Mixed-Use Property with
For Sale
$239,900
13434 M 40, Gobles, MI 49055
An operating five-chair salon shares the property with a one-bedroom apartment and a separate pole barn.
Property Size1,630 SF
Price / SF$147.18
Days on Market177
Property Features for 13434 M 40
General Information
Standard status
Active
Size
1,630 SF
Property subtype
Commercial
Additional Details
Conditioned Warehouse
Yes
Building Details
Year Built
1975
Listing Agency:
Berkshire Hathaway HomeServices MI
Listed By:
Greg S Miller · License #6506043053
(269) 743-4817
Source:
Vmrealestatemichigan
Added: Apr 9
Changed: Oct 1
Last Checked: Oct 1 at 11:36AM
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 Berkshire Hathaway HomeServices MI
Investment Insights
Based on property information with market context.
This mixed-use property combines an operating five-chair salon, a one-bedroom apartment, and a pole barn with bay doors, office space, and workshop or storage area. The salon currently has two chairs leased. The apartment is occupied on a month-to-month basis, while the barn is vacant. Built in 1975, the property measures 1,630 in reported property size.
The pole barn has its own well and septic system, separate from the main building, as well as a full bathroom, heat, and central air. Salon furnishings may be available by negotiation.
The pole barn has its own well and septic system, separate from the main building, as well as a full bathroom, heat, and central air. Salon furnishings may be available by negotiation.
Key Highlights
- Operating salon with five chairs; two chairs are currently leased
- One‑bedroom apartment occupied under a month‑to‑month arrangement
- Pole barn includes bay doors, office space, and workshop or storage area
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
$18,145
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
7.56%
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%
$362,900
$362.9K
Cap Rate 7%
$259,214
$259.2K
Cap Rate 9%
$201,611
$201.6K
Market Conditions
NOI Build-Up for 1,630 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
$31.3K $19.20/SF
− Vacancy
−$3.4K −$2.07/SF
EGI
$27.9K $17.13/SF
− OpEx
−$9.8K −$5.99/SF
NOI
$18.1K $11.13/SF
Area
Van Buren County, MI
Vacancy
10.80%
Lease Rate
$19.20 /SF/Yr
Expense Ratio
35.00%
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%
$362,900
Cap Rate 7%
$259,214
Cap Rate 9%
$201,611
Alternative Uses
Best Use
Flex RnD
$259.2K
$226.8K – $302.4K
NOI $18,145 @ 7.0% cap · market cap 7.56%
Second Best
Office B
$238.7K
$208.8K – $278.5K
NOI $16,707 @ 7.0% cap · market cap 6.96%
Theoretical Best
Multifamily LT 5
$20.15M
$17.64M – $23.51M
NOI $1,410,827 @ 7.0% cap · market cap 588.09%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
77
Businesses Nearby
Explore this area
Business Placement
Demographics for 49055, MI
6,211
Population
3,197
Households
1.9
Avg Household Size
45
Median Age
18%
College-Educated
90%
High-School Grad
57.5 sq mi
ZIP Area
108
Density / Sq Mi
$65,717
Median Household Income
$40,838
Median Earnings
$878
Median Rent
$161,900
Median Home Value
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Market
Vacancy Rate% for Office in Midwest region
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Frequently Asked Questions
What type of property is this?
Mixed-use property - An operating five-chair salon shares the property with a one-bedroom apartment and a separate pole barn.
Where is this mixed-use property located?
The property is located at 13434 M 40 Gobles, MI.
What is the asking price?
The asking price for this property is $239,900.
What are key features of this property?
This property features: Operating salon with five chairs; two chairs are currently leased; One‑bedroom apartment occupied under a month‑to‑month arrangement; Pole barn includes bay doors, office space, and workshop or storage area
