Retail and Office Corner
For Sale
$799,000
305 Us-31, Traverse City, MI 49685
High-traffic corner site with flexible CM zoning and existing retail/office and pole buildings for immediate or future use.
Property Size3,840 SF
Price / SF$208.07
Days on Market85
Property Features for 305 Us-31
General Information
Standard status
Active
Size
3,840 SF
Property subtype
General Commercial
Zoning
CM
Site & Location
Traffic Count
25,000 vehicles/day
Highway Access
Yes
Road Access
Yes
Amenities
3
200' x 293'
Building Details
Year Built
1964
Listing Agency:
REO-TCRandolph-233022
(231) 946-4040
Listed By:
Marty Stevenson · License #6501387018
Source:
Xome
Added: Jun 1
Changed: Aug 23
Last Checked: Aug 23 at 5:41AM
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 REO-TCRandolph-233022
Investment Insights
Based on property information with market context.
This high-visibility corner lot offers two existing structures available at closing: a 1,440-square-foot retail/office building and a 2,400-square-foot pole building. The property is positioned for either straightforward occupancy in the current buildings or for a redevelopment approach if you have a new concept in mind.
Located on US-31 at the intersection of US-31S and Foster Dr., the site benefits from maximum exposure. Public remarks note a traffic count of over 25,000 cars per day, and the corner configuration is designed to keep your business visible from multiple directions. The property sits within Blair Township’s CM zoning, which supports a large variety of commercial uses.
For investors and operators, this is a practical option when you need a prominent location with versatile zoning and usable existing improvements. Retail and office users can evaluate the current building right away, while others may prefer to plan upgrades or redevelopment given the flexible commercial framework.
Located on US-31 at the intersection of US-31S and Foster Dr., the site benefits from maximum exposure. Public remarks note a traffic count of over 25,000 cars per day, and the corner configuration is designed to keep your business visible from multiple directions. The property sits within Blair Township’s CM zoning, which supports a large variety of commercial uses.
For investors and operators, this is a practical option when you need a prominent location with versatile zoning and usable existing improvements. Retail and office users can evaluate the current building right away, while others may prefer to plan upgrades or redevelopment given the flexible commercial framework.
Key Highlights
- High‑visibility corner lot on US‑31 at the intersection of US‑31S and Foster Dr.
- Over 25,000 cars/day traffic count on US‑31.
- Blair Township CM zoning allows a wide variety of commercial uses.
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
$47,481
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
5.94%
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%
$949,620
$949.6K
Cap Rate 7%
$678,300
$678.3K
Cap Rate 9%
$527,567
$527.6K
Market Conditions
NOI Build-Up for 3,840 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
$73.7K $19.20/SF
− Vacancy
−$5.9K −$1.54/SF
EGI
$67.8K $17.66/SF
− OpEx
−$20.3K −$5.30/SF
NOI
$47.5K $12.36/SF
Area
Grand Traverse County, MI
Vacancy
8.00%
Lease Rate
$19.20 /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%
$949,620
Cap Rate 7%
$678,300
Cap Rate 9%
$527,567
Alternative Uses
Best Use
Retail
$678.3K
$593.5K – $791.4K
NOI $47,481 @ 7.0% cap · market cap 5.94%
Second Best
Office B
$587.5K
$514.1K – $685.4K
NOI $41,126 @ 7.0% cap · market cap 5.15%
Theoretical Best
Office A
$834.2K
$729.9K – $973.2K
NOI $58,393 @ 7.0% cap · market cap 7.31%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
25,000 VPD
Traffic count
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
234
Businesses Nearby
Explore this area
Business Placement
Demographics for 49685, MI
20,856
Population
9,395
Households
2.2
Avg Household Size
40
Median Age
38%
College-Educated
95%
High-School Grad
54.2 sq mi
ZIP Area
385
Density / Sq Mi
$82,639
Median Household Income
$45,783
Median Earnings
$1,338
Median Rent
$309,200
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?
Retail space - High-traffic corner site with flexible CM zoning and existing retail/office and pole buildings for immediate or future use.
Where is this retail space located?
The property is located at 305 Us-31 Traverse City, MI.
What is the asking price?
The asking price for this property is $799,000.
What are key features of this property?
This property features: High‑visibility corner lot on US‑31 at the intersection of US‑31S and Foster Dr.; Over 25,000 cars/day traffic count on US‑31.; Blair Township CM zoning allows a wide variety of commercial uses.
