Flexible Retail and Office
For Sale
$193,510
5100 E Michigan Avenue, Kalamazoo, MI 49048
COMMERCIAL - Kalamazoo, MI
Property Size1,320 SF
Lot Size0.40 Acres
Price / SF$146.60
Days on Market74
Property Features for 5100 E Michigan Avenue
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
B-3
Bathrooms
1
Full bathrooms
1
Rooms
Bathroom 1
Interior features
Broadband
Elementary school district
Comstock
Middle school district
Comstock
High school district
Comstock
Directions
Sprinkle turn right onto E Michigan. Building will be on your right-hand side.
Standard status
Active
APN
07-18-355-060
Size
1,320 SF
Lot size
0.40 Acres
Taxes and HOA fees
Tax Year
2026
Tax Description
See attachment
Tax Annual Amount
3182
Legal Description
See attachment
Utilities
Utilities
Cable Available
Sewer type
Septic Tank
Heating system
Forced Air
Cooling system
Central Air
Water source
Well
Building Details
Year built
2002
Number of units
1
Building materials
Vinyl Siding
Roof type
Composition
Listing Agency:
Five Star Real Estate
(269) 459-7898
Listed By:
Natasha R Anderson
(269) 544-9699
Added: Jun 11
Changed: Aug 4
Last Checked: Aug 23 at 6:06PM
MLS# 26028718
Copyright © 2026 Michigan Regional Information Center, LLC. 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 for-sale commercial property is a flexible building offering two private offices and two large open areas. The layout supports a range of operational setups, including sales- and customer-facing uses, retail merchandising, or light commercial/service workflows, with the open floor plans providing space for displays, inventory storage, and customer service.
The building was formerly operated as a car dealership. A new owner can continue using it for vehicle-related sales or adapt the space for specialty retail, contractor headquarters, professional offices, or other commercial ventures consistent with the existing configuration.
At approximately 1,320 square feet, the property sits on a 0.4-acre lot, providing room for a variety of site and space programming based on the needs of the next tenant or owner.
The building was formerly operated as a car dealership. A new owner can continue using it for vehicle-related sales or adapt the space for specialty retail, contractor headquarters, professional offices, or other commercial ventures consistent with the existing configuration.
At approximately 1,320 square feet, the property sits on a 0.4-acre lot, providing room for a variety of site and space programming based on the needs of the next tenant or owner.
Key Highlights
- Flex commercial building built in 2002 with forced‑air heating and central air
- Former car dealership with layout of two private offices plus two large open areas
- Spacious open floor plans suited to vehicle display, inventory storage, customer service, or retail merchandising
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
$13,230
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
6.84%
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%
$264,600
$264.6K
Cap Rate 7%
$189,000
$189.0K
Cap Rate 9%
$147,000
$147.0K
Market Conditions
NOI Build-Up for 1,320 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
$19.0K $14.40/SF
− Vacancy
−$1.4K −$1.04/SF
EGI
$17.6K $13.36/SF
− OpEx
−$4.4K −$3.34/SF
NOI
$13.2K $10.02/SF
Area
Kalamazoo County, MI
Vacancy
7.20%
Lease Rate
$14.40 /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%
$264,600
Cap Rate 7%
$189,000
Cap Rate 9%
$147,000
Alternative Uses
Best Use
Office B
$189.0K
$165.4K – $220.5K
NOI $13,230 @ 7.0% cap · market cap 6.84%
Second Best
Retail
$130.0K
$113.8K – $151.7K
NOI $9,103 @ 7.0% cap · market cap 4.70%
Theoretical Best
Warehouse
$345.4K
$302.2K – $403.0K
NOI $24,179 @ 7.0% cap · market cap 12.49%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
125
Businesses Nearby
Explore this area
Business Placement
Demographics for 49048, MI
25,067
Population
10,440
Households
2.4
Avg Household Size
36
Median Age
25%
College-Educated
90%
High-School Grad
35.1 sq mi
ZIP Area
714
Density / Sq Mi
$62,160
Median Household Income
$36,150
Median Earnings
$1,032
Median Rent
$158,300
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Building offers two private offices and two large open areas suited to retail, sales, service, or light commercial uses.
Where is this office units located?
The property is located at 5100 E Michigan Avenue Kalamazoo, MI.
What is the asking price?
The asking price for this property is $193,510.
What are key features of this property?
This property features: Flex commercial building built in 2002 with forced‑air heating and central air; Former car dealership with layout of two private offices plus two large open areas; Spacious open floor plans suited to vehicle display, inventory storage, customer service, or retail merchandising
