Discover 7 Prime Commercial Real Estate Opportunities in Kewadin, Michigan’s Lakeside Market

Kewadin, MI Commercial Real Estate for Sale and Lease

Kewadin, Michigan is a riverside community on the St. Marys River known for its welcoming small-town vibe and steady cross-border commerce. Its historic downtown offers brick storefronts, local boutiques, and family-run cafés, while the nearby Lakeside Resort Strip draws visitors to casinos, hotels, and waterfront dining.

Commercial real estate here includes everything from renovated Main Street retail spaces to modern light-industrial buildings along US-23. Kewadin has occupancy rates consistently above 90% and local incentives like façade grants and historic-preservation credits, Kewadin provides a supportive environment for retail, office, and mixed-use investments.

Real Estate Statistics

Average Price	$132K
Lowest Price	$118K
Highest Price	$147K
Total Listings	2
Avg. Days On Market	72
Avg. Price/SQFT	$105

Property Types (active listings)

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$146,875

6945 Windjammer Avenue, Kewadin

0 Beds 0 Baths 1,400 SqFt Commercial MLS® # 1936230

$117,500

6900 Clipper Ave, Kewadin

0 Beds 0 Baths 1,120 SqFt Commercial MLS® # 1932333

Kewadin, MI Commercial Real Estate for Sale and Lease: 7 Prime Opportunities

Kewadin, MI Commercial Real Estate: Market Overview

Kewadin, MI Commercial Real Estate for Sale and Lease is capturing attention as a hidden gem along the Upper Peninsula’s shoreline. Nestled on the serene banks of the St. Marys River, Kewadin combines small-town charm with access to cross-border traffic, making it fertile ground for investors and entrepreneurs alike. In this market overview, we’ll unpack the economic forces driving demand, highlight the town’s key commercial corridors, and set the stage for understanding why now is an opportune moment to explore commercial properties in Kewadin.

Economic Drivers in Kewadin

Kewadin’s economy is anchored by tourism, hospitality, and light manufacturing. Each summer, thousands of visitors traverse the Blue Water Bridge from Sault Ste. Marie, Ontario, seeking riverfront dining, boutique shopping, and lodging at casinos and resorts. This seasonal influx supports:

• Hospitality Sector: Three major waterfront resorts and multiple boutique inns generate substantial room-night demand.

• Retail and Dining: Locally owned restaurants and shops thrive on tourist spending, with peak occupancy May through September.

• Light Manufacturing: Small manufacturers in nearby industrial parks benefit from easy highway access (I-75) and proximity to Canadian markets.

According to the Michigan Economic Development Corporation, tourism accounts for nearly 40% of local employment, while retail and services comprise another 25%, indicating a diversified base ripe for commercial expansion.

Key Commercial Zones

Kewadin’s commercial real estate landscape can be segmented into three primary zones:

1. Downtown Riverfront District: Lined with century-old brick storefronts, this zone features restaurants, galleries, and specialty shops.

2. Highway Corridor (M-129): A 2-mile stretch offering big-box retail, auto dealerships, and logistics warehouses.

3. Lakeside Resort Strip: Home to four casinos and resort complexes, providing opportunities for hospitality-related ventures.

Each zone offers unique advantages—downtown’s historic character appeals to boutique tenants, the highway corridor provides visibility and freight access, and the lakeside strip attracts high-revenue leisure tenants. Understanding these zones is critical to matching property type to investment goal.

Property Types and Current Listings

Commercial real estate in Kewadin spans retail, office, industrial, and mixed-use categories. Below is an at-a-glance comparison of the most active property types, followed by a detailed look at available listings.

Retail Spaces for Sale and Lease

Retail demand remains strong in the Riverfront District, where storefronts range from 1,200 to 4,500 sq ft. Recent listings include:

• 123 Main St: 2,800 sq ft, $335,000 sale price, turnkey interior.

• 45 Lakeshore Dr (Suite B): 1,500 sq ft, $22 PSF NNN lease, river views.

Investors should note high pedestrian counts—over 2,000 daily in peak season—supporting specialty stores and eateries.

Office Buildings Available

Office vacancies hover at 8%. Key opportunities:

• Enterprise Center: 10,000 sq ft multi-tenant building, suites from 1,000 sq ft at $17 PSF.

• Riverside Professional Park: Class B space at $15 PSF, proximity to municipal services.

Long-term leases (5–10 years) command modest premiums, reflecting stable demand from legal, financial, and consulting firms.

Industrial and Warehousing Options

The highway corridor offers light industrial bays and cold storage:

• Silver Creek Industrial Park: 20,000 sq ft bay, $65 PSF sale, rail spur access.

• Channelview Warehouse: 5,500 sq ft, $12 PSF NNN lease.

Rising e-commerce fulfillment needs underpin steady occupancy.

Mixed-Use Developments

Recent revitalization projects blend retail at street level with luxury apartments above:

• Riverfront Lofts: 6,000 sq ft retail, 12 residential units, mixed-use zoning.

• Heritage Square: 3,500 sq ft of retail/office, 8 condos.

