Adjacent Industrial Warehouse
For Sale
$388,333
3406 Busch Dr SW, Grandville, MI 49418
Two connected units provide open warehouse space, offices, and industrial infrastructure for flexible occupancy or operations.
Property Size3,000 SF
Price / SF$129.44
Days on Market221
Property Features for 3406 Busch Dr SW
General Information
Standard status
Active
Size
3,000 SF
Total Parking Spaces
10
Property subtype
Industrial
Zoning
I-2
Warehouse & Industrial
Clear Height
20 ft
Heavy Power
Yes
Additional Details
Highway Access
Yes
Amenities
Power
Water
Sewer
Natural Gas
10 Parking Spaces
Building Details
Year Built
2003
Listing Agency:
Richter Realty
(616) 293-7035
Listed By:
Andy Richter
(616) 293-7035
Source:
Carwm.resimplifi
Added: Jan 22
Changed: Aug 30
Last Checked: Aug 26 at 12:18PM
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 Richter Realty
Investment Insights
Based on property information with market context.
This 5,400 sq. ft. industrial warehouse property consists of two adjacent condominium units that may be combined. The layout centers on open warehouse space with a 20-foot ceiling, two 12-foot by 14-foot overhead doors, heavy power, floor drains, and compressed air lines. Three private offices and two private restrooms support administrative and shop functions, with the offices separately accessed from the work area.
The property is located at 3406 Busch Dr SW in Grandville, near the 28th Street and I-196 interchange and within the Grandville Business Center. Zoning is I-2, and the building was constructed in 2003. One unit is occupied under a modified gross lease through July 31, 2026, while the adjacent unit is vacant, providing a combination of existing occupancy and available space.
The property is located at 3406 Busch Dr SW in Grandville, near the 28th Street and I-196 interchange and within the Grandville Business Center. Zoning is I-2, and the building was constructed in 2003. One unit is occupied under a modified gross lease through July 31, 2026, while the adjacent unit is vacant, providing a combination of existing occupancy and available space.
Key Highlights
- Two adjacent industrial condo units totaling 5,400 sq. ft.; units may be combined
- 20‑foot ceiling height with two 12‑foot by 14‑foot overhead doors
- Heavy power, floor drains, and compressed air lines
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
$17,035
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
4.39%
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%
$340,700
$340.7K
Cap Rate 7%
$243,357
$243.4K
Cap Rate 9%
$189,278
$189.3K
Market Conditions
NOI Build-Up for 3,000 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
$20.6K $6.88/SF
− Vacancy
−$599 −$0.20/SF
EGI
$20.0K $6.68/SF
− OpEx
−$3.0K −$1.00/SF
NOI
$17.0K $5.68/SF
Area
Kent County, MI
Vacancy
2.90%
Lease Rate
$6.88 /SF/Yr
Expense Ratio
15.00%
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%
$340,700
Cap Rate 7%
$243,357
Cap Rate 9%
$189,278
Alternative Uses
Best Use
Warehouse
$243.4K
$212.9K – $283.9K
NOI $17,035 @ 7.0% cap · market cap 4.39%
Second Best
Industrial
$200.4K
$175.4K – $233.8K
NOI $14,029 @ 7.0% cap · market cap 3.61%
Theoretical Best
Office A
$536.6K
$469.5K – $626.0K
NOI $37,560 @ 7.0% cap · market cap 9.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
20 ft
Clear height
Yes
Heavy power
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
579
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 49418, MI
30,520
Population
12,801
Households
2.4
Avg Household Size
38
Median Age
40%
College-Educated
96%
High-School Grad
19.0 sq mi
ZIP Area
1,606
Density / Sq Mi
$83,485
Median Household Income
$48,260
Median Earnings
$1,218
Median Rent
$296,300
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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- West Michigan Garage Interiors — 3408 Busch Dr SW Ste. F, Grandville, MI 49418
Frequently Asked Questions
What type of property is this?
Warehouse - Two connected units provide open warehouse space, offices, and industrial infrastructure for flexible occupancy or operations.
Where is this warehouse located?
The property is located at 3406 Busch Dr SW Grandville, MI.
What is the asking price?
The asking price for this property is $388,333.
What are key features of this property?
This property features: Two adjacent industrial condo units totaling 5,400 sq. ft.; units may be combined; 20‑foot ceiling height with two 12‑foot by 14‑foot overhead doors; Heavy power, floor drains, and compressed air lines
