Office Building with Drive-Through
For Sale
$239,900
6232 River Street, Alanson, MI 49706
COMMERCIAL - Alanson, MI
Property Size1,344 SF
Price / SF$178.50
Days on Market53
Property Features for 6232 River Street
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning
VOA B-1
Elementary school district
Littlefield
Middle school district
Littlefield
High school district
Littlefield
Directions
US 31 North to Alanson. Right on River Street property on right.
Subdivision
Littlefield
Standard status
Active
APN
41-17-10-301-034 and 040
Size
1,344 SF
Taxes and HOA fees
Tax Description
Tax ID 41-17-10-301-034 and 41-17-10-301-040
Legal Description
Tax ID 41-17-10-301-034 and 41-17-10-301-040
Utilities
Heating system
Natural Gas, Forced Air
Amenities
private office
kitchenette
storage area
two large safes
paved parking lot
Building Details
Building materials
Wood Frame
Listing Agency:
Graham Real Estate
(231) 526-6251
Listed By:
Heidi Kresnak
(231) 838-1977
Added: Jun 28
Changed: Aug 4
Last Checked: Aug 19 at 11:06AM
MLS# 479808
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 office building includes a functional interior layout with a private office, kitchenette, storage area, and two large safes. The building also features an existing drive-through window, designed to support convenient customer service and flexible business concepts.
Located just off high-traffic US-31, the property is within walking distance of the Crooked River area. A paved parking lot at the rear provides parking for customers and staff.
The building is wood frame and heated with forced air systems using natural gas.
Located just off high-traffic US-31, the property is within walking distance of the Crooked River area. A paved parking lot at the rear provides parking for customers and staff.
The building is wood frame and heated with forced air systems using natural gas.
Key Highlights
- 1,344 SF office building with a private office, kitchenette, and storage area
- Existing drive‑through window for convenient customer access
- Two large safes included
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
$16,092
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
6.71%
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%
$321,840
$321.8K
Cap Rate 7%
$229,886
$229.9K
Cap Rate 9%
$178,800
$178.8K
Market Conditions
NOI Build-Up for 1,344 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
$25.5K $18.96/SF
− Vacancy
−$4.0K −$3.00/SF
EGI
$21.5K $15.96/SF
− OpEx
−$5.4K −$3.99/SF
NOI
$16.1K $11.97/SF
Area
Emmet County, MI
Vacancy
15.80%
Lease Rate
$18.96 /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%
$321,840
Cap Rate 7%
$229,886
Cap Rate 9%
$178,800
Alternative Uses
Best Use
Office B
$229.9K
$201.2K – $268.2K
NOI $16,092 @ 7.0% cap · market cap 6.71%
Second Best
Retail
$199.3K
$174.4K – $232.5K
NOI $13,952 @ 7.0% cap · market cap 5.82%
Theoretical Best
Warehouse
$304.2K
$266.1K – $354.9K
NOI $21,291 @ 7.0% cap · market cap 8.87%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
127
Businesses Nearby
Explore this area
Business Placement
Demographics for 49706, MI
5,062
Population
2,893
Households
1.7
Avg Household Size
42
Median Age
22%
College-Educated
92%
High-School Grad
58.5 sq mi
ZIP Area
87
Density / Sq Mi
$63,573
Median Household Income
$37,105
Median Earnings
$943
Median Rent
$208,500
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 - Zoned VOA B-1 with 1,344 SF, private office, kitchenette, and a drive-through window.
Where is this office building located?
The property is located at 6232 River Street Alanson, MI.
What is the asking price?
The asking price for this property is $239,900.
What are key features of this property?
This property features: 1,344 SF office building with a private office, kitchenette, and storage area; Existing drive‑through window for convenient customer access; Two large safes included
