Operating Italian Restaurant with Real
New
For Sale
$585,000
207 E Pearl Street, Ishpeming, MI 49849
COM/IND/BUS OPP, Ishpeming, MI
Property Size2,790 SF
Lot Size0.12 Acres
Price / SF$209.68
Days on Market3
Property Features for 207 E Pearl Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Commercial
Zoning description
Commercial
Parking features
Offsite
Lot features
Storm Drains, Utilities Underground
Subdivision
Ishpeming (52013)
Standard status
Active
Size
2,790 SF
Lot size
0.12 Acres
Taxes and HOA fees
Tax Annual Amount
4858
Utilities
Heating system
Zoned, Forced Air
Cooling system
Humidity Control, Ceiling Fan(s), Exhaust Fan (Cooling), Central Air
Water source
Public
Building Details
Year built
1903
Roof type
Rubber, Tile
Listing Agency:
COLDWELL BANKER SCHMIDT REALTORS
(906) 225-5992
Listed By:
SCOTT SYRJALA · License #6501436518
(906) 361-1858
Added: Sep 23
Last Checked: Sep 25 at 8:06AM
MLS# 50222673
Copyright © 2026 Upper Peninsula Association of Realtors. 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 operating Italian restaurant sale includes the Mama Mia's business, real property, building, lot, equipment, inventory, supplies, POS system, Class C Liquor License, recipes, and associated business goodwill. The restaurant occupies 2,790 square feet on a 0.12-acre lot and includes a brand-new HVAC system serving the back dining room. A new water heater was installed in February 2026.
Located at 207 E Pearl Street in downtown Ishpeming, the property has public water service, rubber and tile roofing, forced-air and zoned heating, and central air. Offsite parking is provided. Built in 1903, the property combines an operating restaurant with an established business and its existing customer base. Financial information is available to qualified buyers after execution of an NDA.
Located at 207 E Pearl Street in downtown Ishpeming, the property has public water service, rubber and tile roofing, forced-air and zoned heating, and central air. Offsite parking is provided. Built in 1903, the property combines an operating restaurant with an established business and its existing customer base. Financial information is available to qualified buyers after execution of an NDA.
Key Highlights
- Operating Mama Mia's Italian restaurant with business, real property, equipment, inventory, supplies, and POS system
- 2,790 square feet on a 0.12‑acre lot at 207 E Pearl Street, Ishpeming, MI 49849‑2023
- Class C Liquor License, established recipes, goodwill, reputation, and customer base included
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
$38,642
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
6.61%
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%
$772,840
$772.8K
Cap Rate 7%
$552,029
$552.0K
Cap Rate 9%
$429,356
$429.4K
Market Conditions
NOI Build-Up for 2,790 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
$52.9K $18.96/SF
− Vacancy
−$1.4K −$0.49/SF
EGI
$51.5K $18.47/SF
− OpEx
−$12.9K −$4.62/SF
NOI
$38.6K $13.85/SF
Area
Marquette County, MI
Vacancy
2.60%
Lease Rate
$18.96 /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%
$772,840
Cap Rate 7%
$552,029
Cap Rate 9%
$429,356
Alternative Uses
Best Use
Specialty Retail
$552.0K
$483.0K – $644.0K
NOI $38,642 @ 7.0% cap · market cap 6.61%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$821.7K
$719.0K – $958.7K
NOI $57,519 @ 7.0% cap · market cap 9.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
315
Businesses Nearby
3k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Groceries 92%
Home Improvements & Furnishings 8%
Jim's Jubilee Foods
Groceries
2,387 visits/mo
0.2 miles
Carpet Specialists Carpet One Floor & Home
Home Improvements & Furnishings
209 visits/mo
0.4 miles
Demographics for 49849, MI
11,819
Population
5,915
Households
2
Avg Household Size
43
Median Age
26%
College-Educated
95%
High-School Grad
241.4 sq mi
ZIP Area
49
Density / Sq Mi
$63,425
Median Household Income
$35,081
Median Earnings
$769
Median Rent
$145,600
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
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 - Established Italian restaurant sale includes the operating business, building, equipment, inventory, POS system, and Class C Liquor License.
Where is this conventional restaurant located?
The property is located at 207 E Pearl Street Ishpeming, MI.
What is the asking price?
The asking price for this property is $585,000.
What are key features of this property?
This property features: Operating Mama Mia's Italian restaurant with business, real property, equipment, inventory, supplies, and POS system; 2,790 square feet on a 0.12‑acre lot at 207 E Pearl Street, Ishpeming, MI 49849‑2023; Class C Liquor License, established recipes, goodwill, reputation, and customer base included
