Prime Downtown Lansing Mixed-Use 329-337 S Washington Sq 9 Unit Apartment Building $1,891,900 ($210,211/Unit) 8.52% Cap Rate Lansing, MI 48933

Marcus & Millichap is pleased to present Downtown Lansing Mixed-Use, a multifamily & retail opportunity located at 329–337 South Washington Square in the heart of downtown Lansing, Michigan. The 13,757-square-foot property blends historic architectural character with modern interior finishes, creating a differentiated urban asset well-positioned within Lansing’s established downtown corridor. The property also includes 11 on-site parking spaces, a valuable amenity within the downtown environment.
Situated along Washington Square, one of downtown Lansing’s premier commercial and entertainment corridors, the property benefits from exceptional visibility, walkability, and immediate proximity to a dense concentration of government offices, major employers, restaurants, nightlife, and cultural amenities. The location offers residents and commercial tenants a true live-work-play environment within Michigan’s state capital, a market supported by stable government employment, expanding residential density, and ongoing public and private investment throughout downtown Lansing, including nearby developments such as the Tower on Grand apartment project, which is contributing to increased residential density and long-term growth in the urban core.
The property includes nine loft-style apartment units and ground-floor retail space, providing investors with multiple income streams from both residential and commercial tenants within a manageable mixed-use asset. The residential component features open-concept layouts, exposed brick, high ceilings, oversized windows, and authentic loft finishes that continue to resonate with renters seeking an alternative to more conventional apartment product. Each apartment unit is equipped with an in-unit washer and dryer, enhancing tenant convenience and supporting competitive positioning within the downtown rental market. The property’s historic architecture creates a distinctive position within the downtown multifamily market while supporting long-term tenant demand.
The ground-floor retail space is leased to established local businesses with strong operating histories and community presence, helping provide stable occupancy and consistent cash flow. Strange Matter Coffee, a specialty coffee roaster and café concept, has demonstrated strong commitment to the property by renewing its lease ahead of expiration, expanding into three units within the building, and providing a personal guarantee. This location also serves a critical operational function, as it bakes for all Strange Matter Coffee locations. The combination of residential and retail tenants creates diversified income streams that help reduce vacancy risk and enhance the property’s long-term stability.
Additionally, ownership has completed significant capital improvements that enhance both functionality and tenant appeal, including the replacement of all HVAC rooftop units and a roof coating completed in 2022 with a 10-year warranty. These improvements, along with continued interior upgrades throughout the property, position the asset for continued operational stability while allowing future ownership to benefit from additional upside potential as downtown Lansing continues its broader growth trajectory.
The surrounding market is supported by ongoing multifamily development, infrastructure investment, and public redevelopment initiatives contributing to downtown Lansing’s urban core. The downtown Lansing market continues to reflect evolving investment fundamentals, supported by consistent transaction activity, steady rent levels, and continued public and private investment throughout the area.
The property also benefits from proximity to several major educational, healthcare, and employment anchors, including the Michigan State Capitol, Lansing Community College, Davenport University, Michigan State University, University of Michigan Health-Sparrow, and GM’s Lansing Grand River Assembly facility, all of which contribute to sustained residential demand and regional economic stability.
The Downtown Lansing Mixed-Use presents investors with the opportunity to acquire a well-located mixed-use asset combining historic character, stabilized cash flow, and long-term appreciation potential within one of Michigan’s most important government, educational, healthcare, and employment centers.