Flex Space with Office
For Sale
$2,900,000
3055 Cass Rd Traverse, Traverse City, MI 49684
Mixed office and industrial improvements include loading access, overhead doors, and secured paved parking.
Property Size31,356 SF
Days on Market209
Property Features for 3055 Cass Rd Traverse
General Information
Standard status
Active
Size
31,356 SF
Class
B
Property subtype
Multi Tenant Office
Site & Location
Road Access
Yes
Fenced Yard
Yes
Warehouse & Industrial
Dock-High Doors
2
Three-Phase Power
Yes
Amenities
central air
3 phase power
truck docks
overhead doors
metal roof
paved & fenced parking lot
Building Details
Building Size
31,356 SF
Year Built
1968
Tenancy
Multi
Properties For Sale
at 3055 Cass Rd Traverse Contact us- Size
- 878 SF
- Lease Type
- Modified Gross
3055 Cass Rd Suite 106
- Size
- 455 SF
- Lease Type
- Modified Gross
3055 Cass Rd Suite 108
- Size
- 9,070 SF
- Lease Type
- Modified Gross
3055 Cass Rd, Multiple Office Offering
- Size
- 462 SF
- Lease Type
- Modified Gross
3055 Cass Suite 110
Listing Agency:
Three West LLC
Listed By:
David J. Frost · License #6501203019
(231) 929-2955
Source:
Thebrokerlist
Added: Feb 18
Changed: Sep 10
Last Checked: Sep 15 at 4:10AM
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 Three West LLC
Investment Insights
Based on property information with market context.
This flex property combines more than 31,000 square feet of rentable space across office and industrial configurations, with office uses comprising approximately 60% of the building. The improvements include central air, three-phase power, a metal roof, two truck docks, five additional overhead doors, and a large paved parking area enclosed by fencing.
The property occupies 6.32 acres and includes 339 feet of frontage along Cass Road. Its position near the Cass Road and South Airport Road intersection provides direct access to a prominent local thoroughfare. The site also offers land for additional buildings or future expansion, as supported by the existing property information.
The property occupies 6.32 acres and includes 339 feet of frontage along Cass Road. Its position near the Cass Road and South Airport Road intersection provides direct access to a prominent local thoroughfare. The site also offers land for additional buildings or future expansion, as supported by the existing property information.
Key Highlights
- More than 31,000 square feet of rentable office and industrial space
- Approximately 60% office configuration
- 6.32‑acre site with land for additional buildings or expansion
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
$182,727
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
6.30%
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%
$3,654,540
$3.7M
Cap Rate 7%
$2,610,386
$2.6M
Cap Rate 9%
$2,030,300
$2.0M
Market Conditions
NOI Build-Up for 31,356 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
$282.2K $9.00/SF
− Vacancy
−$21.2K −$0.68/SF
EGI
$261.0K $8.33/SF
− OpEx
−$78.3K −$2.50/SF
NOI
$182.7K $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%
$3,654,540
Cap Rate 7%
$2,610,386
Cap Rate 9%
$2,030,300
Alternative Uses
Best Use
Office B
$4.80M
$4.20M – $5.60M
NOI $335,823 @ 7.0% cap · market cap 11.58%
Second Best
Flex RnD
$4.61M
$4.04M – $5.38M
NOI $322,988 @ 7.0% cap · market cap 11.14%
Theoretical Best
Office A
$6.81M
$5.96M – $7.95M
NOI $476,812 @ 7.0% cap · market cap 16.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
2
Dock-high doors
Multi-tenant
Tenancy
Yes
Fenced yard
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
706
Businesses Nearby
Under-served
Demand for This Use
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 Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Mixed office and industrial improvements include loading access, overhead doors, and secured paved parking.
Where is this flex space located?
The property is located at 3055 Cass Rd Traverse Traverse City, MI.
What is the asking price?
The asking price for this property is $2,900,000.
What are key features of this property?
This property features: More than 31,000 square feet of rentable office and industrial space; Approximately 60% office configuration; 6.32‑acre site with land for additional buildings or expansion
