Lakeside Resort and
For Sale
$425,000
27672 US 41 Highway, Michigamme, MI 49861
COM/IND/BUS OPP, Michigamme, MI
Property Size4,658 SF
Lot Size1.38 Acres
Price / SF$91.24
Days on Market280
Property Features for 27672 US 41 Highway
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Commercial
Zoning description
Commercial
Parking features
Parking Lot
Security features
Security Lighting
Exterior features
Security Lighting
Lot features
Main Street, Rural, Utilities Above Ground, Cleared
Subdivision
Spurr Twp (07010)
Standard status
Active
Size
4,658 SF
Lot size
1.38 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
5271
Utilities
Heating system
Space Heater
Water source
Private
Water front features
Waterfront
Water front
1
Amenities
remodeled baths
LED televisions
multiple refrigerators
air-conditioning units
quality bedding
private dock
Building Details
Year built
1950
Roof type
Shingle
Listing Agency:
GREAT LAKES & LAND OF MARQUETTE, INC.
(906) 228-9312
Listed By:
TIM KEOHANE · License #UPAR
(906) 228-9312
Added: Nov 14, 2025
Changed: Aug 19
Last Checked: Aug 21 at 6:06AM
MLS# 50194326
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 commercial lakeside resort and motel property includes a 10-bedroom, 10-bath lodge with more than 3,100 square feet and pine-finished interior spaces. The on-site accommodations are supported by recent updates, including remodeled baths, LED televisions, multiple refrigerators, and air-conditioning units.
The property overlooks approximately 350 feet of scenic frontage between Ruth Lake and George Lake, with a private dock for guest use. Four outbuildings are included for storage and additional recreation.
An on-site two-bedroom, two-bath manager’s residence provides a full kitchen, dining room, and office space. The property is located in Spurr Township’s Three Lakes region and is zoned Commercial.
The property overlooks approximately 350 feet of scenic frontage between Ruth Lake and George Lake, with a private dock for guest use. Four outbuildings are included for storage and additional recreation.
An on-site two-bedroom, two-bath manager’s residence provides a full kitchen, dining room, and office space. The property is located in Spurr Township’s Three Lakes region and is zoned Commercial.
Key Highlights
- Overlooks 350 ft of waterfront frontage between Ruth Lake and George Lake in Michigan’s Upper Peninsula
- The Bear’s Paw resort/motel offers 10 bedrooms and 10 bathrooms
- More than 3,100 SF lodge with pine finishes and remodeled baths
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
$24,891
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
5.86%
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%
$497,820
$497.8K
Cap Rate 7%
$355,586
$355.6K
Cap Rate 9%
$276,567
$276.6K
Market Conditions
NOI Build-Up for 4,658 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
$69.9K $15.00/SF
− Vacancy
−$17.5K −$3.75/SF
EGI
$52.4K $11.25/SF
− OpEx
−$27.5K −$5.91/SF
NOI
$24.9K $5.34/SF
Area
Marquette County, MI
Vacancy
25.00%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
52.50%
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%
$497,820
Cap Rate 7%
$355,586
Cap Rate 9%
$276,567
Alternative Uses
Best Use
Hotel Hospitality
$355.6K
$311.1K – $414.9K
NOI $24,891 @ 7.0% cap · market cap 5.86%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.37M
$1.20M – $1.60M
NOI $96,029 @ 7.0% cap · market cap 22.60%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
16
Businesses Nearby
Explore this area
Business Placement
Demographics for 49861, MI
565
Population
634
Households
0.9
Avg Household Size
60
Median Age
30%
College-Educated
96%
High-School Grad
183.9 sq mi
ZIP Area
3
Density / Sq Mi
$66,806
Median Household Income
$38,542
Median Earnings
$229,200
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Resort - Resort and motel with 10 suites and private dock overlooking scenic lake frontage between Ruth Lake and George Lake.
Where is this resort located?
The property is located at 27672 US 41 Highway Michigamme, MI.
What is the asking price?
The asking price for this property is $425,000.
What are key features of this property?
This property features: Overlooks 350 ft of waterfront frontage between Ruth Lake and George Lake in Michigan’s Upper Peninsula; The Bear’s Paw resort/motel offers 10 bedrooms and 10 bathrooms; More than 3,100 SF lodge with pine finishes and remodeled baths
