Traverse City Industrial Investment
For Sale
Contact for pricing
Pending
3054 Cass Rd, Traverse City, MI 49684
Stabilized industrial asset in Traverse City with value-add upside.
Property Size18,037 SF
Days on Market178
Property Features for 3054 Cass Rd
General Information
Standard status
Pending
Size
18,037 SF
Class
A
Property subtype
Industrial, Mixed Use
Zoning
Industrial
Occupancy
100%
Lease Type
Gross
Investment Type
Stabilized
Net Operating Income
$91,956
Building Details
Year Built
1961
Year Renovated
2015
Buildings
1
Stories
2
Units
8
Tenancy
Multi
Listing Agency:
Evan DeCiantis
Listed By:
Mark Floria · License #MI 6501347381
Source:
Crexi
Added: Feb 24
Changed: Aug 13
Last Checked: Aug 19 at 9:21PM
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 Evan DeCiantis
Investment Insights
Based on property information with market context.
Safe Harbor Warehouse presents an industrial investment opportunity in the Traverse City market. The property has 16,915 rentable square feet and is 100% occupied, with a diversified multi-tenant rent roll. The asset generates cash flow with current rents below market, creating potential for future NOI growth through lease renewals and rate adjustments. The property has flexible industrial zoning and is near Cherry Capital Airport and downtown Traverse City. The property is 18,037 square feet.
Key Highlights
- 100% physical and economic occupancy with a diversified multi‑tenant rent roll.
- Strong in‑place cash flow with below‑market rents, offering potential for NOI growth.
- Highly desirable Traverse City market location.
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
$105,111
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
8.76%
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%
$2,102,220
$2.1M
Cap Rate 7%
$1,501,586
$1.5M
Cap Rate 9%
$1,167,900
$1.2M
Market Conditions
NOI Build-Up for 18,037 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
$162.3K $9.00/SF
− Vacancy
−$12.2K −$0.68/SF
EGI
$150.2K $8.33/SF
− OpEx
−$45.0K −$2.50/SF
NOI
$105.1K $5.83/SF
Area
Grand Traverse County, MI
Vacancy
7.50%
Lease Rate
$9.00 /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%
$2,102,220
Cap Rate 7%
$1,501,586
Cap Rate 9%
$1,167,900
Alternative Uses
Best Use
Mixed Use
$2.20M
$1.92M – $2.56M
NOI $153,878 @ 7.0% cap · market cap 12.82%
Second Best
Warehouse
$2.05M
$1.79M – $2.39M
NOI $143,539 @ 7.0% cap · market cap 11.96%
Theoretical Best
Office A
$3.92M
$3.43M – $4.57M
NOI $274,278 @ 7.0% cap · market cap 22.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
613
Businesses Nearby
Explore this area
Business Placement
Demographics for 49684, MI
22,025
Population
10,959
Households
2
Avg Household Size
49
Median Age
46%
College-Educated
96%
High-School Grad
52.8 sq mi
ZIP Area
417
Density / Sq Mi
$75,678
Median Household Income
$39,553
Median Earnings
$1,216
Median Rent
$375,700
Median Home Value
Market
Vacancy Rate% for Industrial 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?
Mixed-use property - Stabilized industrial asset in Traverse City with value-add upside.
Where is this mixed-use property located?
The property is located at 3054 Cass Rd Traverse City, MI.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: 100% physical and economic occupancy with a diversified multi‑tenant rent roll.; Strong in‑place cash flow with below‑market rents, offering potential for NOI growth.; Highly desirable Traverse City market location.
