Victorian Bed & Breakfast
For Sale
$649,000
185 S Main Street, Romeo, MI 48065
An 1877 home offers an elevator, extensive updates, multiple baths, and rear off-street parking.
Property Size5,539 SF
Days on Market41
Property Features for 185 S Main Street
General Information
Standard status
Active
Size
5,539 SF
Elevators
Yes
Property subtype
Commercial
Zoning
Professional Office
Building Details
Building Size
5,539 SF
Year Built
1877
Construction
Victorian
Listing Agency:
Realty Executives Home Towne Romeo
(586) 752-4202
Listed By:
AL KELLER · License #6502347786
Source:
Erareardonrealty
Added: Jul 21
Changed: Aug 30
Last Checked: Aug 30 at 12:34PM
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 Realty Executives Home Towne Romeo
Investment Insights
Based on property information with market context.
Built in 1877, this Victorian property at 185 S Main Street includes updated windows, bathrooms, electrical systems, kitchen improvements, refinished original hardwood floors, and a three-car garage. An elevator serves the building, which also contains five full bathrooms and two powder rooms.
Professional Office zoning is in place, while the property information identifies potential for bed and breakfast, office, or residential use. The rear of the property provides substantial off-street parking. Its Romeo setting places shopping, restaurants, and local festivals within walking distance.
Professional Office zoning is in place, while the property information identifies potential for bed and breakfast, office, or residential use. The rear of the property provides substantial off-street parking. Its Romeo setting places shopping, restaurants, and local festivals within walking distance.
Key Highlights
- 1877 Victorian property at 185 S Main Street in Romeo, MI
- Potential for bed and breakfast, office, or residential use
- Professional Office zoning
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
$21,311
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
3.28%
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%
$426,220
$426.2K
Cap Rate 7%
$304,443
$304.4K
Cap Rate 9%
$236,789
$236.8K
Market Conditions
NOI Build-Up for 5,539 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
$99.7K $18.00/SF
− Vacancy
−$54.8K −$9.90/SF
EGI
$44.9K $8.10/SF
− OpEx
−$23.6K −$4.25/SF
NOI
$21.3K $3.85/SF
Area
Macomb County, MI
Vacancy
55.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
52.50%
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%
$426,220
Cap Rate 7%
$304,443
Cap Rate 9%
$236,789
Alternative Uses
Best Use
Hotel Hospitality
$304.4K
$266.4K – $355.2K
NOI $21,311 @ 7.0% cap · market cap 3.28%
Second Best
Office B
$272.4K
$238.4K – $317.8K
NOI $19,068 @ 7.0% cap · market cap 2.94%
Theoretical Best
Specialty Retail
$1.04M
$907.4K – $1.21M
NOI $72,589 @ 7.0% cap · market cap 11.18%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
502
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48065, MI
11,228
Population
4,672
Households
2.4
Avg Household Size
44
Median Age
34%
College-Educated
91%
High-School Grad
37.4 sq mi
ZIP Area
300
Density / Sq Mi
$104,348
Median Household Income
$47,892
Median Earnings
$1,047
Median Rent
$341,000
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Hudson Inn, Bed and Breakfast — 198 W St Clair St, Romeo, MI 48065
Frequently Asked Questions
What type of property is this?
Bed & breakfast - An 1877 home offers an elevator, extensive updates, multiple baths, and rear off-street parking.
Where is this bed & breakfast located?
The property is located at 185 S Main Street Romeo, MI.
What is the asking price?
The asking price for this property is $649,000.
What are key features of this property?
This property features: 1877 Victorian property at 185 S Main Street in Romeo, MI; Potential for bed and breakfast, office, or residential use; Professional Office zoning
