Flex Space With
For Sale
$899,000
2188 Michigan Unit 139, Benton Harbor, MI 49022
Built in 2005, the property combines office, warehouse, loading, and storage functions.
Property Size17,834 SF
Price / SF$50.41
Days on Market51
Property Features for 2188 Michigan Unit 139
General Information
Standard status
Active
Size
17,834 SF
Property subtype
Commercial
Building Details
Year Built
2005
Listing Agency:
The Shore Real Estate Group
Listed By:
Cheyenne Chernugel · License #6501452055
(269) 252-6595
Source:
Vmrealestatemichigan
Added: Jul 24
Changed: Sep 12
Last Checked: Sep 12 at 9:52AM
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 The Shore Real Estate Group
Investment Insights
Based on property information with market context.
Built in 2005, this flex property brings together private offices, conference rooms, a showroom, and two warehouse areas within one commercial facility. The layout also includes a kitchen, 3 bathrooms, a laundry and shower room, and a dedicated loading dock for shipping and receiving. Three-phase power supports commercial operations, while 11 gated storage units are positioned at the rear of the property.
The building fronts the M-139 corridor in Benton Charter Township, Michigan. Its mix of office, display, warehouse, loading, and secured storage components accommodates a range of business operations within a single location.
The building fronts the M-139 corridor in Benton Charter Township, Michigan. Its mix of office, display, warehouse, loading, and secured storage components accommodates a range of business operations within a single location.
Key Highlights
- 20,000+ square feet of flexible commercial space
- 7+ private office spaces and 2+ conference rooms
- Large showroom plus 2 substantial warehouse areas
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
$79,676
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
8.86%
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%
$1,593,520
$1.6M
Cap Rate 7%
$1,138,229
$1.1M
Cap Rate 9%
$885,289
$885.3K
Market Conditions
NOI Build-Up for 17,834 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
$124.1K $6.96/SF
− Vacancy
−$10.3K −$0.58/SF
EGI
$113.8K $6.38/SF
− OpEx
−$34.1K −$1.91/SF
NOI
$79.7K $4.47/SF
Area
Berrien County, MI
Vacancy
8.30%
Lease Rate
$6.96 /SF/Yr
Expense Ratio
30.00%
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%
$1,593,520
Cap Rate 7%
$1,138,229
Cap Rate 9%
$885,289
Alternative Uses
Best Use
Retail
$2.64M
$2.31M – $3.09M
NOI $185,133 @ 7.0% cap · market cap 20.59%
Second Best
Warehouse
$1.38M
$1.21M – $1.61M
NOI $96,749 @ 7.0% cap · market cap 10.76%
Theoretical Best
Office A
$3.75M
$3.28M – $4.38M
NOI $262,692 @ 7.0% cap · market cap 29.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
453
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 49022, MI
30,143
Population
14,484
Households
2.1
Avg Household Size
39
Median Age
18%
College-Educated
85%
High-School Grad
67.3 sq mi
ZIP Area
448
Density / Sq Mi
$39,859
Median Household Income
$29,530
Median Earnings
$797
Median Rent
$140,500
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Catering With the Jones — 635 Buena Vista Rd, Benton Harbor, MI 49022
Frequently Asked Questions
What type of property is this?
Flex space - Built in 2005, the property combines office, warehouse, loading, and storage functions.
Where is this flex space located?
The property is located at 2188 Michigan Unit 139 Benton Harbor, MI.
What is the asking price?
The asking price for this property is $899,000.
What are key features of this property?
This property features: 20,000+ square feet of flexible commercial space; 7+ private office spaces and 2+ conference rooms; Large showroom plus 2 substantial warehouse areas
