Automotive Showroom with Service
For Sale
$1,600,000
3566 N US-31 S, Traverse City, MI 49684
Commercial, Traverse City, MI
Property Size13,515 SF
Lot Size1.98 Acres
Price / SF$118.39
Days on Market1420
Property Features for 3566 N US-31 S
General Information
Property type
Commercial Sale
Property subtype
Other
Directions
Located in Garfield Township approximately 2 miles southwest of downtown Traverse City, on the east side of US-31, across from Great Wolf Lodge & Panera Bread.
Subdivision
Grand Traverse
Standard status
Active
Size
13,515 SF
Lot size
1.98 Acres
Taxes and HOA fees
Tax Description
PRT SW1/4 NE1/4 SEC 16 T27N R11W COM 750.13' S OF NE COR TH S 300.13' TH W 1056.19' TH ON CURVE RIGHT 317.55' (R= 5604.65' CH N 19 DEG 6' E 317.51') TH E 960.9' TO POB.
Legal Description
PRT SW1/4 NE1/4 SEC 16 T27N R11W COM 750.13' S OF NE COR TH S 300.13' TH W 1056.19' TH ON CURVE RIGHT 317.55' (R= 5604.65' CH N 19 DEG 6' E 317.51') TH E 960.9' TO POB.
Amenities
retail showroom
private offices
conference room
lounge
custom cabinetry
fireplace
7 service bays
3 bay oil change area
Listing Agency:
G.A. Snowden Associates
(231) 632-6007
Listed By:
Gerald Snowden · License #6502118151
(231) 632-6007
Added: Oct 13, 2022
Changed: Sep 1
Last Checked: Sep 1 at 4:06PM
MLS# 1867624
Copyright © 2026 Northern Great Lakes Realtors MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This automotive showroom property includes a customer-facing retail area, private offices, conference room, lounge, and two restrooms. The central portion provides storage and parts space, along with 7 service bays and a separate 3-bay oil change area. Building features include 18' clear height, custom cabinetry, a fireplace, a 1,350-square-foot basement, and a 1,500-square-foot mezzanine. Constructed in 2001, the property contains 13,515 square feet on a 1.98-acre site.
Located at 3566 N US-31 S in Traverse City, the property sits directly in front of two hotels. It is designated CH Commercial District and lies within an Opportunity Zone. The property is offered for sale, with sale or lease options also stated in the property information.
Located at 3566 N US-31 S in Traverse City, the property sits directly in front of two hotels. It is designated CH Commercial District and lies within an Opportunity Zone. The property is offered for sale, with sale or lease options also stated in the property information.
Key Highlights
- 13,515‑square‑foot automotive showroom building constructed in 2001
- 1.98‑acre site at 3566 N US‑31 S, Traverse City, MI 49684
- 7 service bays plus a separate 3‑bay oil change area
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
$78,759
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
4.92%
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%
$1,575,180
$1.6M
Cap Rate 7%
$1,125,129
$1.1M
Cap Rate 9%
$875,100
$875.1K
Market Conditions
NOI Build-Up for 13,515 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
$121.6K $9.00/SF
− Vacancy
−$9.1K −$0.68/SF
EGI
$112.5K $8.33/SF
− OpEx
−$33.8K −$2.50/SF
NOI
$78.8K $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%
$1,575,180
Cap Rate 7%
$1,125,129
Cap Rate 9%
$875,100
Alternative Uses
Best Use
Retail
$2.39M
$2.09M – $2.79M
NOI $167,110 @ 7.0% cap · market cap 10.44%
Second Best
Industrial
$1.13M
$984.5K – $1.31M
NOI $78,759 @ 7.0% cap · market cap 4.92%
Theoretical Best
Office A
$2.94M
$2.57M – $3.43M
NOI $205,514 @ 7.0% cap · market cap 12.84%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
10
Service bays
Location Intelligence
Trade Area within ½ mile
394
Businesses Nearby
378k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Groceries 30%
Apparel 23%
Dining 22%
Shops & Services 17%
Meijer
Groceries
113,001 visits/mo
0.3 miles
Kohl's
Apparel
47,131 visits/mo
0.3 miles
T.J. Maxx
Apparel
39,140 visits/mo
0.4 miles
Meijer Gas Station
Shops & Services
33,818 visits/mo
0.3 miles
Michaels
Shops & Services
28,885 visits/mo
0.4 miles
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 Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Lowe's Home Improvement — 3150 N U.S. 31 S, Traverse City, MI 49684
Frequently Asked Questions
What type of property is this?
Showroom - Automotive commercial property with showroom, offices, service operations, and Opportunity Zone designation.
Where is this showroom located?
The property is located at 3566 N US-31 S Traverse City, MI.
What is the asking price?
The asking price for this property is $1,600,000.
What are key features of this property?
This property features: 13,515‑square‑foot automotive showroom building constructed in 2001; 1.98‑acre site at 3566 N US‑31 S, Traverse City, MI 49684; 7 service bays plus a separate 3‑bay oil change area
