Renovated Historic Office
For Sale
$1,495,000
18 N 5th St, Grand Haven, MI 49417
Bi-level workspace includes private offices, a conference room, kitchen, restrooms, and an open gathering area.
Property Size11,584 SF
Price / SF$129.06
Days on Market24
Property Features for 18 N 5th St
General Information
Standard status
Active
Size
11,584 SF
Amenities
conference room
open concept gathering area
full kitchen
restrooms
Building Details
Year Built
1937
Year Renovated
2024
Building Size
11,584 SF
Listing Agency:
Capstone Real Estate LLC
(616) 847-1031
Listed By:
David Ten Cate · License #6502325769
Source:
Katie-k
Added: Aug 6
Changed: Aug 28
Last Checked: Aug 28 at 2:40PM
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 Capstone Real Estate LLC
Investment Insights
Based on property information with market context.
Constructed in 1937 and renovated in 2024, this 11,584-square-foot office property retains its original architectural character while offering updated interior space. The refurbished 3,500-square-foot bi-level area includes 8 offices, a conference room, an open gathering area with 18-foot ceilings and exposed ductwork, a full kitchen with original brickwork and hose tower, and 3 restrooms. A glass vestibule provides the main entry.
The property includes an unfinished 2,200-square-foot second level and a 5,500-square-foot garage structure, creating additional space for redevelopment. Located at 18 N 5th St in downtown Grand Haven, the building overlooks Central Park and sits a few blocks from the waterfront. Its corner-lot position provides access to the surrounding downtown area and visibility from the street.
The property includes an unfinished 2,200-square-foot second level and a 5,500-square-foot garage structure, creating additional space for redevelopment. Located at 18 N 5th St in downtown Grand Haven, the building overlooks Central Park and sits a few blocks from the waterfront. Its corner-lot position provides access to the surrounding downtown area and visibility from the street.
Key Highlights
- 11,584 SF office building constructed in 1937 and renovated in 2024
- Refurbished 3,500 SF bi‑level area with 8 offices and a conference room
- Open gathering area features 18' ceilings and exposed ductwork
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
$127,614
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
8.54%
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%
$2,552,280
$2.6M
Cap Rate 7%
$1,823,057
$1.8M
Cap Rate 9%
$1,417,933
$1.4M
Market Conditions
NOI Build-Up for 11,584 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
$197.4K $17.04/SF
− Vacancy
−$27.2K −$2.35/SF
EGI
$170.2K $14.69/SF
− OpEx
−$42.5K −$3.67/SF
NOI
$127.6K $11.02/SF
Area
Ottawa County, MI
Vacancy
13.80%
Lease Rate
$17.04 /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%
$2,552,280
Cap Rate 7%
$1,823,057
Cap Rate 9%
$1,417,933
Alternative Uses
Best Use
Office B
$1.82M
$1.60M – $2.13M
NOI $127,614 @ 7.0% cap · market cap 8.54%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$144.05M
$126.04M – $168.06M
NOI $10,083,513 @ 7.0% cap · market cap 674.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,264
Businesses Nearby
Explore this area
Business Placement
Demographics for 49417, MI
32,406
Population
14,709
Households
2.2
Avg Household Size
43
Median Age
38%
College-Educated
95%
High-School Grad
46.9 sq mi
ZIP Area
691
Density / Sq Mi
$84,476
Median Household Income
$45,392
Median Earnings
$1,101
Median Rent
$287,800
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Bi-level workspace includes private offices, a conference room, kitchen, restrooms, and an open gathering area.
Where is this office building located?
The property is located at 18 N 5th St Grand Haven, MI.
What is the asking price?
The asking price for this property is $1,495,000.
What are key features of this property?
This property features: 11,584 SF office building constructed in 1937 and renovated in 2024; Refurbished 3,500 SF bi‑level area with 8 offices and a conference room; Open gathering area features 18' ceilings and exposed ductwork
