325 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
$59.9K $18.00/SF
− Vacancy
−$2.5K −$0.76/SF
EGI
$57.3K $17.24/SF
− OpEx
−$14.3K −$4.31/SF
NOI
$43.0K $12.93/SF
Area
Saginaw County, MI
Vacancy
4.20%
Lease Rate
$18.00 /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%
$860,040
Cap Rate 7%
$614,314
Cap Rate 9%
$477,800
Alternative Uses
Best Use
Specialty Retail
$614.3K
$537.5K – $716.7K
NOI $43,002 @ 7.0% cap · market cap 5.19%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
389
Businesses Nearby
Explore this area
Business Placement
Demographics for 48415, MI
9,042
Population
3,790
Households
2.4
Avg Household Size
45
Median Age
22%
College-Educated
93%
High-School Grad
64.8 sq mi
ZIP Area
140
Density / Sq Mi
$76,311
Median Household Income
$42,343
Median Earnings
$895
Median Rent
$197,900
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?
Drive through restaurant - Purpose-built Wendy’s drive-through built in 2016 with NNN investment structure and tenant operating since 2017.
Where is this drive through restaurant located?
The property is located at 12150 Market Place Dr Birch Run, MI.
What is the asking price?
The asking price for this property is $829,000.
What are key features of this property?
This property features: Purpose‑built Wendy’s drive‑through built in 2016; NNN investment structure with Wendy’s operating since 2017; Tenant rent listed as $73,122 annually
