Downtown Mixed-Use
For Sale
$1,490,000
98 W Center Street, Douglas, MI 49406
COMMERCIAL - Douglas, MI
Property Size4,548 SF
Lot Size0.20 Acres
Price / SF$327.62
Days on Market131
Property Features for 98 W Center Street
General Information
Property type
Commercial Sale
Property subtype
Retail
Bathrooms
4
Full bathrooms
4
Rooms
Basement, Bathroom 2, Bathroom 3, Bathroom 1, Bathroom 4
Parking
6
Interior features
Broadband
Elementary school district
Saugatuck-Douglas
Middle school district
Saugatuck-Douglas
High school district
Saugatuck-Douglas
Directions
Blue Star to Center, east to downtown on north side of street
Standard status
Active
APN
59-551-002-00
Size
4,548 SF
Lot size
0.20 Acres
Taxes and HOA fees
Tax Year
2026
Tax Description
Lot 2 Block 1 Spencer's Addition
Tax Annual Amount
24400
Legal Description
Lot 2 Block 1 Spencer's Addition
Utilities
Heating system
Forced Air
Cooling system
Central Air
Building Details
Year built
1900
Floors in Building
3
Number of units
6
Building materials
Concrete, Wood Siding
Roof type
Composition
Listing Agency:
Jaqua Realtors
(269) 857-8030
Listed By:
Rob P Joon · License #6501290168
(616) 836-2816
Added: Apr 8
Changed: Aug 4
Last Checked: Aug 16 at 11:06AM
MLS# 26014228
Copyright © 2026 Michigan Regional Information Center, LLC. 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 three-story mixed-use building includes two commercial retail units on the main floor, with flexibility to reconfigure into one to three retail spaces. Residential space includes three apartments approved for either short-term or long-term rentals, and the lower-level apartment was added with a patio and additional unfinished rooms. The property was relocated onto a new foundation in 2002 and remodeled in 2025.
The building is located in the heart of downtown Douglas at 98 W Center Street. There are six private parking spaces on site, and tenants are responsible for utilities. All appliances are included.
The current layout supports both owner-occupant use and income generation across residential and retail components, with the residential portion designed to accommodate either short-term or long-term rental approval.
The building is located in the heart of downtown Douglas at 98 W Center Street. There are six private parking spaces on site, and tenants are responsible for utilities. All appliances are included.
The current layout supports both owner-occupant use and income generation across residential and retail components, with the residential portion designed to accommodate either short-term or long-term rental approval.
Key Highlights
- Three‑story mixed‑use commercial/residential building in downtown Douglas with two commercial retail units on the main floor
- Remodeled in 2025 and relocated onto a new foundation in 2002
- Approved for three apartments for either short‑term or long‑term rentals, plus a new one‑bedroom lower‑level apartment with patio
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
$47,212
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
3.17%
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%
$944,240
$944.2K
Cap Rate 7%
$674,457
$674.5K
Cap Rate 9%
$524,578
$524.6K
Market Conditions
NOI Build-Up for 4,548 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
$70.4K $15.48/SF
− Vacancy
−$3.0K −$0.65/SF
EGI
$67.4K $14.83/SF
− OpEx
−$20.2K −$4.45/SF
NOI
$47.2K $10.38/SF
Area
Allegan County, MI
Vacancy
4.20%
Lease Rate
$15.48 /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%
$944,240
Cap Rate 7%
$674,457
Cap Rate 9%
$524,578
Alternative Uses
Best Use
Retail
$674.5K
$590.2K – $786.9K
NOI $47,212 @ 7.0% cap · market cap 3.17%
Second Best
Apartment 5plus
$416.9K
$364.8K – $486.4K
NOI $29,186 @ 7.0% cap · market cap 1.96%
Theoretical Best
Hotel Hospitality
$42.71M
$37.37M – $49.83M
NOI $2,989,729 @ 7.0% cap · market cap 200.65%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
286
Businesses Nearby
Explore this area
Business Placement
Demographics for 49406, MI
1,031
Population
921
Households
1.1
Avg Household Size
60
Median Age
66%
College-Educated
99%
High-School Grad
1.5 sq mi
ZIP Area
687
Density / Sq Mi
$95,417
Median Household Income
$78,333
Median Earnings
$470,500
Median Home Value
Market
Vacancy Rate% for Multifamily 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 - Three-story building includes two retail units on the main level and multiple apartments, with recent 2025 remodeling.
Where is this mixed-use property located?
The property is located at 98 W Center Street Douglas, MI.
What is the asking price?
The asking price for this property is $1,490,000.
What are key features of this property?
This property features: Three‑story mixed‑use commercial/residential building in downtown Douglas with two commercial retail units on the main floor; Remodeled in 2025 and relocated onto a new foundation in 2002; Approved for three apartments for either short‑term or long‑term rentals, plus a new one‑bedroom lower‑level apartment with patio
