Live-Work Retail and Service
For Sale
$949,900
6375 E Traverse Highway, Traverse City, MI 49684
COMMERCIAL - Traverse City, MI
Property Size4,608 SF
Lot Size1.07 Acres
Price / SF$206.14
Days on Market1452
Property Features for 6375 E Traverse Highway
General Information
Property type
Commercial Sale
Property subtype
Retail
Zoning description
Commercial
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 2, Bathroom 1
Parking features
Parking Lot
Exterior features
Vinyl, Aluminum
Lot features
Freestanding
Directions
From the intersection of M-72 W and M-22; go west on M-72 approximately 4.4 miles. Business and "M & E" sign on right (north) side.
Subdivision
Leelanau
Standard status
Active
Size
4,608 SF
Lot size
1.07 Acres
Taxes and HOA fees
Tax Description
"PRT SW 1/4 SEC 35 COM S 1/4 COR TH N 89 DEG 53'05" W 681.82 FT FOR POB TH CONT N 89 DEG 53'05" W 251.18 FT TH N 1 DEG 15'35" E 295.59 FT TH S 89 DEG 53'00" E 168.48 FT TH S 59 DEG 44'00" E 94.38 FT TH S 1 DEG"+--per the tax authority having jurisdiction.
Legal Description
"PRT SW 1/4 SEC 35 COM S 1/4 COR TH N 89 DEG 53'05" W 681.82 FT FOR POB TH CONT N 89 DEG 53'05" W 251.18 FT TH N 1 DEG 15'35" E 295.59 FT TH S 89 DEG 53'00" E 168.48 FT TH S 59 DEG 44'00" E 94.38 FT TH S 1 DEG"+--per the tax authority having jurisdiction.
Utilities
Water source
Private
Amenities
apartment
Building Details
Building materials
Frame, 2x6 Framing
Roof type
Metal
Listing Agency:
Verity Real Estate, LLC
(231) 342-8777
Listed By:
Joshua Croff · License #6502418758
(231) 342-8777
Added: Aug 30, 2022
Changed: Aug 4
Last Checked: Aug 20 at 11:06PM
MLS# 1904494
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.
This live-work commercial property includes retail and service space operated as an outdoor power equipment business, along with an apartment above the main retail area. The offering totals 4,608 square feet on 1.07 acres and features a one-bedroom, one-bath residence of approximately 750 square feet located above the primary retail space.
The property is positioned on 250 feet of M-72 W road frontage in Traverse City, MI. The business has operated continuously since 1979 and is described as an Independent ECHO Servicing Dealer, with servicing and warranty support noted for brands including Briggs, Tecumseh, Kohler, LTC, Husqvarna, Poulan, TROY-BILT, and MTD. The combination of on-site commercial space and an on-premises apartment supports multiple operating options for an owner-operator.
The property is positioned on 250 feet of M-72 W road frontage in Traverse City, MI. The business has operated continuously since 1979 and is described as an Independent ECHO Servicing Dealer, with servicing and warranty support noted for brands including Briggs, Tecumseh, Kohler, LTC, Husqvarna, Poulan, TROY-BILT, and MTD. The combination of on-site commercial space and an on-premises apartment supports multiple operating options for an owner-operator.
Key Highlights
- 250' of M‑72 W road frontage, about 5 minutes from West Grand Traverse Bay
- Outdoor power equipment business operating continuously since 1979; one‑owner
- Over 4,600 SF retail/service building on 1.07 acres with 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
$56,977
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
6.00%
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%
$1,139,540
$1.1M
Cap Rate 7%
$813,957
$814.0K
Cap Rate 9%
$633,078
$633.1K
Market Conditions
NOI Build-Up for 4,608 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
$88.5K $19.20/SF
− Vacancy
−$7.1K −$1.54/SF
EGI
$81.4K $17.66/SF
− OpEx
−$24.4K −$5.30/SF
NOI
$57.0K $12.36/SF
Area
Grand Traverse County, MI
Vacancy
8.00%
Lease Rate
$19.20 /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%
$1,139,540
Cap Rate 7%
$813,957
Cap Rate 9%
$633,078
Alternative Uses
Best Use
Retail
$814.0K
$712.2K – $949.6K
NOI $56,977 @ 7.0% cap · market cap 6.00%
Second Best
Office B
$705.0K
$616.9K – $822.5K
NOI $49,352 @ 7.0% cap · market cap 5.20%
Theoretical Best
Office A
$1.00M
$875.9K – $1.17M
NOI $70,071 @ 7.0% cap · market cap 7.38%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
58
Businesses Nearby
Explore this area
Business Placement
Demographics for 49684, MI
22,025
Population
10,959
Households
2
Avg Household Size
49
Median Age
46%
College-Educated
96%
High-School Grad
52.8 sq mi
ZIP Area
417
Density / Sq Mi
$75,678
Median Household Income
$39,553
Median Earnings
$1,216
Median Rent
$375,700
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?
Live-work space - Commercial property includes an apartment above the main retail/service area and 250 feet of road frontage.
Where is this live-work space located?
The property is located at 6375 E Traverse Highway Traverse City, MI.
What is the asking price?
The asking price for this property is $949,900.
What are key features of this property?
This property features: 250' of M‑72 W road frontage, about 5 minutes from West Grand Traverse Bay; Outdoor power equipment business operating continuously since 1979; one‑owner; Over 4,600 SF retail/service building on 1.07 acres with parking lot
