Two-Property Limited-Service Hotel
1492 US-31 Traverse City, MI 49686
For Sale
Contact for pricing
Two limited-service hotels totaling 117 guestrooms on Grand Traverse Bay in Traverse City, Michigan.
Property Size55,556 SF
Price / SF$179
Days on Market110
Property Features for 1492 US-31
General Information
- Standard status
- Active
- Size
- 55,556 SF
- Property subtype
- Hospitality
Listing Agency:
Avison Young - Atlanta
Listed By:
Jeremy Cabe · License #N/A
Source:
Crexi
Added: Apr 6
Changed: Jul 23
Last Checked: Jul 23 at 5:20PM
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 Avison Young - Atlanta
Investment Insights
Based on property information with market context.
Avison Young is pleased to present the opportunity to acquire a two-property limited-service hotel portfolio totaling 117 guestrooms in Traverse City, Michigan. The offering is positioned along the shores of Lake Michigan’s Grand Traverse Bay.
The Traverse City market is supported by year-round tourism demand tied to outdoor recreation, waterfront attractions, and the nationally recognized wine industry, with major demand generators including the National Cherry Festival and over 40 wineries across the Old Mission and Leelanau Peninsulas. Beyond peak seasonal travel, the area benefits from a stable economic foundation supported by healthcare, education, and regional infrastructure, including Munson Medical Center and Northwestern Michigan College.
Accessibility via Cherry Capital Airport (TVC) provides additional baseline demand beyond peak tourism periods.
The Traverse City market is supported by year-round tourism demand tied to outdoor recreation, waterfront attractions, and the nationally recognized wine industry, with major demand generators including the National Cherry Festival and over 40 wineries across the Old Mission and Leelanau Peninsulas. Beyond peak seasonal travel, the area benefits from a stable economic foundation supported by healthcare, education, and regional infrastructure, including Munson Medical Center and Northwestern Michigan College.
Accessibility via Cherry Capital Airport (TVC) provides additional baseline demand beyond peak tourism periods.
Key Highlights
- Two‑property limited‑service hotel portfolio totaling 117 guestrooms in Traverse City, Michigan
- Portfolio located along the shores of Lake Michigan’s Grand Traverse Bay
- Traverse City tourism demand includes the National Cherry Festival and a wine industry with 40+ wineries on the Old Mission and Leelanau Peninsulas
Financial Insights For Hotel Hospitality
Simulate Cap Rate and NOI
NOI Build-Up
- 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.
| Component | $ | $/SF |
|---|---|---|
| Gross rent | $1.00M | $18.00 |
| − Vacancy | −$120.0k | −$2.16 |
| EGI | $880.0k | $15.84 |
| − OpEx | −$462.0k | −$8.32 |
| NOI | $418.0k | $7.52 |
55,556 SF · lease $18.00/SF/yr · vacancy 12.00% · expense 52.50%
Alternative Uses
Best Use
Hotel Hospitality
$5.97M
$5.23M – $6.97M
NOI $418,003 @ 7.0% cap · market cap 4.18%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$12.07M
$10.56M – $14.08M
NOI $844,807 @ 7.0% cap · market cap 8.45%
Zoning and permitted uses should be independently verified with local authorities.
Property Analytics
Location Intelligence
Current Use by Public Records
Hotels
FAQs
What type of property is this?
Hotel - Two limited-service hotels totaling 117 guestrooms on Grand Traverse Bay in Traverse City, Michigan.
Where is this hotel located?
The property is located at 1492 US-31 Traverse City, MI.
What is the asking price?
The asking price for this property is $10,000,000.
What are key features of this property?
This property features: Two‑property limited‑service hotel portfolio totaling 117 guestrooms in Traverse City, Michigan; Portfolio located along the shores of Lake Michigan’s Grand Traverse Bay; Traverse City tourism demand includes the National Cherry Festival and a wine industry with 40+ wineries on the Old Mission and Leelanau Peninsulas
