13-Unit Apartment
New
For Sale
$497,000
5692 N US 31 Highway, Levering, MI 49755
Commercial/Industrial, Levering, MI
Property Size4,769 SF
Lot Size1.10 Acres
Price / SF$104.21
Days on Market6
Property Features for 5692 N US 31 Highway
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
B-2
Elementary school district
Pellston
Middle school district
Pellston
High school district
Pellston
Directions
US-31 north to Levering, motel on right.
Subdivision
McKinley
Standard status
Active
APN
10-10-03-251-012
Size
4,769 SF
Lot size
1.10 Acres
Taxes and HOA fees
Tax Description
Plat of L.G. Corneils 2nd Add to Levering,Lot 11.
Legal Description
Plat of L.G. Corneils 2nd Add to Levering,Lot 11.
Utilities
Heating system
Natural Gas, Electric (Heating)
Water source
Well
Amenities
on-site laundry
Building Details
Year built
1971
Building materials
Wood Frame
Roof type
Shingle
Listing Agency:
@properties Christie's International Real Estate - Petoskey · RE/MAX International
(231) 881-9400
Listed By:
Mandi Maghakian · License #6501417157
(231) 675-7494
Added: Sep 21
Changed: Sep 22
Last Checked: Sep 26 at 12:06PM
MLS# 480854
Copyright © 2026 Northern Michigan MLS. 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 4,769-square-foot apartment property contains 13 units and is fully rented with long-term efficiency-apartment occupancy. The configuration includes 11 studio-style units, a larger corner unit, and an attached house/office. On-site laundry and paved parking support day-to-day operations. Built in 1971 with wood-frame construction, the property uses electric and natural gas heating and has a shingle roof.
The property occupies approximately 1.1 acres along US-31 in Levering, Michigan. B-2 commercial zoning, a private well, and septic service are in place. The improvements were formerly operated as a motel and now function as an apartment property with an established rental history.
The property occupies approximately 1.1 acres along US-31 in Levering, Michigan. B-2 commercial zoning, a private well, and septic service are in place. The improvements were formerly operated as a motel and now function as an apartment property with an established rental history.
Key Highlights
- 13‑unit apartment property on approximately 1.1 acres
- Fully rented long‑term efficiency apartments
- 11 studio‑style units plus a larger corner unit and attached house/office
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
$37,735
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
7.59%
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%
$754,700
$754.7K
Cap Rate 7%
$539,071
$539.1K
Cap Rate 9%
$419,278
$419.3K
Market Conditions
NOI Build-Up for 4,769 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
$72.7K $15.24/SF
− Vacancy
−$4.1K −$0.85/SF
EGI
$68.6K $14.39/SF
− OpEx
−$30.9K −$6.47/SF
NOI
$37.7K $7.91/SF
Area
Emmet County, MI
Vacancy
5.60%
Lease Rate
$15.24 /SF/Yr
Expense Ratio
45.00%
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%
$754,700
Cap Rate 7%
$539,071
Cap Rate 9%
$419,278
Alternative Uses
Best Use
Apartment 5plus
$539.1K
$471.7K – $628.9K
NOI $37,735 @ 7.0% cap · market cap 7.59%
Second Best
—
—
no second resolved use
Theoretical Best
Warehouse
$1.08M
$944.4K – $1.26M
NOI $75,549 @ 7.0% cap · market cap 15.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
13
Residential units
100%
Occupancy
Yes
Highway access
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
2
Businesses Nearby
Explore this area
Business Placement
Demographics for 49755, MI
1,847
Population
1,303
Households
1.4
Avg Household Size
51
Median Age
22%
College-Educated
93%
High-School Grad
102.4 sq mi
ZIP Area
18
Density / Sq Mi
$61,121
Median Household Income
$34,676
Median Earnings
$894
Median Rent
$171,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Fully rented efficiency-apartment property with on-site laundry, paved parking, and an attached house/office.
Where is this apartment building located?
The property is located at 5692 N US 31 Highway Levering, MI.
What is the asking price?
The asking price for this property is $497,000.
What are key features of this property?
This property features: 13‑unit apartment property on approximately 1.1 acres; Fully rented long‑term efficiency apartments; 11 studio‑style units plus a larger corner unit and attached house/office
