Restaurant Opportunity at High-Traffic
For Sale
$850,000
442 E 32nd Street, Holland, MI 49423
6,206 SF restaurant with complete kitchen package available for purchase.
Property Size1,104 SF
Price / SF$136.96
Days on Market122
Property Features for 442 E 32nd Street
General Information
Standard status
Active
Size
1,104 SF
Total Parking Spaces
80
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$16,102
Building Details
Building Size
1,104 SF
Year Built
1986
Buildings
1
Units
1
Listing Agency:
Lakeshore Commercial Real Estate
(616) 836-1122
Listed By:
Michael Nagelkirk · License #6501194952
(616) 836-1122
Source:
Eliterealtymi
Added: Apr 24
Changed: Aug 23
Last Checked: Aug 23 at 8:11AM
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 Lakeshore Commercial Real Estate
Investment Insights
Based on property information with market context.
Located at a high-profile, lighted corner on US 31 and 32nd St in Holland, MI, this 6,206 sq. ft. restaurant offers easy access and high visibility. Traffic counts are 16,875 E & W, and 27,710 N & S. The established location formerly operated as Shanghai Grill & Pub. The restaurant includes a small cocktail lounge, banquet room, and 3 restrooms. A 30-ft. long hood system, 2 walk-in coolers, 1 walk-in freezer, and a complete kitchen package are in place and available. A Class C Resort License is also available for purchase. The bike score is 41, indicating it is somewhat bikeable, and the walk score is 30, indicating car-dependent accessibility.
Key Highlights
- High‑profile, lighted corner location at a major intersection (US 31 and 32nd St).
- Existing restaurant infrastructure: 30‑ft hood system, 2 walk‑in coolers, 1 walk‑in freezer, and complete kitchen package.
- Available Class C Resort License for purchase.
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
$69,025
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
8.12%
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%
$1,380,500
$1.4M
Cap Rate 7%
$986,071
$986.1K
Cap Rate 9%
$766,944
$766.9K
Market Conditions
NOI Build-Up for 6,206 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
$96.1K $15.48/SF
− Vacancy
−$4.0K −$0.65/SF
EGI
$92.0K $14.83/SF
− OpEx
−$23.0K −$3.71/SF
NOI
$69.0K $11.12/SF
Area
Ottawa 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%
$1,380,500
Cap Rate 7%
$986,071
Cap Rate 9%
$766,944
Alternative Uses
Best Use
Specialty Retail
$986.1K
$862.8K – $1.15M
NOI $69,025 @ 7.0% cap · market cap 8.12%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$77.17M
$67.53M – $90.04M
NOI $5,402,131 @ 7.0% cap · market cap 635.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
278
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 49423, MI
46,870
Population
19,019
Households
2.5
Avg Household Size
37
Median Age
37%
College-Educated
92%
High-School Grad
77.9 sq mi
ZIP Area
602
Density / Sq Mi
$78,524
Median Household Income
$36,643
Median Earnings
$1,143
Median Rent
$254,800
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 - 6,206 SF restaurant with complete kitchen package available for purchase.
Where is this conventional restaurant located?
The property is located at 442 E 32nd Street Holland, MI.
What is the asking price?
The asking price for this property is $850,000.
What are key features of this property?
This property features: High‑profile, lighted corner location at a major intersection (US 31 and 32nd St).; Existing restaurant infrastructure: 30‑ft hood system, 2 walk‑in coolers, 1 walk‑in freezer, and complete kitchen package.; Available Class C Resort License for purchase.
