Two-Level Restaurant with Outdoor
For Sale
$1,050,000
3459 S Us Highway 31, Brutus, MI 49716
Restaurant real estate and operating assets support dining, private events, weddings, and corporate functions.
Property Size8,400 SF
Lot Size4.00 Acres
Days on Market27
Property Features for 3459 S Us Highway 31
General Information
Standard status
Active
Size
8,400 SF
Lot size
4.00 Acres
Property subtype
Commercial
Financials
Asking Price
$1,050,000
Business Included
Yes
Restaurant
Patio
Yes
Equipment Included
Yes
Liquor License
Yes
Additional Details
Furnished
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$2,779
Building Details
Building Size
8,400 SF
Year Built
1990
Buildings
1
Stories
1
Units
1
Listing Agency:
Van Treese Management LLC
(906) 360-4908
Listed By:
Christopher Skrobeck
Source:
Erareardonrealty
Added: Aug 5
Changed: Aug 29
Last Checked: Aug 30 at 5:32PM
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 Van Treese Management LLC
Investment Insights
Based on property information with market context.
This two-level restaurant property includes approximately 4 acres and a 5,700+ square foot building with a spacious dining area, seasonal outdoor deck, and views over a water feature. The offering includes the real estate and restaurant business assets, including kitchen equipment, furniture, point-of-sale and phone systems, back-office equipment, restaurant technology, and beer system equipment.
Situated at 3459 S Us Highway 31 in Brutus, Michigan, the property provides highway frontage and a large parking area. A Class C Resort Liquor License is included, along with the existing restaurant infrastructure. The building and operating components are configured for daily dining service as well as private events, weddings, and corporate functions.
Situated at 3459 S Us Highway 31 in Brutus, Michigan, the property provides highway frontage and a large parking area. A Class C Resort Liquor License is included, along with the existing restaurant infrastructure. The building and operating components are configured for daily dining service as well as private events, weddings, and corporate functions.
Key Highlights
- Approximately 4 acres with a 5,700+ square foot restaurant building
- Two‑level layout with dining area, water feature views, and outdoor deck
- Real estate and restaurant business assets included in the sale
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
$71,064
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
6.77%
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%
$1,421,280
$1.4M
Cap Rate 7%
$1,015,200
$1.0M
Cap Rate 9%
$789,600
$789.6K
Market Conditions
NOI Build-Up for 8,400 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
$100.8K $12.00/SF
− Vacancy
−$6.0K −$0.72/SF
EGI
$94.8K $11.28/SF
− OpEx
−$23.7K −$2.82/SF
NOI
$71.1K $8.46/SF
Area
Emmet County, MI
Vacancy
6.00%
Lease Rate
$12.00 /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%
$1,421,280
Cap Rate 7%
$1,015,200
Cap Rate 9%
$789,600
Alternative Uses
Best Use
Specialty Retail
$1.02M
$888.3K – $1.18M
NOI $71,064 @ 7.0% cap · market cap 6.77%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$1.90M
$1.66M – $2.22M
NOI $133,070 @ 7.0% cap · market cap 12.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Paved road access
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
17
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 49716, MI
775
Population
639
Households
1.2
Avg Household Size
55
Median Age
32%
College-Educated
95%
High-School Grad
22.9 sq mi
ZIP Area
34
Density / Sq Mi
$82,438
Median Household Income
$30,250
Median Earnings
$252,100
Median Home Value
Market
Vacancy Rate% for Retail 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?
Conventional restaurant - Restaurant real estate and operating assets support dining, private events, weddings, and corporate functions.
Where is this conventional restaurant located?
The property is located at 3459 S Us Highway 31 Brutus, MI.
What is the asking price?
The asking price for this property is $1,050,000.
What are key features of this property?
This property features: Approximately 4 acres with a 5,700+ square foot restaurant building; Two‑level layout with dining area, water feature views, and outdoor deck; Real estate and restaurant business assets included in the sale
