Restaurant and Bar with
New
For Sale
$495,900
6263 W Houghton Lake Drive, Houghton Lake, MI 48629
Commercial, Houghton Lake, MI
Property Size4,210 SF
Lot Size0.83 Acres
Price / SF$117.79
Days on Market2
Property Features for 6263 W Houghton Lake Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Parking features
Parking Lot
Exterior features
Wood
Lot features
Freestanding
Directions
M-55 Just NW of Maple Street
Subdivision
Roscommon
Standard status
Active
Size
4,210 SF
Lot size
0.83 Acres
Taxes and HOA fees
Tax Description
L-839 P-641 (L-608 P-433) 224 COM AT NW COR OF LOT 3 TH S ON W LN 1071FT TH S89DEG13'E 633.5 FT FOR POB TH S PAR WITH W LN 125 FT TH S89DEG13'E 283.7FT TO HWY R/W TH N30DEG03'W 146.7 FT ON R/W TH N89DEG13'W 211.4 FT TO POB PART OF GOVT LOT 3
Legal Description
L-839 P-641 (L-608 P-433) 224 COM AT NW COR OF LOT 3 TH S ON W LN 1071FT TH S89DEG13'E 633.5 FT FOR POB TH S PAR WITH W LN 125 FT TH S89DEG13'E 283.7FT TO HWY R/W TH N30DEG03'W 146.7 FT ON R/W TH N89DEG13'W 211.4 FT TO POB PART OF GOVT LOT 3
Utilities
Water source
Private
Building Details
Building materials
Frame
Roof type
Asphalt
Listing Agency:
COLDWELL BANKER SCHMIDT REALTORS-HL
(989) 366-5522
Listed By:
RUTH CLEMENS · License #6506043271
(989) 429-3100
Added: Sep 25
Last Checked: Sep 26 at 6:06AM
MLS# 1950970
Copyright © 2026 Northern Great Lakes Realtors 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.
The restaurant and bar property includes a 4,210-square-foot frame building on a 0.83-acre parcel. Exterior materials are wood, the roof is asphalt, and the site has a parking lot and a private water source. A Class C Resort License and patio license are included.
Located at 6263 W Houghton Lake Drive in Houghton Lake, Michigan, the property is positioned for restaurant and bar use.
Located at 6263 W Houghton Lake Drive in Houghton Lake, Michigan, the property is positioned for restaurant and bar use.
Key Highlights
- 4,210‑square‑foot building on 0.83 acres
- Class C Resort License and patio license included
- On‑site parking lot
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
$32,052
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
6.46%
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%
$641,040
$641.0K
Cap Rate 7%
$457,886
$457.9K
Cap Rate 9%
$356,133
$356.1K
Market Conditions
NOI Build-Up for 4,210 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
$59.1K $14.04/SF
− Vacancy
−$16.4K −$3.89/SF
EGI
$42.7K $10.15/SF
− OpEx
−$10.7K −$2.54/SF
NOI
$32.1K $7.61/SF
Area
Roscommon County, MI
Vacancy
27.70%
Lease Rate
$14.04 /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%
$641,040
Cap Rate 7%
$457,886
Cap Rate 9%
$356,133
Alternative Uses
Best Use
Specialty Retail
$457.9K
$400.7K – $534.2K
NOI $32,052 @ 7.0% cap · market cap 6.46%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$692.8K
$606.2K – $808.3K
NOI $48,499 @ 7.0% cap · market cap 9.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Liquor license
Location Intelligence
Trade Area within ½ mile
125
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 48629, MI
7,420
Population
7,248
Households
1
Avg Household Size
56
Median Age
18%
College-Educated
90%
High-School Grad
77.5 sq mi
ZIP Area
96
Density / Sq Mi
$54,622
Median Household Income
$33,544
Median Earnings
$784
Median Rent
$142,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - A Class C Resort License and patio license accompany the existing restaurant property.
Where is this conventional restaurant located?
The property is located at 6263 W Houghton Lake Drive Houghton Lake, MI.
What is the asking price?
The asking price for this property is $495,900.
What are key features of this property?
This property features: 4,210‑square‑foot building on 0.83 acres; Class C Resort License and patio license included; On‑site parking lot
