Open-Plan Office Studio with Road
For Sale
$350,000
3383 BLUE STAR HWY, Saugatuck, MI 49453
A 1,280 sq. ft. open floor plan studio with bathroom, AC, natural gas, and public water on 100' of road frontage.
Property Size1,280 SF
Lot Size0.67 Acres
Price / SF$273.44
Days on Market22
Property Features for 3383 BLUE STAR HWY
General Information
Standard status
Active
Size
1,280 SF
Lot size
0.67 Acres
Property subtype
Business Opportunities
Zoning
C-1
Site & Location
Road Frontage
100 ft
Highway Access
Yes
Road Access
Yes
Utilities to Site
Yes
Additional Details
Land Use
commercial
Amenities
3
Composition
101291100290
Building Details
Year Built
1984
Buildings
1
Listing Agency:
BHG Connections
(616) 212-3391
Listed By:
Kevin Schippa · License #6506048199
(616) 212-3391
Source:
Xome
Added: Jul 22
Changed: Aug 8
Last Checked: Aug 11 at 5:33AM
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 BHG Connections
Investment Insights
Based on property information with market context.
The property is a creative/open-plan work studio with approximately 1,280 square feet of space, including a bathroom. Improvements and utilities noted include air conditioning, natural gas, and public water, providing basic operating support for day-to-day use.
It is located on High Visibility Blue Star Hwy with about 100 feet of road frontage and a site size just under 3/4 of an acre. The property is described as being less than 5 minutes to downtown Saugatuck, and it is zoned C-1.
The C-1 zoning designation is stated as allowing for a multitude of possibilities, supporting a range of potential commercial uses under the local zoning framework.
It is located on High Visibility Blue Star Hwy with about 100 feet of road frontage and a site size just under 3/4 of an acre. The property is described as being less than 5 minutes to downtown Saugatuck, and it is zoned C-1.
The C-1 zoning designation is stated as allowing for a multitude of possibilities, supporting a range of potential commercial uses under the local zoning framework.
Key Highlights
- 1,280 sq. ft. open floor plan work studio with a bathroom
- Located on Blue Star Hwy with high visibility and 100' of road frontage
- .67‑acre lot in Saugatuck Twp with C‑1 zoning
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
$14,101
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
4.03%
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%
$282,020
$282.0K
Cap Rate 7%
$201,443
$201.4K
Cap Rate 9%
$156,678
$156.7K
Market Conditions
NOI Build-Up for 1,280 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
$21.8K $17.04/SF
− Vacancy
−$3.0K −$2.35/SF
EGI
$18.8K $14.69/SF
− OpEx
−$4.7K −$3.67/SF
NOI
$14.1K $11.02/SF
Area
Allegan County, MI
Vacancy
13.80%
Lease Rate
$17.04 /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%
$282,020
Cap Rate 7%
$201,443
Cap Rate 9%
$156,678
Alternative Uses
Best Use
Office B
$201.4K
$176.3K – $235.0K
NOI $14,101 @ 7.0% cap · market cap 4.03%
Second Best
—
—
no second resolved use
Theoretical Best
Hotel Hospitality
$12.02M
$10.52M – $14.02M
NOI $841,437 @ 7.0% cap · market cap 240.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
113
Businesses Nearby
Explore this area
Business Placement
Demographics for 49453, MI
2,950
Population
2,113
Households
1.4
Avg Household Size
53
Median Age
52%
College-Educated
98%
High-School Grad
10.4 sq mi
ZIP Area
284
Density / Sq Mi
$101,250
Median Household Income
$49,970
Median Earnings
$766
Median Rent
$487,400
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?
Creative space - A 1,280 sq. ft. open floor plan studio with bathroom, AC, natural gas, and public water on 100' of road frontage.
Where is this creative space located?
The property is located at 3383 BLUE STAR HWY Saugatuck, MI.
What is the asking price?
The asking price for this property is $350,000.
What are key features of this property?
This property features: 1,280 sq. ft. open floor plan work studio with a bathroom; Located on Blue Star Hwy with high visibility and 100' of road frontage; .67‑acre lot in Saugatuck Twp with C‑1 zoning
