Brewery Restaurant
For Sale
$595,000
6352 N Lake Shore Drive, Harbor Springs, MI 49740
Includes indoor dining, a covered outdoor bar and dining area, offices, conference space, and basement storage.
Property Size3,797 SF
Days on Market560
Property Features for 6352 N Lake Shore Drive
General Information
Standard status
Active
Size
3,797 SF
Property subtype
Commercial/Industrial
Additional Details
Road Access
Yes
Patio
Yes
Taxes and HOA fees
Annual Taxes
$2,958
Amenities
indoor dining room
outdoor covered bar/dining area
office/conference room
prep kitchen
Building Details
Building Size
3,797 SF
Buildings
1
Tenancy
Single
Listing Agency:
Graham Real Estate
Listed By:
Kevin Olson
(231) 881-7303
Source:
Patobrien
Added: Mar 5, 2025
Changed: Sep 3
Last Checked: Sep 15 at 9:28AM
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 Graham Real Estate
Investment Insights
Based on property information with market context.
Currently operating as a brewery restaurant, this modern building includes an indoor dining room and a covered outdoor bar and dining area. The upper level provides office and conference space with a full bathroom, while the basement offers room for an additional prep kitchen and ample storage.
The property is situated along M-119 in a destination area that attracts visitors for beaches, studios, farms, shops, biking, snowmobiling, fall colors, and other northern Michigan activities. A large lot provides space for outdoor dining, additional activities, or potential expansion, subject to applicable approvals.
The property is situated along M-119 in a destination area that attracts visitors for beaches, studios, farms, shops, biking, snowmobiling, fall colors, and other northern Michigan activities. A large lot provides space for outdoor dining, additional activities, or potential expansion, subject to applicable approvals.
Key Highlights
- Currently operating as a brewery restaurant
- Indoor dining room plus covered outdoor bar and dining area
- Upper‑level office and conference room with full bathroom
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
$49,536
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
8.33%
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%
$990,720
$990.7K
Cap Rate 7%
$707,657
$707.7K
Cap Rate 9%
$550,400
$550.4K
Market Conditions
NOI Build-Up for 3,797 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
$76.1K $20.04/SF
− Vacancy
−$5.3K −$1.40/SF
EGI
$70.8K $18.64/SF
− OpEx
−$21.2K −$5.59/SF
NOI
$49.5K $13.05/SF
Area
Emmet County, MI
Vacancy
7.00%
Lease Rate
$20.04 /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%
$990,720
Cap Rate 7%
$707,657
Cap Rate 9%
$550,400
Alternative Uses
Best Use
Industrial
$707.7K
$619.2K – $825.6K
NOI $49,536 @ 7.0% cap · market cap 8.33%
Second Best
Specialty Retail
$458.9K
$401.5K – $535.4K
NOI $32,123 @ 7.0% cap · market cap 5.40%
Theoretical Best
Warehouse
$859.3K
$751.9K – $1.00M
NOI $60,151 @ 7.0% cap · market cap 10.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Single-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
27
Businesses Nearby
Explore this area
Business Placement
Demographics for 49740, MI
7,511
Population
6,057
Households
1.2
Avg Household Size
55
Median Age
46%
College-Educated
97%
High-School Grad
124.9 sq mi
ZIP Area
60
Density / Sq Mi
$85,230
Median Household Income
$38,820
Median Earnings
$997
Median Rent
$332,600
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Industrial in Midwest region
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Frequently Asked Questions
What type of property is this?
Brewery - Includes indoor dining, a covered outdoor bar and dining area, offices, conference space, and basement storage.
Where is this brewery located?
The property is located at 6352 N Lake Shore Drive Harbor Springs, MI.
What is the asking price?
The asking price for this property is $595,000.
What are key features of this property?
This property features: Currently operating as a brewery restaurant; Indoor dining room plus covered outdoor bar and dining area; Upper‑level office and conference room with full bathroom
