Flex Space with Oversized
For Sale
$235,000
222 Merritt Avenue, Iron Mountain, MI 49801
COM/IND/BUS OPP, Iron Mountain, MI
Property Size2,400 SF
Lot Size0.50 Acres
Price / SF$97.92
Days on Market49
Property Features for 222 Merritt Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Commercial,Industrial
Zoning description
Commercial, Industrial
Lot features
Industrial
Subdivision
Iron Mountain (22007)
Standard status
Active
Size
2,400 SF
Lot size
0.50 Acres
Utilities
Heating system
Forced Air
Water source
Public
Building Details
Year built
1965
Roof type
Metal
Listing Agency:
SELECT REALTY
(906) 228-2772
Listed By:
WILLIAM FAIRCHILD · License #6501449955
(906) 282-8803
Added: Jul 3
Changed: Aug 19
Last Checked: Aug 20 at 11:06PM
MLS# 50213719
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 2,400-square-foot flex property combines a functional shop area with an office and bathroom. Two oversized overhead doors provide access for large vehicles, while the building’s layout accommodates a range of commercial or industrial operations. The structure was built in 1965 and includes forced-air heating, a metal roof, and public water service.
The property occupies 0.5 acres in Iron Mountain, Michigan, and carries Commercial,Industrial zoning. Its configuration may support trucking, fleet service, construction-related operations, storage, or other business uses identified by the applicable zoning and approvals.
The property occupies 0.5 acres in Iron Mountain, Michigan, and carries Commercial,Industrial zoning. Its configuration may support trucking, fleet service, construction-related operations, storage, or other business uses identified by the applicable zoning and approvals.
Key Highlights
- 2,400‑square‑foot commercial building on 0.5 acres
- Two oversized overhead doors sized for semi‑truck access
- Shop area includes an office and bathroom
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
$14,334
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
6.10%
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%
$286,680
$286.7K
Cap Rate 7%
$204,771
$204.8K
Cap Rate 9%
$159,267
$159.3K
Market Conditions
NOI Build-Up for 2,400 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
$17.6K $7.35/SF
− Vacancy
−$776 −$0.32/SF
EGI
$16.9K $7.03/SF
− OpEx
−$2.5K −$1.05/SF
NOI
$14.3K $5.97/SF
Area
Dickinson County, MI
Vacancy
4.40%
Lease Rate
$7.35 /SF/Yr
Expense Ratio
15.00%
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%
$286,680
Cap Rate 7%
$204,771
Cap Rate 9%
$159,267
Alternative Uses
Best Use
Retail
$309.3K
$270.7K – $360.9K
NOI $21,652 @ 7.0% cap · market cap 9.21%
Second Best
Warehouse
$204.8K
$179.2K – $238.9K
NOI $14,334 @ 7.0% cap · market cap 6.10%
Theoretical Best
Office A
$462.7K
$404.9K – $539.8K
NOI $32,390 @ 7.0% cap · market cap 13.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
608
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 49801, MI
11,479
Population
5,927
Households
1.9
Avg Household Size
46
Median Age
25%
College-Educated
95%
High-School Grad
123.9 sq mi
ZIP Area
93
Density / Sq Mi
$62,461
Median Household Income
$41,468
Median Earnings
$667
Median Rent
$157,800
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Flex space - Commercial and industrial zoning supports a shop-oriented layout with office and restroom areas.
Where is this flex space located?
The property is located at 222 Merritt Avenue Iron Mountain, MI.
What is the asking price?
The asking price for this property is $235,000.
What are key features of this property?
This property features: 2,400‑square‑foot commercial building on 0.5 acres; Two oversized overhead doors sized for semi‑truck access; Shop area includes an office and bathroom
