Commercial Land with Two
For Sale
$949,900
59845 GRATIOT Ave, New Haven, MI 48048
5+ acres of commercial land with garage and office.
Property Size4,183 SF
Lot Size5.04 Acres
Days on Market267
Property Features for 59845 GRATIOT Ave
General Information
Standard status
Active
Size
4,183 SF
Lot size
5.04 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$12,009
Building Details
Building Size
4,183 SF
Year Built
1940
Listing Agency:
(248) 217-2629
Listed By:
Salam Bakkal · License #6501318341
(248) 217-2629
Source:
Elliman
Added: Nov 27, 2025
Changed: Aug 10
Last Checked: Aug 20 at 9:40AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Salam Bakkal
Investment Insights
Based on property information with market context.
This property features over 5 acres of commercial land improved with two buildings. One building is a 3,000 square foot bay garage and storage space, featuring a new rubber roof and city-approved electric updates. The second building is a 1,100 square foot house with 3 bedrooms, 1 bath, and a basement, currently used as an office. The property is connected to city water and sewer.
Key Highlights
- 5+ acres of commercial land, offering significant development potential
- Two buildings included, providing versatile options for various businesses
- 3,000 SF bay garage & storage space, ideal for workshops or warehousing
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
$30,921
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
3.26%
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%
$618,420
$618.4K
Cap Rate 7%
$441,729
$441.7K
Cap Rate 9%
$343,567
$343.6K
Market Conditions
NOI Build-Up for 4,183 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
$50.2K $12.00/SF
− Vacancy
−$6.0K −$1.44/SF
EGI
$44.2K $10.56/SF
− OpEx
−$13.3K −$3.17/SF
NOI
$30.9K $7.39/SF
Area
Macomb County, MI
Vacancy
12.00%
Lease Rate
$12.00 /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%
$618,420
Cap Rate 7%
$441,729
Cap Rate 9%
$343,567
Alternative Uses
Best Use
Retail
$441.7K
$386.5K – $515.4K
NOI $30,921 @ 7.0% cap · market cap 3.26%
Second Best
Industrial
$322.2K
$281.9K – $375.9K
NOI $22,555 @ 7.0% cap · market cap 2.37%
Theoretical Best
Specialty Retail
$783.1K
$685.2K – $913.7K
NOI $54,819 @ 7.0% cap · market cap 5.77%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
79
Businesses Nearby
2k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 100%
Hungry Howie's Pizza
Dining
1,519 visits/mo
0.5 miles
Demographics for 48048, MI
10,561
Population
3,518
Households
3
Avg Household Size
36
Median Age
16%
College-Educated
89%
High-School Grad
20.1 sq mi
ZIP Area
525
Density / Sq Mi
$68,990
Median Household Income
$35,221
Median Earnings
$1,365
Median Rent
$194,800
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Commercial land - 5+ acres of commercial land with garage and office.
Where is this commercial land located?
The property is located at 59845 GRATIOT Ave New Haven, 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: 5+ acres of commercial land, offering significant development potential; Two buildings included, providing versatile options for various businesses; 3,000 SF bay garage & storage space, ideal for workshops or warehousing
