25,000 SF Commercial
For Sale
$2,500,000
9334 River Rd, Algonac, MI 48001
Versatile 24-bedroom commercial property on 2.7 acres in Algonac, MI.
Property Size25,000 SF
Lot Size2.71 Acres
Price / SF$100
Days on Market164
Property Features for 9334 River Rd
General Information
Standard status
Active
Size
25,000 SF
Lot size
2.71 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$174
Building Details
Building Size
25,000 SF
Year Built
1971
Units
48
Listing Agency:
Realty Executives Home Towne
(586) 344-8311
Listed By:
Jennifer Stanczak
(586) 344-8311
Source:
Elliman
Added: Mar 11
Changed: Aug 17
Last Checked: Aug 21 at 9:51AM
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 Realty Executives Home Towne
Investment Insights
Based on property information with market context.
This versatile commercial facility offers 25,000 sq ft of usable space on 2.7 acres in Algonac, MI. Zoned C2, the property is suitable for various business ventures, including adult foster care, rehab center, veterans care facility, bed & breakfast/hospitality, assisted living/lodging, and daycare/school. The facility features 24 private bedrooms and 23 baths. A fully operational commercial kitchen includes a walk-in cooler and freezer, LED lighting, and equipment. The property also has a spacious day room with a fireplace and seating for over 50 people, along with a furnished banquet hall and adjacent patio that can accommodate up to 50 guests. Each room has individual HVAC controls. Additional features include a full laundry facility with a washer/dryer, linens, and supplies, an on-site salon/barber room, three staircases, and solid-core doors. The second floor is constructed with sound-resistant concrete. ADA-accessible areas are available. An unfinished 1,000 sq ft apartment above a 3-car garage is roughed in for 2 beds/2 baths, a kitchen, and a lounge. Infrastructure highlights include two 500,000 BTU Lochinvar high-efficiency boilers, a Lochinvar hot water system with dual 119-gallon reserve tanks, epoxy-finished floors, two sump pumps, and 2x6 staggered insulated walls. Slate tile and hardwood floors are present, and the roof is approximately 10–12 years old. On-site residential-style parking is available, along with a front desk and welcoming lobby. The property is located on the Blue Water bus line, with a walking/biking path to Algonac State Park, and is close to Downtown Algonac & Marine City with river views. Immediate occupancy is available.
Key Highlights
- 25,000 sq ft commercial facility on 2.7 acres zoned C2, offering versatile business opportunities.
- Turnkey and code‑compliant, nearly move‑in ready with 24 private bedrooms and 23 baths.
- Fully operational commercial kitchen with walk‑in cooler/freezer, spacious day room, and furnished banquet hall.
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
$154,620
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
6.18%
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%
$3,092,400
$3.1M
Cap Rate 7%
$2,208,857
$2.2M
Cap Rate 9%
$1,718,000
$1.7M
Market Conditions
NOI Build-Up for 25,000 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
$300.0K $12.00/SF
− Vacancy
−$42.3K −$1.69/SF
EGI
$257.7K $10.31/SF
− OpEx
−$103.1K −$4.12/SF
NOI
$154.6K $6.18/SF
Area
St. Clair County, MI
Vacancy
14.10%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
40.00%
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%
$3,092,400
Cap Rate 7%
$2,208,857
Cap Rate 9%
$1,718,000
Alternative Uses
Best Use
Apartment 5plus
$17.31M
$15.14M – $20.19M
NOI $1,211,364 @ 7.0% cap · market cap 48.45%
Second Best
Healthcare Medical
$2.21M
$1.93M – $2.58M
NOI $154,620 @ 7.0% cap · market cap 6.18%
Theoretical Best
Multifamily LT 5
$18.79M
$16.44M – $21.93M
NOI $1,315,591 @ 7.0% cap · market cap 52.62%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
13
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48001, MI
11,721
Population
5,787
Households
2
Avg Household Size
50
Median Age
18%
College-Educated
94%
High-School Grad
19.0 sq mi
ZIP Area
617
Density / Sq Mi
$64,538
Median Household Income
$35,987
Median Earnings
$921
Median Rent
$250,000
Median Home Value
Questions? Ask Rey
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Similar Off Market Nearby
- Dibleys Adult Foster Care Home — 9251 N River Rd, Clay Township, MI 48001
- Great Lakes Inn AFC LLC — 9334 River Rd, Clay Township, MI 48001
Frequently Asked Questions
What type of property is this?
Assisted living facility - Versatile 24-bedroom commercial property on 2.7 acres in Algonac, MI.
Where is this assisted living facility located?
The property is located at 9334 River Rd Algonac, MI.
What is the asking price?
The asking price for this property is $2,500,000.
What are key features of this property?
This property features: 25,000 sq ft commercial facility on 2.7 acres zoned C2, offering versatile business opportunities.; Turnkey and code‑compliant, nearly move‑in ready with **24 private bedrooms and 23 baths**.; Fully operational commercial kitchen with walk‑in cooler/freezer, spacious day room, and furnished banquet hall.
