Remodeled Live-Work
New
For Sale
$635,000
2530 N Three Mile Road, Traverse City, MI 49686
Commercial, Traverse City, MI
Property Size1,879 SF
Lot Size1.40 Acres
Price / SF$337.95
Days on Market3
Property Features for 2530 N Three Mile Road
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
Commercial
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1
Parking
7
Parking features
Parking Lot
Exterior features
Vinyl
Lot features
Corner Lot
Directions
Located at the corner of N Three Mile and Vanderlip Rd.
Subdivision
Grand Traverse
Standard status
Active
Size
1,879 SF
Lot size
1.40 Acres
Taxes and HOA fees
Tax Description
THAT PART OF TH NW 1/4 OF SEC 20, T27N, R10W, MORE FULLY DESCRIBED AS: BEG AT TH W 1/4 COR OF SD SEC 20, TH N 02 DEG 02'25" E, ALG TH W LN OF SD SEC 20, 300.00 FT; TH S 88 DEG 39'40" E, PARL TO TH E-W 1/4 LN OF SD SEC 20, 200.00 FT; TH S 02 DEG 02'25" W,
Legal Description
THAT PART OF TH NW 1/4 OF SEC 20, T27N, R10W, MORE FULLY DESCRIBED AS: BEG AT TH W 1/4 COR OF SD SEC 20, TH N 02 DEG 02'25" E, ALG TH W LN OF SD SEC 20, 300.00 FT; TH S 88 DEG 39'40" E, PARL TO TH E-W 1/4 LN OF SD SEC 20, 200.00 FT; TH S 02 DEG 02'25" W,
Utilities
Water source
Private
Building Details
Building materials
Frame
Roof type
Asphalt
Listing Agency:
Krause Realty Solutions
(231) 714-7219
Listed By:
Thomas Krause
(231) 357-2040
Added: Aug 24
Last Checked: Aug 26 at 2:06AM
MLS# 1949725
Copyright © 2026 Northern Great Lakes Realtors MLS. 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 1,879-square-foot live-work property in Traverse City has undergone a complete remodel and is configured for either commercial or residential occupancy. The building uses frame construction with vinyl exterior siding, an asphalt roof, a bathroom, and a large garage. On-site parking is provided through a dedicated parking lot.
The property occupies 1.4 acres at 2530 N Three Mile Road in Traverse City, Michigan. A private water source serves the site, while the substantial lot provides room for future expansion as described in the property information.
The property occupies 1.4 acres at 2530 N Three Mile Road in Traverse City, Michigan. A private water source serves the site, while the substantial lot provides room for future expansion as described in the property information.
Key Highlights
- 1,879‑square‑foot remodeled live‑work property
- Commercial or residential use is supported
- Large garage and on‑site parking lot
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
$20,124
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
3.17%
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%
$402,480
$402.5K
Cap Rate 7%
$287,486
$287.5K
Cap Rate 9%
$223,600
$223.6K
Market Conditions
NOI Build-Up for 1,879 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
$31.6K $16.80/SF
− Vacancy
−$4.7K −$2.52/SF
EGI
$26.8K $14.28/SF
− OpEx
−$6.7K −$3.57/SF
NOI
$20.1K $10.71/SF
Area
Grand Traverse County, MI
Vacancy
15.00%
Lease Rate
$16.80 /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%
$402,480
Cap Rate 7%
$287,486
Cap Rate 9%
$223,600
Alternative Uses
Best Use
Office B
$287.5K
$251.6K – $335.4K
NOI $20,124 @ 7.0% cap · market cap 3.17%
Second Best
Mixed Use
$229.0K
$200.4K – $267.2K
NOI $16,030 @ 7.0% cap · market cap 2.52%
Theoretical Best
Office A
$408.2K
$357.2K – $476.2K
NOI $28,573 @ 7.0% cap · market cap 4.50%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
87
Businesses Nearby
Explore this area
Business Placement
Demographics for 49686, MI
25,859
Population
13,261
Households
2
Avg Household Size
45
Median Age
46%
College-Educated
95%
High-School Grad
47.3 sq mi
ZIP Area
547
Density / Sq Mi
$71,198
Median Household Income
$40,373
Median Earnings
$1,209
Median Rent
$295,500
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Live-work space - Remodeled property supports commercial or residential use and includes a garage and parking lot.
Where is this live-work space located?
The property is located at 2530 N Three Mile Road Traverse City, MI.
What is the asking price?
The asking price for this property is $635,000.
What are key features of this property?
This property features: 1,879‑square‑foot remodeled live‑work property; Commercial or residential use is supported; Large garage and on‑site parking lot