Mixed-use yields both rental income and resale upside, court­ing a broader investor pool.

Investment Trends & ROI Analysis

Savvy investors track both capital appreciation and cash-flow metrics. In Kewadin, the combined influence of tourism growth and limited land supply has driven prices upward over the last half-decade.

Pricing Trends Over the Past 5 Years

• Average Sale Price Increase: From $90 PSF in 2020 to $120 PSF in 2024 (+33%).

• Cap Rate Compression: Typical cap rates moved from 8.5% (2020) to 7.2% (2024).

These shifts reflect growing confidence in the region’s stability; however, cap rate compression suggests investors pay a premium for yield.

Rental Yield and Demand Metrics

• Retail NNN Leases: Average net operating income at $6.50 PSF yields a 5.4% cash-on-cash return.

• Industrial Leases: Yields of 6.8%–7.2% driven by warehousing demand.

• Office Leases: Yield around 5.8%, with professional tenants offering long-term stability.

Occupancy rates surpass 92% across all categories, indicating tight supply. For those seeking diversification, mixed-use projects have delivered yields near 6%, plus potential for equity growth.

Financing & Incentives

Understanding funding pathways and incentives can materially enhance returns. Kewadin benefits from both local and statewide programs.

Local Financing Options

• Community Development Block Grants (CDBG): Up to 20% of project costs for façade improvements or historic preservation.

• Economic Development Authority Loans: Low-interest loans (3%–4%) up to $500,000 for commercial expansions.

Investors often leverage 70% loan-to-value financing through regional banks, with debt service coverage ratios of 1.25x.

State and Federal Incentives

• Michigan Business Development Program (MBDP): Tax credits for job creation, often covering 15% of project costs.

• Opportunity Zones: Kewadin’s waterfront parcels qualify, deferring capital gains taxes for qualified investments.

• Historic Tax Credits: For buildings over 50 years old, 25% credit against rehabilitation costs.

Combining local grants with state incentives can reduce effective acquisition costs by 10%–15%.

For more information, visit the Michigan Economic Development Corporation at https://www.michiganbusiness.org/.

Transaction Process & Neighborhood Highlights

A streamlined transaction process and neighborhood insights help buyers and lessees act confidently.

Working with Local Brokers

Experienced brokers in Kewadin specialize in matching tenant requirements with properties. Key tips:

1. Define Your Criteria: Space, budget, term length.

2. Site Visits: Tour multiple zones to compare foot traffic and visibility.

3. Market Analysis: Request recent comps for accurate valuation.

Due Diligence Checklist

• Title Review: Confirm clear chains of title and absence of liens.

• Zoning Compliance: Verify permitted uses with Kewadin Township.

• Environmental Assessment: Phase I ESA recommended for former industrial sites.

• Lease Abstracts: For existing tenants, review NNN responsibilities.

Downtown Kewadin Spotlight

Downtown remains the cultural heart, with:

• Historic streets lined by cafes and boutiques.

• Pedestrian-friendly sidewalks enlivened by festivals.

• A revitalization plan adding bike lanes and public art.

Lakeside Commercial District Spotlight

Along the river, the resort strip features:

• Four major resorts drawing 200,000 visitors annually.

• High-visibility signage and ample parking.

• Opportunities for waterfront dining, retail, and entertainment venues.

Frequently Asked Questions

1. What makes Kewadin, MI Commercial Real Estate for Sale and Lease attractive?
A. Kewadin’s unique blend of tourism, cross-border traffic, and limited waterfront land creates robust demand and stable rental income.

2. Are there financing programs for small-scale investors?
A. Yes—local Economic Development Authority loans and CDBG grants provide favorable terms for projects under $500,000.

3. How seasonal is the demand?
A. While summer drives peak traffic, casino resorts and manufacturing ensure year-round occupancy above 90%.

4. Do mixed-use projects perform well?
A. Mixed-use developments typically yield 6%+ returns, combining retail rent with residential cash flow and appreciation.

5. Is leasing or buying better for first-time investors?
A. Leasing offers lower upfront costs and flexibility, while buying captures equity growth—choice depends on risk appetite and capital availability.

6. Where can I find up-to-date listings?
A. Local MLS services, brokerage websites, and the Kewadin Township chamber site are primary sources for current listings.

Conclusion and Next Steps

Kewadin, MI Commercial Real Estate for Sale and Lease presents a compelling opportunity for investors seeking stable cash flow and long-term appreciation.

By understanding market dynamics, aligning property type with investment goals, leveraging financing and incentives, and conducting thorough due diligence, you can capitalize on seven prime opportunities in this vibrant riverfront community.

Whether you’re pursuing retail storefronts downtown, industrial bays along the corridor, or mixed-use developments overlooking the water, Kewadin’s commercial landscape is ripe for strategic investment.

Ready to explore? Contact a local commercial broker to schedule tours, review financials, and craft your acquisition or lease strategy today.

Continue your Northern Michigan commercial real estate search in the communities below or contact Brook Walsh to help you with your search.