Conventional Restaurant with
For Sale
$200,000
1979 Geneva Highway, Manitou Beach, MI 49253
Restaurant sale includes the adjacent residence, with inventory and equipment available as optional additions.
Property Size1,616 SF
Price / SF$123.76
Days on Market616
Property Features for 1979 Geneva Highway
General Information
Standard status
Active
Size
1,616 SF
Property subtype
General Commercial
Additional Details
Seating Capacity
35
Amenities
3
Rubber
9583 sq feet
Building Details
Year Built
1986
Listing Agency:
Milestone Realty
(269) 910-4551
Listed By:
Kelly Heidbreder
Source:
Xome
Added: Dec 22, 2024
Changed: Aug 29
Last Checked: Aug 29 at 3:16PM
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 Milestone Realty
Investment Insights
Based on property information with market context.
This conventional restaurant includes 1,616 square feet of dining and service space with seating for 25–35 guests. The sale is offered together with the residence next door, creating a combined restaurant and residential property. Inventory and restaurant equipment are also available for purchase as optional additions. Built in 1986, the property presents an established restaurant setup in a lake-oriented setting.
The property is located at 1979 Geneva Highway in Rollin Township, Michigan, between Devil's Lake and Round Lake. Its setting serves both local and seasonal users associated with the surrounding lake community.
The property is located at 1979 Geneva Highway in Rollin Township, Michigan, between Devil's Lake and Round Lake. Its setting serves both local and seasonal users associated with the surrounding lake community.
Key Highlights
- 1,616‑square‑foot restaurant with seating for 25–35 guests
- Sale includes the residence next door
- Optional purchase of restaurant inventory and equipment
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
$17,974
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
8.99%
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%
$359,480
$359.5K
Cap Rate 7%
$256,771
$256.8K
Cap Rate 9%
$199,711
$199.7K
Market Conditions
NOI Build-Up for 1,616 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
$25.0K $15.48/SF
− Vacancy
−$1.1K −$0.65/SF
EGI
$24.0K $14.83/SF
− OpEx
−$6.0K −$3.71/SF
NOI
$18.0K $11.12/SF
Area
Lenawee County, MI
Vacancy
4.20%
Lease Rate
$15.48 /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%
$359,480
Cap Rate 7%
$256,771
Cap Rate 9%
$199,711
Alternative Uses
Best Use
Specialty Retail
$256.8K
$224.7K – $299.6K
NOI $17,974 @ 7.0% cap · market cap 8.99%
Second Best
Mixed Use
$189.9K
$166.2K – $221.6K
NOI $13,293 @ 7.0% cap · market cap 6.65%
Theoretical Best
Multifamily LT 5
$20.05M
$17.54M – $23.39M
NOI $1,403,465 @ 7.0% cap · market cap 701.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
36
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 49253, MI
3,095
Population
2,196
Households
1.4
Avg Household Size
50
Median Age
36%
College-Educated
96%
High-School Grad
23.6 sq mi
ZIP Area
131
Density / Sq Mi
$79,946
Median Household Income
$48,375
Median Earnings
$1,109
Median Rent
$226,300
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Restaurant sale includes the adjacent residence, with inventory and equipment available as optional additions.
Where is this conventional restaurant located?
The property is located at 1979 Geneva Highway Manitou Beach, MI.
What is the asking price?
The asking price for this property is $200,000.
What are key features of this property?
This property features: 1,616‑square‑foot restaurant with seating for 25–35 guests; Sale includes the residence next door; Optional purchase of restaurant inventory and equipment
