Office Building with Adjacent
For Sale
$2,800,000
315 S Kalamazoo Mall, Kalamazoo, MI 49007
Established downtown office asset with current occupancy by Acrisure and D1 zoning.
Property Size24,169 SF
Price / SF$115.85
Days on Market196
Property Features for 315 S Kalamazoo Mall
General Information
Standard status
Active
Size
24,169 SF
Property subtype
Office
Zoning
D1
Building Details
Year Built
1975
Tenancy
Single
Listing Agency:
Callander Commercial
(269) 930-1679
Listed By:
Derek Wissner · License #6506048809
(269) 930-1679
Source:
Carwm.resimplifi
Added: Feb 16
Changed: Aug 30
Last Checked: Aug 30 at 6:08PM
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 Callander Commercial
Investment Insights
Based on property information with market context.
Built in 1975, the property is a 24,169-square-foot office building in downtown Kalamazoo with D1 zoning. Acrisure currently occupies the building after acquiring Burnham & Flower, which used the property as its headquarters for approximately 20 years.
The sale includes an immediately adjacent property, creating a combined offering within the downtown office district. The surrounding area is undergoing continued development, including a new event and entertainment center located just blocks from the property.
The sale includes an immediately adjacent property, creating a combined offering within the downtown office district. The surrounding area is undergoing continued development, including a new event and entertainment center located just blocks from the property.
Key Highlights
- 24,169‑square‑foot office building constructed in 1975
- Currently occupied by Acrisure
- Former Burnham & Flower headquarters for approximately 20 years
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
$242,231
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
8.65%
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%
$4,844,620
$4.8M
Cap Rate 7%
$3,460,443
$3.5M
Cap Rate 9%
$2,691,456
$2.7M
Market Conditions
NOI Build-Up for 24,169 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
$348.0K $14.40/SF
− Vacancy
−$25.1K −$1.04/SF
EGI
$323.0K $13.36/SF
− OpEx
−$80.7K −$3.34/SF
NOI
$242.2K $10.02/SF
Area
Kalamazoo County, MI
Vacancy
7.20%
Lease Rate
$14.40 /SF/Yr
Expense Ratio
25.00%
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%
$4,844,620
Cap Rate 7%
$3,460,443
Cap Rate 9%
$2,691,456
Alternative Uses
Best Use
Office B
$3.46M
$3.03M – $4.04M
NOI $242,231 @ 7.0% cap · market cap 8.65%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$6.32M
$5.53M – $7.38M
NOI $442,717 @ 7.0% cap · market cap 15.81%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
3,154
Businesses Nearby
Explore this area
Business Placement
Demographics for 49007, MI
10,353
Population
5,102
Households
2
Avg Household Size
31
Median Age
24%
College-Educated
84%
High-School Grad
3.5 sq mi
ZIP Area
2,958
Density / Sq Mi
$39,309
Median Household Income
$24,723
Median Earnings
$1,017
Median Rent
$103,400
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?
Office building - Established downtown office asset with current occupancy by Acrisure and D1 zoning.
Where is this office building located?
The property is located at 315 S Kalamazoo Mall Kalamazoo, MI.
What is the asking price?
The asking price for this property is $2,800,000.
What are key features of this property?
This property features: 24,169‑square‑foot office building constructed in 1975; Currently occupied by Acrisure; Former Burnham & Flower headquarters for approximately 20 years
