Turnkey Tavern and
For Sale
$185,000
403 N 17th Street, Gladstone, MI 49837
Fully operational bar and restaurant with updated kitchen, built-in bar amenities, and included liquor license for new ownership.
Property Size1,212 SF
Price / SF$152.64
Days on Market693
Property Features for 403 N 17th Street
General Information
Standard status
Active
Size
1,212 SF
Additional Details
Business Included
Yes
Liquor License
Yes
Taxes and HOA fees
Annual Taxes
$3,330
Building Details
Year Built
1934
Listing Agency:
KEY REALTY DELTA COUNTY LLC
Listed By:
JAMIE BEAVER · License #6502370675
(906) 399-9033
Source:
Exprealty
Added: Oct 15, 2024
Changed: Aug 22
Last Checked: Sep 7 at 12:28PM
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 KEY REALTY DELTA COUNTY LLC
Investment Insights
Based on property information with market context.
This turnkey tavern and restaurant operates with a built-in bar and table seating designed to accommodate approximately 45 guests. The layout includes a full bar, two restrooms, and ample parking. The space is supported by a fully updated downstairs kitchen featuring new appliances and a walk-in freezer, along with key commercial equipment for service.
Recent improvements include new flooring behind the bar, a back bar cooler, and a draft system with a glycol cooling system. Additional kitchen updates listed include a walk-in cooler, ice machine, deep fryers, stove/oven, and flat top equipment. Mechanical and building support items noted in the updates include plumbing supply lines, LED canned lighting in the kitchen, a motor for the exhaust system, and re-staining and sealing of the kitchen floor.
The sale includes the liquor license and essential operational equipment, along with a pool table, supporting a straightforward handoff for a qualified operator. With the business already configured for bar and restaurant service and the kitchen already equipped, the property is well suited for an owner-operator looking for a ready-to-run neighborhood venue.
Recent improvements include new flooring behind the bar, a back bar cooler, and a draft system with a glycol cooling system. Additional kitchen updates listed include a walk-in cooler, ice machine, deep fryers, stove/oven, and flat top equipment. Mechanical and building support items noted in the updates include plumbing supply lines, LED canned lighting in the kitchen, a motor for the exhaust system, and re-staining and sealing of the kitchen floor.
The sale includes the liquor license and essential operational equipment, along with a pool table, supporting a straightforward handoff for a qualified operator. With the business already configured for bar and restaurant service and the kitchen already equipped, the property is well suited for an owner-operator looking for a ready-to-run neighborhood venue.
Key Highlights
- Bungalow Tavern has served the community since 1934 and is fully operational for new ownership
- Full bar plus table seating for approximately 45 guests, with two restrooms
- Updated kitchen with new appliances and a walk‑in freezer
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
$15,937
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
8.61%
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%
$318,740
$318.7K
Cap Rate 7%
$227,671
$227.7K
Cap Rate 9%
$177,078
$177.1K
Market Conditions
NOI Build-Up for 1,212 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
$21.8K $18.00/SF
− Vacancy
−$567 −$0.47/SF
EGI
$21.2K $17.53/SF
− OpEx
−$5.3K −$4.38/SF
NOI
$15.9K $13.15/SF
Area
Delta County, MI
Vacancy
2.60%
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%
$318,740
Cap Rate 7%
$227,671
Cap Rate 9%
$177,078
Alternative Uses
Best Use
Specialty Retail
$227.7K
$199.2K – $265.6K
NOI $15,937 @ 7.0% cap · market cap 8.61%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$237.3K
$207.6K – $276.8K
NOI $16,608 @ 7.0% cap · market cap 8.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
201
Businesses Nearby
26k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 76%
Shops & Services 24%
McDonald's
Dining
16,083 visits/mo
0.4 miles
Mobil
Shops & Services
6,175 visits/mo
0.4 miles
SUBWAY
Dining
2,480 visits/mo
0.3 miles
Domino's Pizza
Dining
1,048 visits/mo
0.4 miles
Demographics for 49837, MI
10,086
Population
4,488
Households
2.2
Avg Household Size
48
Median Age
24%
College-Educated
95%
High-School Grad
69.0 sq mi
ZIP Area
146
Density / Sq Mi
$65,905
Median Household Income
$35,156
Median Earnings
$782
Median Rent
$145,300
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- The Saloon — 1421 Delta Ave, Gladstone, MI 49837
- Wally's — 917 Delta Ave, Gladstone, MI 49837
- Sand Bar — 903 Delta Ave, Gladstone, MI 49837
Frequently Asked Questions
What type of property is this?
Bar & Pub - Fully operational bar and restaurant with updated kitchen, built-in bar amenities, and included liquor license for new ownership.
Where is this bar & pub located?
The property is located at 403 N 17th Street Gladstone, MI.
What is the asking price?
The asking price for this property is $185,000.
What are key features of this property?
This property features: Bungalow Tavern has served the community since 1934 and is fully operational for new ownership; Full bar plus table seating for approximately 45 guests, with two restrooms; Updated kitchen with new appliances and a walk‑in freezer
