Brick Mixed-Use
For Sale
$639,000
731 Washington Street, Michigan City, IN 46360
COMMERCIAL - Michigan City, IN
Property Size4,495 SF
Lot Size0.14 Acres
Price / SF$142.16
Days on Market120
Property Features for 731 Washington Street
General Information
Property type
Commercial Sale
Property subtype
Other
Rooms
Basement
Parking
2
Parking features
On Street
Basement
Storage Space
Subdivision
Elstons
Lot features
Corner Lot
Directions
Franklin St. to 8th St. Building on corner of 8th and Washington.
Standard status
Active
APN
460129410016000022
Size
4,495 SF
Lot size
0.14 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
42-01-29-410-016 E O S E 1/2 EX 10 FT N SD LT 8 BLK 34. TIF ASSMT #51
Tax Annual Amount
4202
Legal Description
42-01-29-410-016 E O S E 1/2 EX 10 FT N SD LT 8 BLK 34. TIF ASSMT #51
Utilities
Sewer type
Public Sewer
Heating system
Forced Air
Water source
Public
Building Details
Year built
1870
Listing Agency:
Coldwell Banker Realty · Coldwell Banker Real Estate
(269) 469-3950
Listed By:
Daren Huber · License #RB15000509
(760) 685-6839
Added: Apr 23
Changed: Aug 19
Last Checked: Aug 20 at 4:06PM
MLS# 837603
Copyright © 2026 Greater Northwest Indiana Association of REALTORS. 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 4,495-square-foot mixed-use property at 731 Washington Street combines a residential unit with a restaurant component in a brick building constructed in 1870. The residential area includes furnishings, stainless appliances, and natural light. Restaurant improvements include a commercial kitchen, indoor and outdoor dining areas, a separate office, and a deck. The property occupies a 0.1355-acre corner lot in downtown Michigan City, with exposure to both pedestrian and vehicle traffic. Public water and public sewer serve the property, while heating is provided by forced air. On-street parking is available.
Key Highlights
- 4,495 square feet on a 0.1355‑acre lot
- Brick building constructed in 1870
- Mixed‑use layout with residential and restaurant components
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
$30,442
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
4.76%
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%
$608,840
$608.8K
Cap Rate 7%
$434,886
$434.9K
Cap Rate 9%
$338,244
$338.2K
Market Conditions
NOI Build-Up for 4,495 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
$53.9K $12.00/SF
− Vacancy
−$5.2K −$1.16/SF
EGI
$48.7K $10.84/SF
− OpEx
−$18.3K −$4.06/SF
NOI
$30.4K $6.77/SF
Area
LaPorte County, IN
Vacancy
9.70%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
37.50%
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%
$608,840
Cap Rate 7%
$434,886
Cap Rate 9%
$338,244
Alternative Uses
Best Use
Specialty Retail
$1.25M
$1.09M – $1.46M
NOI $87,474 @ 7.0% cap · market cap 13.69%
Second Best
Mixed Use
$434.9K
$380.5K – $507.4K
NOI $30,442 @ 7.0% cap · market cap 4.76%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,091
Businesses Nearby
Explore this area
Business Placement
Demographics for 46360, IN
44,209
Population
21,652
Households
2
Avg Household Size
42
Median Age
23%
College-Educated
90%
High-School Grad
76.6 sq mi
ZIP Area
577
Density / Sq Mi
$59,641
Median Household Income
$36,738
Median Earnings
$924
Median Rent
$155,900
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - Corner property combines a residential unit with restaurant space, commercial kitchen, dining areas, office space, and a large deck.
Where is this mixed-use property located?
The property is located at 731 Washington Street Michigan City, IN.
What is the asking price?
The asking price for this property is $639,000.
What are key features of this property?
This property features: 4,495 square feet on a 0.1355‑acre lot; Brick building constructed in 1870; Mixed‑use layout with residential and restaurant components
