Fully Leased Retail
For Sale
$749,000
4525 W Kl Ave, Kalamazoo, MI 49006
Retail property with CC zoning, an established cannabis tenant, and a four-parcel site near Western Michigan University.
Property Size7,400 SF
Lot Size2.70 Acres
Price / SF$101.22
Days on Market67
Property Features for 4525 W Kl Ave
General Information
Standard status
Active
Size
7,400 SF
Total Parking Spaces
139
Lot size
2.70 Acres
Property subtype
Retail
Zoning
CC
Occupancy
100%
Amenities
Water
Sewer
139 Parking Spaces
Building Details
Year Built
1973
Tenancy
Single
Listing Agency:
Callander Commercial
(269) 806-0554
Listed By:
David Keyte · License #6501258966
(269) 806-0554
Source:
Carwm.resimplifi
Added: Jun 24
Changed: Aug 28
Last Checked: Aug 28 at 9:03PM
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 Callander Commercial
Investment Insights
Based on property information with market context.
This retail property comprises a building constructed in 1973 on a 2.7-acre, four-parcel site. The asset is zoned CC and is fully leased to an established cannabis retailer, with approximately nine years remaining on the current lease.
The property is located at 4525 W Kl Ave on the west side of Kalamazoo, within a retail corridor serving the area and the nearby Western Michigan University market. The existing tenancy and lease term provide clearly defined occupancy and contractual duration for review. Additional investment materials, including the lease, are available after execution of a Non-Disclosure Agreement.
The property is located at 4525 W Kl Ave on the west side of Kalamazoo, within a retail corridor serving the area and the nearby Western Michigan University market. The existing tenancy and lease term provide clearly defined occupancy and contractual duration for review. Additional investment materials, including the lease, are available after execution of a Non-Disclosure Agreement.
Key Highlights
- Fully leased to an established cannabis retailer
- Approximately nine years remaining on the current lease
- 2.7‑acre site spanning 4 parcels
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
$51,033
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
6.81%
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%
$1,020,660
$1.0M
Cap Rate 7%
$729,043
$729.0K
Cap Rate 9%
$567,033
$567.0K
Market Conditions
NOI Build-Up for 7,400 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
$88.8K $12.00/SF
− Vacancy
−$15.9K −$2.15/SF
EGI
$72.9K $9.85/SF
− OpEx
−$21.9K −$2.96/SF
NOI
$51.0K $6.90/SF
Area
Kalamazoo County, MI
Vacancy
17.90%
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%
$1,020,660
Cap Rate 7%
$729,043
Cap Rate 9%
$567,033
Alternative Uses
Best Use
Retail
$729.0K
$637.9K – $850.6K
NOI $51,033 @ 7.0% cap · market cap 6.81%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$1.94M
$1.69M – $2.26M
NOI $135,550 @ 7.0% cap · market cap 18.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
379
Businesses Nearby
214k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Superstores 56%
Shops & Services 19%
Home Improvements & Furnishings 14%
Dining 11%
Costco Wholesale
Superstores
119,173 visits/mo
0.4 miles
Speedway
Shops & Services
24,068 visits/mo
0.1 miles
At Home
Home Improvements & Furnishings
19,235 visits/mo
0.5 miles
Harbor Freight Tools
Home Improvements & Furnishings
10,946 visits/mo
0.5 miles
Condado Tacos
Dining
7,456 visits/mo
0.4 miles
Demographics for 49006, MI
25,119
Population
12,093
Households
2.1
Avg Household Size
27
Median Age
44%
College-Educated
91%
High-School Grad
6.0 sq mi
ZIP Area
4,187
Density / Sq Mi
$45,617
Median Household Income
$18,710
Median Earnings
$991
Median Rent
$198,000
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?
Retail space - Retail property with CC zoning, an established cannabis tenant, and a four-parcel site near Western Michigan University.
Where is this retail space located?
The property is located at 4525 W Kl Ave Kalamazoo, MI.
What is the asking price?
The asking price for this property is $749,000.
What are key features of this property?
This property features: Fully leased to an established cannabis retailer; Approximately nine years remaining on the current lease; 2.7‑acre site spanning 4 parcels
