City Center Commercial
For Sale
$1,475,000
407 Turner Ave NW, Grand Rapids, MI 49504
Commercial land in a City Center zoning district with support for multiple operational and event-oriented uses.
Property Size7,303 SF
Price / SF$201.97
Days on Market1793
Property Features for 407 Turner Ave NW
General Information
Standard status
Active
Size
7,303 SF
Property subtype
Retail
Zoning
TCC
Listing Agency:
Grand Rapids Realty and Investments
Listed By:
Frank Roberts · License #6501385632
(616) 264-3180
Source:
Carwm.resimplifi
Added: Oct 6, 2021
Changed: Aug 29
Last Checked: Sep 1 at 2:32PM
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 Grand Rapids Realty and Investments
Investment Insights
Based on property information with market context.
This commercial land offering is located at 407 Turner Ave NW in Grand Rapids. The property falls within a City Center zoning district governed by Articles 6 and 8, with development regulations allowing structures of up to 20 stories.
The surrounding district includes a newly opened amphitheater, a soccer stadium expected to open in approximately one year, and planned hospitality activity. Brownfield incentives, tax abatements, and new Class C and self-pour brewery licenses are identified for the area. A free shuttle provides downtown transportation through midnight on weekdays and until 1:00 AM on Saturdays, with direct access to entertainment venues.
Listed potential uses include wedding and event businesses, transportation companies, hospitality support, fleet operations, and contractor headquarters. Waterfront commerce approval and available parking are also noted.
The surrounding district includes a newly opened amphitheater, a soccer stadium expected to open in approximately one year, and planned hospitality activity. Brownfield incentives, tax abatements, and new Class C and self-pour brewery licenses are identified for the area. A free shuttle provides downtown transportation through midnight on weekdays and until 1:00 AM on Saturdays, with direct access to entertainment venues.
Listed potential uses include wedding and event businesses, transportation companies, hospitality support, fleet operations, and contractor headquarters. Waterfront commerce approval and available parking are also noted.
Key Highlights
- City Center zoning district with regulations allowing buildings up to 20 stories
- Governed by Articles 6 and 8 of the zoning regulations
- New amphitheater is open; soccer stadium expected to open in approximately 1 year
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
$105,863
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
7.18%
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%
$2,117,260
$2.1M
Cap Rate 7%
$1,512,329
$1.5M
Cap Rate 9%
$1,176,256
$1.2M
Market Conditions
NOI Build-Up for 7,303 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
$160.4K $21.96/SF
− Vacancy
−$9.1K −$1.25/SF
EGI
$151.2K $20.71/SF
− OpEx
−$45.4K −$6.21/SF
NOI
$105.9K $14.50/SF
Area
Grand Rapids, MI
Vacancy
5.70%
Lease Rate
$21.96 /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%
$2,117,260
Cap Rate 7%
$1,512,329
Cap Rate 9%
$1,176,256
Alternative Uses
Best Use
Retail
$1.51M
$1.32M – $1.76M
NOI $105,863 @ 7.0% cap · market cap 7.18%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.69M
$1.48M – $1.98M
NOI $118,637 @ 7.0% cap · market cap 8.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,644
Businesses Nearby
51k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 51%
Shops & Services 32%
Hotels & Casinos 17%
Burger King
Dining
13,932 visits/mo
0.3 miles
Meijer Gas Station
Shops & Services
10,740 visits/mo
0.3 miles
Condado Tacos
Dining
9,146 visits/mo
0.1 miles
Holiday Inn Grand Rapids Downtown, an IHG Hotel
Hotels & Casinos
8,712 visits/mo
0.3 miles
Dollar General
Shops & Services
5,481 visits/mo
0.3 miles
Demographics for 49504, MI
41,249
Population
18,830
Households
2.2
Avg Household Size
33
Median Age
39%
College-Educated
90%
High-School Grad
11.1 sq mi
ZIP Area
3,716
Density / Sq Mi
$68,326
Median Household Income
$41,138
Median Earnings
$1,145
Median Rent
$222,600
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Commercial land - Commercial land in a City Center zoning district with support for multiple operational and event-oriented uses.
Where is this commercial land located?
The property is located at 407 Turner Ave NW Grand Rapids, MI.
What is the asking price?
The asking price for this property is $1,475,000.
What are key features of this property?
This property features: City Center zoning district with regulations allowing buildings up to 20 stories; Governed by Articles 6 and 8 of the zoning regulations; New amphitheater is open; soccer stadium expected to open in approximately 1 year
