Mixed-Use Building with Office
For Sale
$369,900
2710 Franklin Street, Michigan City, IN 46360
Commercial Sale, Michigan City, IN
Property Size4,454 SF
Lot Size0.19 Acres
Price / SF$83.05
Days on Market106
Property Features for 2710 Franklin Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Rooms
Basement
Parking
6
Parking features
Garage, On Street
Security features
Security System
Interior features
Stone Counters
Exterior features
Private Yard
Basement
Full
Accessibility
Accessible Approach with Ramp
Appliances
Refrigerator
Subdivision
Sanborns 4th Add
View
City
Directions
East side of Franklin Street in mid-town, north of US Hwy 20, south of the Art district. Laying just north of Gardena Street, south of Harrison. Street parking in front or rear entry from alleyway off Gardena or Harrison.
Standard status
Active
APN
460133309003000022
Size
4,454 SF
Lot size
0.19 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
42-01-33-309-003 SANBORNS 4TH LT 3 BLK 42.
Tax Annual Amount
3409
Legal Description
42-01-33-309-003 SANBORNS 4TH LT 3 BLK 42.
Utilities
Sewer type
Public Sewer
Heating system
Central, Forced Air
Water source
Public
Building Details
Year built
1904
Listing Agency:
McColly Real Estate
(219) 325-4404
Listed By:
Cynthia Schoof
(219) 363-9979
Added: May 8
Changed: Aug 19
Last Checked: Aug 21 at 2:06PM
MLS# 838552
Copyright © 2026 Greater Northwest Indiana 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 4,454-square-foot mixed-use building, constructed in 1904, combines professional office space with an upstairs residential unit. The first-floor office layout includes an open reception area, three offices, a conference room, and a private restroom. A single-story addition provides four more private offices, a meeting and break room, open work space, a separate restroom, and dedicated entry points. The property also includes a 24' x 15' attached garage, private parking, and an engineered access ramp.
The second floor is configured as a two-bedroom, one-bath rental unit with separate utilities and mechanical systems. The property is zoned B-2 and sits on 0.1894 acres. Public water and public sewer serve the building, while heating is provided by central and forced-air systems. Its location is served by Michigan City public transportation routes 1 and 3.
The second floor is configured as a two-bedroom, one-bath rental unit with separate utilities and mechanical systems. The property is zoned B-2 and sits on 0.1894 acres. Public water and public sewer serve the building, while heating is provided by central and forced-air systems. Its location is served by Michigan City public transportation routes 1 and 3.
Key Highlights
- 4,454‑square‑foot mixed‑use building on 0.1894 acres
- Built in 1904 with office and residential components
- First‑floor office layout includes three offices and a conference room
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
$30,165
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
8.15%
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%
$603,300
$603.3K
Cap Rate 7%
$430,929
$430.9K
Cap Rate 9%
$335,167
$335.2K
Market Conditions
NOI Build-Up for 4,454 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
$53.4K $12.00/SF
− Vacancy
−$5.2K −$1.16/SF
EGI
$48.3K $10.84/SF
− OpEx
−$18.1K −$4.06/SF
NOI
$30.2K $6.77/SF
Area
LaPorte County, IN
Vacancy
9.70%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
37.50%
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%
$603,300
Cap Rate 7%
$430,929
Cap Rate 9%
$335,167
Alternative Uses
Best Use
Office B
$650.0K
$568.7K – $758.3K
NOI $45,498 @ 7.0% cap · market cap 12.30%
Second Best
Apartment 5plus
$511.8K
$447.8K – $597.1K
NOI $35,827 @ 7.0% cap · market cap 9.69%
Theoretical Best
Specialty Retail
$1.24M
$1.08M – $1.44M
NOI $86,676 @ 7.0% cap · market cap 23.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
523
Businesses Nearby
Explore this area
Business Placement
Demographics for 46360, IN
44,209
Population
21,652
Households
2
Avg Household Size
42
Median Age
23%
College-Educated
90%
High-School Grad
76.6 sq mi
ZIP Area
577
Density / Sq Mi
$59,641
Median Household Income
$36,738
Median Earnings
$924
Median Rent
$155,900
Median Home Value
Market
Vacancy Rate% for Office 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?
Mixed-use property - Office and residential components occupy a well-maintained early 20th-century building with separate entrances and utilities.
Where is this mixed-use property located?
The property is located at 2710 Franklin Street Michigan City, IN.
What is the asking price?
The asking price for this property is $369,900.
What are key features of this property?
This property features: 4,454‑square‑foot mixed‑use building on 0.1894 acres; Built in 1904 with office and residential components; First‑floor office layout includes three offices and a conference room
