Historic Restaurant with
For Sale
$1,200,000
3965 W River Dr NE, Comstock Park, MI 49321
Includes the operating business, liquor license, real estate, residential house, and an additional vacant lot.
Property Size7,692 SF
Price / SF$156.01
Days on Market202
Property Features for 3965 W River Dr NE
General Information
Standard status
Active
Size
7,692 SF
Property subtype
Retail
Zoning
VC
Listing Agency:
M Retail LLC
(616) 745-2938
Listed By:
Justin Coulson
(616) 745-2938
Source:
Carwm.resimplifi
Added: Feb 10
Changed: Aug 31
Last Checked: Aug 31 at 12:08AM
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 M Retail LLC
Investment Insights
Based on property information with market context.
This 7,692 SF restaurant property at 3965 W River Dr NE includes the operating restaurant and bar business, a liquor license, the underlying real estate, and a residential house. The property has served the community since 1888 and is presented as a long-established restaurant destination with historic character.
The site is near LMCU Ballpark and just outside Grand Rapids, with proximity to a major entertainment anchor. The offering also includes an additional residential vacant lot at 4012 McCrellis Avenue. Zoning is VC, providing an additional land-use detail for review.
The site is near LMCU Ballpark and just outside Grand Rapids, with proximity to a major entertainment anchor. The offering also includes an additional residential vacant lot at 4012 McCrellis Avenue. Zoning is VC, providing an additional land-use detail for review.
Key Highlights
- 7,692 SF restaurant property at 3965 W River Dr NE
- Operating restaurant and bar business included
- Liquor license included in the offering
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
$85,553
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
7.13%
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%
$1,711,060
$1.7M
Cap Rate 7%
$1,222,186
$1.2M
Cap Rate 9%
$950,589
$950.6K
Market Conditions
NOI Build-Up for 7,692 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
$119.1K $15.48/SF
− Vacancy
−$5.0K −$0.65/SF
EGI
$114.1K $14.83/SF
− OpEx
−$28.5K −$3.71/SF
NOI
$85.6K $11.12/SF
Area
Kent County, MI
Vacancy
4.20%
Lease Rate
$15.48 /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%
$1,711,060
Cap Rate 7%
$1,222,186
Cap Rate 9%
$950,589
Alternative Uses
Best Use
Specialty Retail
$1.22M
$1.07M – $1.43M
NOI $85,553 @ 7.0% cap · market cap 7.13%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.38M
$1.20M – $1.61M
NOI $96,303 @ 7.0% cap · market cap 8.03%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
250
Businesses Nearby
53k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 56%
Shops & Services 40%
Home Improvements & Furnishings 3%
McDonald's
Dining
30,171 visits/mo
0.3 miles
Speedway
Shops & Services
20,840 visits/mo
0.3 miles
Johnstone Supply
Home Improvements & Furnishings
1,446 visits/mo
0.4 miles
Penske Truck Rental
Shops & Services
751 visits/mo
0.2 miles
LL Flooring
Home Improvements & Furnishings
264 visits/mo
0.2 miles
Demographics for 49321, MI
16,764
Population
6,693
Households
2.5
Avg Household Size
36
Median Age
29%
College-Educated
91%
High-School Grad
26.3 sq mi
ZIP Area
637
Density / Sq Mi
$74,691
Median Household Income
$41,855
Median Earnings
$1,073
Median Rent
$244,300
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 - Includes the operating business, liquor license, real estate, residential house, and an additional vacant lot.
Where is this conventional restaurant located?
The property is located at 3965 W River Dr NE Comstock Park, MI.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: 7,692 SF restaurant property at 3965 W River Dr NE; Operating restaurant and bar business included; Liquor license included in the offering
