Renovated Restaurant with Banquet
For Sale
$2,250,000
4050 Chicago Dr SW, Grandville, MI 49418
Two dining and bar sections each have separate entrances.
Property Size13,195 SF
Price / SF$170.52
Days on Market138
Property Features for 4050 Chicago Dr SW
General Information
Standard status
Active
Size
13,195 SF
Property subtype
Retail
Zoning
CBD
Building Details
Year Built
1974
Listing Agency:
Signature Associates
(616) 235-6007
Listed By:
Joe Rizqallah
(616) 235-6007
Source:
Carwm.resimplifi
Added: Apr 15
Changed: Aug 29
Last Checked: Aug 29 at 3:47PM
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 Signature Associates
Investment Insights
Based on property information with market context.
This conventional restaurant property includes two independently accessed bar, dining, and banquet sections within a 13,195-square-foot building. The interior was renovated in 2026 and includes a substantial kitchen, cold lockers, storage areas, and office space. Furniture, fixtures, and equipment are included, along with a Class C Liquor License.
Built in 1974, the property is located at 4050 Chicago Dr SW in Grandville, Michigan, and carries CBD zoning. Free parking is available behind the restaurant, providing on-site parking for the operation. The separate entrances and combination of dining, bar, banquet, kitchen, storage, and office areas define a flexible restaurant layout.
Built in 1974, the property is located at 4050 Chicago Dr SW in Grandville, Michigan, and carries CBD zoning. Free parking is available behind the restaurant, providing on-site parking for the operation. The separate entrances and combination of dining, bar, banquet, kitchen, storage, and office areas define a flexible restaurant layout.
Key Highlights
- 13,195‑square‑foot conventional restaurant property
- Two bar, restaurant, and banquet sections with separate entrances
- Renovated in 2026
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
$146,760
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
6.52%
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%
$2,935,200
$2.9M
Cap Rate 7%
$2,096,571
$2.1M
Cap Rate 9%
$1,630,667
$1.6M
Market Conditions
NOI Build-Up for 13,195 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
$204.3K $15.48/SF
− Vacancy
−$8.6K −$0.65/SF
EGI
$195.7K $14.83/SF
− OpEx
−$48.9K −$3.71/SF
NOI
$146.8K $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%
$2,935,200
Cap Rate 7%
$2,096,571
Cap Rate 9%
$1,630,667
Alternative Uses
Best Use
Specialty Retail
$2.10M
$1.83M – $2.45M
NOI $146,760 @ 7.0% cap · market cap 6.52%
Second Best
Industrial
$881.5K
$771.3K – $1.03M
NOI $61,704 @ 7.0% cap · market cap 2.74%
Theoretical Best
Office A
$2.36M
$2.07M – $2.75M
NOI $165,201 @ 7.0% cap · market cap 7.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,018
Businesses Nearby
33k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 87%
Dining 13%
Speedway
Shops & Services
11,780 visits/mo
0.2 miles
Citgo
Shops & Services
10,476 visits/mo
0.5 miles
Little Caesars Pizza
Dining
4,492 visits/mo
0.4 miles
Chase Bank
Shops & Services
4,333 visits/mo
0.1 miles
Pak Mail
Shops & Services
1,440 visits/mo
0.3 miles
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 Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Two dining and bar sections each have separate entrances.
Where is this conventional restaurant located?
The property is located at 4050 Chicago Dr SW Grandville, MI.
What is the asking price?
The asking price for this property is $2,250,000.
What are key features of this property?
This property features: 13,195‑square‑foot conventional restaurant property; Two bar, restaurant, and banquet sections with separate entrances; Renovated in 2026
