Street-Level Office Suite with Basement
For Sale
$349,000
296 W Clay Avenue, Muskegon, MI 49440
COMMERCIAL - Muskegon, MI
Property Size1,166 SF
Lot Size0.24 Acres
Price / SF$299.31
Days on Market77
Property Features for 296 W Clay Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1, Basement
Interior features
Broadband
Elementary school district
Muskegon
Middle school district
Muskegon
High school district
Muskegon
Standard status
Active
APN
24-433-000-0004-00
Size
1,166 SF
Lot size
0.24 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
CITY OF MUSKEGON HERITAGE SQUARE COMMONS UNIT 4C
Tax Annual Amount
5307
Legal Description
CITY OF MUSKEGON HERITAGE SQUARE COMMONS UNIT 4C
Utilities
Utilities
Cable Available
Heating system
Forced Air
Cooling system
Central Air
Amenities
kitchenette
basement storage
Building Details
Year built
2017
Floors in Building
1
Number of units
4
Building materials
Brick, Stone
Roof type
Composition
Listing Agency:
Greenridge - Nexes
(231) 739-3501
Listed By:
Euginnia Seyferth
(231) 750-2828
Added: Jun 9
Changed: Aug 4
Last Checked: Aug 24 at 9:06AM
MLS# 26028002
Copyright © 2026 Michigan Regional Information Center, LLC. 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.
Street-level office suite in the Heritage Square brownstone-style development at 296 W Clay Avenue. The space totals 1,166 square feet and is laid out with four private offices, a welcoming reception area, kitchenette, and two open workspaces for flexible use. There is also approximately 200 square feet of dedicated basement storage, providing additional space beyond the main suite. Interior features include broadband.
Construction is brick and stone, with composition roofing. The office has forced air heating and central air cooling. Utilities include cable available.
Built in 2017, this suite offers a straightforward layout suited to professional offices and other service-oriented businesses looking for reception-driven space with multiple private offices and an added storage component.
Construction is brick and stone, with composition roofing. The office has forced air heating and central air cooling. Utilities include cable available.
Built in 2017, this suite offers a straightforward layout suited to professional offices and other service-oriented businesses looking for reception-driven space with multiple private offices and an added storage component.
Key Highlights
- 1,166 SF street‑level office suite with four private offices and two open workspaces
- Approximately 200 SF dedicated basement storage
- Reception area and kitchenette included
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
$15,073
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
4.32%
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%
$301,460
$301.5K
Cap Rate 7%
$215,329
$215.3K
Cap Rate 9%
$167,478
$167.5K
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
$22.1K $18.96/SF
− Vacancy
−$575 −$0.49/SF
EGI
$21.5K $18.47/SF
− OpEx
−$6.5K −$5.54/SF
NOI
$15.1K $12.93/SF
Area
Muskegon County, MI
Vacancy
2.60%
Lease Rate
$18.96 /SF/Yr
Expense Ratio
30.00%
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%
$301,460
Cap Rate 7%
$215,329
Cap Rate 9%
$167,478
Alternative Uses
Best Use
Retail
$215.3K
$188.4K – $251.2K
NOI $15,073 @ 7.0% cap · market cap 4.32%
Second Best
Office B
$183.5K
$160.6K – $214.1K
NOI $12,845 @ 7.0% cap · market cap 3.68%
Theoretical Best
Hotel Hospitality
$10.95M
$9.58M – $12.77M
NOI $766,496 @ 7.0% cap · market cap 219.63%
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 - Street-level office suite with four private offices, reception area, kitchenette, two open workspaces, plus dedicated basement storage.
Where is this office units located?
The property is located at 296 W Clay Avenue Muskegon, MI.
What is the asking price?
The asking price for this property is $349,000.
What are key features of this property?
This property features: 1,166 SF street‑level office suite with four private offices and two open workspaces; Approximately 200 SF dedicated basement storage; Reception area and kitchenette included
