Renovated Cafe
For Sale
$165,000
300 E Railway Street, Coleman, MI 48618
COM/IND/BUS OPP, Coleman, MI
Property Size2,834 SF
Lot Size0.28 Acres
Price / SF$58.22
Days on Market122
Property Features for 300 E Railway Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Lot features
Corner Lot, Main Street
Subdivision
Coleman (56017)
Standard status
Active
APN
170-003-000-310-00
Size
2,834 SF
Lot size
0.28 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
3842
Utilities
Heating system
Forced Air
Water source
Public
Building Details
Roof type
Asphalt
Listing Agency:
Century 21 Signature Realty Midland · Century 21 Real Estate
(989) 837-2100
Listed By:
Tom Webb · License #6502374762
(989) 492-0650
Added: May 7
Changed: Sep 5
Last Checked: Sep 5 at 8:06PM
MLS# 50206704
Copyright © 2026 Multiple Listing Service MiRealSource. 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 conventional restaurant property combines an operating cafe business with a 2,834-square-foot commercial building on a 0.28-acre corner lot. The building was renovated in 2023 and includes a fully equipped commercial kitchen, preparation and storage areas, and a dedicated dining space. The sale includes the business, building, and operational equipment, providing an established restaurant format for continued use or a new culinary concept.
The property is located at 300 E Railway Street in downtown Coleman, Michigan, with 20 on-site parking spaces. Building systems include forced-air heating, public water service, and an asphalt roof.
The property is located at 300 E Railway Street in downtown Coleman, Michigan, with 20 on-site parking spaces. Building systems include forced-air heating, public water service, and an asphalt roof.
Key Highlights
- 2,834‑square‑foot restaurant building on a 0.28‑acre lot
- Cafe business, building, and operational equipment included
- Renovated in 2023
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
$14,468
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
8.77%
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%
$289,360
$289.4K
Cap Rate 7%
$206,686
$206.7K
Cap Rate 9%
$160,756
$160.8K
Market Conditions
NOI Build-Up for 2,834 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 $7.80/SF
− Vacancy
−$1.4K −$0.51/SF
EGI
$20.7K $7.29/SF
− OpEx
−$6.2K −$2.19/SF
NOI
$14.5K $5.11/SF
Area
Midland County, MI
Vacancy
6.50%
Lease Rate
$7.80 /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%
$289,360
Cap Rate 7%
$206,686
Cap Rate 9%
$160,756
Alternative Uses
Best Use
Specialty Retail
$405.2K
$354.5K – $472.7K
NOI $28,362 @ 7.0% cap · market cap 17.19%
Second Best
Industrial
$206.7K
$180.9K – $241.1K
NOI $14,468 @ 7.0% cap · market cap 8.77%
Theoretical Best
Flex RnD
$511.5K
$447.6K – $596.8K
NOI $35,806 @ 7.0% cap · market cap 21.70%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
134
Businesses Nearby
9k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Sunoco
Shops & Services
4,653 visits/mo
0.2 miles
Dollar General
Shops & Services
4,213 visits/mo
0.1 miles
Demographics for 48618, MI
5,299
Population
2,443
Households
2.2
Avg Household Size
45
Median Age
13%
College-Educated
92%
High-School Grad
102.5 sq mi
ZIP Area
52
Density / Sq Mi
$58,523
Median Household Income
$37,793
Median Earnings
$760
Median Rent
$120,200
Median Home Value
Market
Vacancy Rate% for Retail 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?
Conventional restaurant - Downtown corner-lot restaurant with a commercial kitchen, dining area, operational equipment, and on-site parking.
Where is this conventional restaurant located?
The property is located at 300 E Railway Street Coleman, MI.
What is the asking price?
The asking price for this property is $165,000.
What are key features of this property?
This property features: 2,834‑square‑foot restaurant building on a 0.28‑acre lot; Cafe business, building, and operational equipment included; Renovated in 2023
