Victorian Bed-and-Breakfast
For Sale
$639,000
185 S Main Street, Romeo, MI 48065
COM/IND/BUS OPP, Romeo, MI
Property Size5,539 SF
Lot Size0.52 Acres
Price / SF$115.36
Days on Market218
Property Features for 185 S Main Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Professional Office
Rooms
Basement
Subdivision
A/P # 08 Romeo/Wash
Standard status
Active
APN
28-04-02-135-006
Size
5,539 SF
Lot size
0.52 Acres
Utilities
Heating system
Forced Air
Water source
Well, Public
Building Details
Year built
1877
Roof type
Shingle
Listing Agency:
Realty Executives Home Towne Romeo
(586) 786-4617
Listed By:
AL KELLER · License #6502347786
(586) 752-4202
Added: Jan 30
Changed: Sep 2
Last Checked: Sep 5 at 4:06AM
MLS# 50198526
Copyright © 2026 Multiple Listing Service MiRealSource. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 5,539-square-foot Victorian property dates to 1877 and offers a configuration suited to bed-and-breakfast, office, or residential use under village zoning. Improvements include updated windows, bathrooms, electrical service, kitchen, and a three-car garage, along with refinished original hardwood flooring. Interior amenities include five full bathrooms, two powder rooms, an elevator, and a basement.
The property is located at 185 S Main Street in Romeo, near shopping, restaurants, the Peach Festival, and other Romeo festivities. Rear off-street parking provides additional convenience, while forced-air heating and a shingle roof serve the building. Land contract terms are available, with possession scheduled at closing.
The property is located at 185 S Main Street in Romeo, near shopping, restaurants, the Peach Festival, and other Romeo festivities. Rear off-street parking provides additional convenience, while forced-air heating and a shingle roof serve the building. Land contract terms are available, with possession scheduled at closing.
Key Highlights
- 5,539‑square‑foot Victorian property built in 1877
- Village zoning allows multiple uses, including bed‑and‑breakfast, office, and residential
- Five full bathrooms, two powder rooms, and an elevator
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
3.34%
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 3.34%
Second Best
Office B
$272.4K
$238.4K – $317.8K
NOI $19,068 @ 7.0% cap · market cap 2.98%
Theoretical Best
Specialty Retail
$1.04M
$907.4K – $1.21M
NOI $72,589 @ 7.0% cap · market cap 11.36%
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 - Village zoning supports multiple uses, with updated building components and substantial 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 $639,000.
What are key features of this property?
This property features: 5,539‑square‑foot Victorian property built in 1877; Village zoning allows multiple uses, including bed‑and‑breakfast, office, and residential; Five full bathrooms, two powder rooms, and an elevator
