Street-Level Office and Retail
For Sale
$399,000
296 W Clay Avenue #4C, Muskegon, MI 49440
Flexible street-level suite with private offices, reception, kitchenette, open work areas, and dedicated basement storage.
Property Size1,166 SF
Days on Market77
Property Features for 296 W Clay Avenue #4C
General Information
Standard status
Active
Size
1,166 SF
Property subtype
Business Opportunity
Taxes and HOA fees
Annual Taxes
$5,307
Building Details
Building Size
1,166 SF
Year Built
2017
Units
4
Listing Agency:
Greenridge - Nexes
(231) 750-2828
Listed By:
Euginnia Seyferth
(231) 750-2828
Source:
Carolbollo
Added: Jun 9
Changed: Aug 23
Last Checked: Aug 21 at 7:56PM
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 Greenridge - Nexes
Investment Insights
Based on property information with market context.
This street-level unit in the Heritage Square brownstone-style development offers a versatile interior suited for office and service uses, with a current layout that includes four private offices, a welcoming reception area, a kitchenette, and two open workspaces. Additional space is provided by approximately 200 square feet of dedicated basement storage, adding practical back-of-house capacity uncommon in some downtown configurations.
Located in downtown Muskegon within the city’s cultural and business district, the property is surrounded by museums, theaters, restaurants, hotels, the culinary institute, and recurring community events. It also benefits from proximity to parks and marinas, supporting a tenant mix that can include professional services and retail-forward concepts where walk-in convenience matters.
For owner-occupants, the combination of private rooms and shared work areas supports both client-facing and internal team operations. For investors or operators considering a retail or service component, the unit’s street-level position and reception area provide an appropriate front-of-house entry point, while the basement storage helps keep supplies, files, and seasonal items organized. Buyer and buyer’s agent should verify all information.
Located in downtown Muskegon within the city’s cultural and business district, the property is surrounded by museums, theaters, restaurants, hotels, the culinary institute, and recurring community events. It also benefits from proximity to parks and marinas, supporting a tenant mix that can include professional services and retail-forward concepts where walk-in convenience matters.
For owner-occupants, the combination of private rooms and shared work areas supports both client-facing and internal team operations. For investors or operators considering a retail or service component, the unit’s street-level position and reception area provide an appropriate front-of-house entry point, while the basement storage helps keep supplies, files, and seasonal items organized. Buyer and buyer’s agent should verify all information.
Key Highlights
- Built in 2017 in the Heritage Square brownstone‑style development in downtown Muskegon
- Over 1,000 SF street‑level unit with four private offices plus a reception area
- Includes kitchenette and two open workspaces for flexible office, retail, or service use
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
$12,845
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
3.22%
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%
$256,900
$256.9K
Cap Rate 7%
$183,500
$183.5K
Cap Rate 9%
$142,722
$142.7K
Market Conditions
NOI Build-Up for 1,166 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
$19.9K $17.04/SF
− Vacancy
−$2.7K −$2.35/SF
EGI
$17.1K $14.69/SF
− OpEx
−$4.3K −$3.67/SF
NOI
$12.8K $11.02/SF
Area
Muskegon County, MI
Vacancy
13.80%
Lease Rate
$17.04 /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%
$256,900
Cap Rate 7%
$183,500
Cap Rate 9%
$142,722
Alternative Uses
Best Use
Office B
$183.5K
$160.6K – $214.1K
NOI $12,845 @ 7.0% cap · market cap 3.22%
Second Best
—
—
no second resolved use
Theoretical Best
Hotel Hospitality
$10.95M
$9.58M – $12.77M
NOI $766,496 @ 7.0% cap · market cap 192.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,329
Businesses Nearby
Explore this area
Business Placement
Demographics for 49440, MI
1,320
Population
860
Households
1.5
Avg Household Size
44
Median Age
36%
College-Educated
93%
High-School Grad
0.6 sq mi
ZIP Area
2,200
Density / Sq Mi
$42,500
Median Household Income
$37,067
Median Earnings
$791
Median Rent
$163,100
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?
Office units - Flexible street-level suite with private offices, reception, kitchenette, open work areas, and dedicated basement storage.
Where is this office units located?
The property is located at 296 W Clay Avenue #4C Muskegon, MI.
What is the asking price?
The asking price for this property is $399,000.
What are key features of this property?
This property features: Built in 2017 in the Heritage Square brownstone‑style development in downtown Muskegon; Over 1,000 SF street‑level unit with four private offices plus a reception area; Includes kitchenette and two open workspaces for flexible office, retail, or service use
