Office Building with
For Sale
$625,000
5135 Kalamazoo Avenue SE, Grand Rapids, MI 49508
Commercial Sale, Grand Rapids, MI
Property Size3,764 SF
Lot Size1.69 Acres
Price / SF$166.05
Days on Market94
Property Features for 5135 Kalamazoo Avenue SE
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
C4
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 2, Bathroom 1
Interior features
Broadband
Elementary school district
Kentwood
Middle school district
Kentwood
High school district
Kentwood
Standard status
Active
APN
41-18-29-480-044
Size
3,764 SF
Lot size
1.69 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
E 299 FT OF THAT PART OF SE 1/4 SE 1/4 LYING S OF GLENWOOD FOREST NO.2 EX COM AT SE COR OF SEC TH N 1D 08M 44S W ALONG E
Tax Annual Amount
18869
Legal Description
E 299 FT OF THAT PART OF SE 1/4 SE 1/4 LYING S OF GLENWOOD FOREST NO.2 EX COM AT SE COR OF SEC TH N 1D 08M 44S W ALONG E
Utilities
Utilities
Phone Available
Heating system
Forced Air
Cooling system
Central Air
Building Details
Year built
1979
Floors in Building
1
Number of units
1
Building materials
Brick
Listing Agency:
NAI Wisinski of West Michigan
(269) 353-0311
Listed By:
Jodi K Milks · License #6506044331
(269) 459-0439
Added: Jun 2
Changed: Sep 3
Last Checked: Sep 3 at 3:06PM
MLS# 26026418
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.
Freestanding office property constructed in 1979 with brick exterior construction, forced-air heating, central air, broadband, and phone availability. The building includes 3,210 SF of former bank branch space along with a separate 350 SF drive-through component. Two bathrooms are identified within the property, supporting continued office or service-oriented occupancy.
The property is located on Kalamazoo Avenue SE in Grand Rapids, with access to 44th Street and 28th Street. Nearby retail includes Woodland Mall and Breton Village Shopping Center. C-4 Office zoning and the existing drive-through configuration provide a defined commercial setting for the next user. Availability is scheduled for September 2026.
The property is located on Kalamazoo Avenue SE in Grand Rapids, with access to 44th Street and 28th Street. Nearby retail includes Woodland Mall and Breton Village Shopping Center. C-4 Office zoning and the existing drive-through configuration provide a defined commercial setting for the next user. Availability is scheduled for September 2026.
Key Highlights
- 3,210 SF former bank branch space
- 350 SF drive‑through component
- C‑4 Office zoning
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
$54,562
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
8.73%
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%
$1,091,240
$1.1M
Cap Rate 7%
$779,457
$779.5K
Cap Rate 9%
$606,244
$606.2K
Market Conditions
NOI Build-Up for 3,764 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
$82.7K $21.96/SF
− Vacancy
−$4.7K −$1.25/SF
EGI
$77.9K $20.71/SF
− OpEx
−$23.4K −$6.21/SF
NOI
$54.6K $14.50/SF
Area
Grand Rapids, MI
Vacancy
5.70%
Lease Rate
$21.96 /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%
$1,091,240
Cap Rate 7%
$779,457
Cap Rate 9%
$606,244
Alternative Uses
Best Use
Specialty Retail
$873.5K
$764.3K – $1.02M
NOI $61,146 @ 7.0% cap · market cap 9.78%
Second Best
Retail
$779.5K
$682.0K – $909.4K
NOI $54,562 @ 7.0% cap · market cap 8.73%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
184
Businesses Nearby
Explore this area
Business Placement
Demographics for 49508, MI
41,851
Population
16,583
Households
2.5
Avg Household Size
36
Median Age
33%
College-Educated
88%
High-School Grad
11.8 sq mi
ZIP Area
3,547
Density / Sq Mi
$65,328
Median Household Income
$41,115
Median Earnings
$1,179
Median Rent
$257,900
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 building - Freestanding brick property with established office infrastructure and access to Kalamazoo Avenue SE.
Where is this office building located?
The property is located at 5135 Kalamazoo Avenue SE Grand Rapids, MI.
What is the asking price?
The asking price for this property is $625,000.
What are key features of this property?
This property features: 3,210 SF former bank branch space; 350 SF drive‑through component; C‑4 Office zoning
