Retail Building with
For Sale
$224,900
412 Washington Avenue, Bay City, MI 48708
COM/IND/BUS OPP, Bay City, MI
Property Size2,463 SF
Lot Size0.23 Acres
Price / SF$91.31
Days on Market540
Property Features for 412 Washington Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Rooms
Basement
Parking features
Off Street, Parking Lot
Security features
Security Lighting
Exterior features
Security Lighting
Lot features
Corner Lot, Main Street, Cleared
Subdivision
Bay City (09016)
Standard status
Active
APN
16002812809100&160002812800400
Size
2,463 SF
Lot size
0.23 Acres
Taxes and HOA fees
Tax Year
2024
Tax Annual Amount
7875
Utilities
Heating system
Forced Air
Cooling system
Central Air
Water source
Public
Amenities
Updated HVAC systems
exposed 12 ft ceilings
parking lot
Building Details
Year built
1956
Roof type
Flat
Listing Agency:
Century 21 Signature Realty · Century 21 Real Estate
(989) 921-7000
Listed By:
Ken Kujawa · License #6502333762
(989) 239-5581
Added: Mar 18, 2025
Changed: Sep 5
Last Checked: Sep 8 at 3:06AM
MLS# 50169002
Copyright © 2026 Multiple Listing Service MiRealSource. 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 2,463-square-foot retail property at 412 Washington Avenue in Bay City was built in 1956 and includes a basement, flat roof, security lighting, forced-air heat, and central air conditioning. Exposed 12-foot ceilings and updated HVAC add functional appeal for retail occupancy.
Off-street parking is available, including a parking lot behind the building at 415 Adams. The associated lot measures 0.23 acres, with dimensions of 200 feet deep by 50 feet wide. The property is served by public water and is located near City Hall, Starbucks, and Pita Way.
Off-street parking is available, including a parking lot behind the building at 415 Adams. The associated lot measures 0.23 acres, with dimensions of 200 feet deep by 50 feet wide. The property is served by public water and is located near City Hall, Starbucks, and Pita Way.
Key Highlights
- 2,463 SF retail property built in 1956
- Exposed 12‑foot ceilings
- Updated HVAC with central air and forced‑air heat
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
$18,206
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
8.10%
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%
$364,120
$364.1K
Cap Rate 7%
$260,086
$260.1K
Cap Rate 9%
$202,289
$202.3K
Market Conditions
NOI Build-Up for 2,463 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
$29.6K $12.00/SF
− Vacancy
−$3.5K −$1.44/SF
EGI
$26.0K $10.56/SF
− OpEx
−$7.8K −$3.17/SF
NOI
$18.2K $7.39/SF
Area
Bay County, MI
Vacancy
12.00%
Lease Rate
$12.00 /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%
$364,120
Cap Rate 7%
$260,086
Cap Rate 9%
$202,289
Alternative Uses
Best Use
Retail
$260.1K
$227.6K – $303.4K
NOI $18,206 @ 7.0% cap · market cap 8.10%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$445.9K
$390.1K – $520.2K
NOI $31,211 @ 7.0% cap · market cap 13.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,313
Businesses Nearby
88k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 78%
Hotels & Casinos 18%
Shops & Services 4%
McDonald's
Dining
26,474 visits/mo
0.1 miles
Starbucks
Dining
16,323 visits/mo
0.0 miles
Taco Bell
Dining
15,676 visits/mo
0.1 miles
Rally's
Dining
9,737 visits/mo
0.4 miles
DoubleTree by Hilton Hotel Bay City - Riverfront
Hotels & Casinos
9,610 visits/mo
0.2 miles
Demographics for 48708, MI
25,860
Population
12,625
Households
2
Avg Household Size
41
Median Age
17%
College-Educated
89%
High-School Grad
29.1 sq mi
ZIP Area
889
Density / Sq Mi
$50,216
Median Household Income
$31,978
Median Earnings
$703
Median Rent
$98,500
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?
Retail space - Updated HVAC and exposed ceilings support flexible storefront use with off-street parking and a rear parking lot.
Where is this retail space located?
The property is located at 412 Washington Avenue Bay City, MI.
What is the asking price?
The asking price for this property is $224,900.
What are key features of this property?
This property features: 2,463 SF retail property built in 1956; Exposed 12‑foot ceilings; Updated HVAC with central air and forced‑air heat
