Warren M-2 Industrial
For Sale
Contact for pricing
12565 East 9 Mile Road, Warren, MI 48089
Two adjacent M-2 light industrial properties in Warren's green zone.
Property Size9,500 SF
Price / SF$126.32
Days on Market295
Property Features for 12565 East 9 Mile Road
General Information
Standard status
Active
Size
9,500 SF
Total Parking Spaces
30
Property subtype
Industrial
Zoning
M-2
Building Details
Year Built
9999
Buildings
1
Listing Agency:
Real Estate One
(810) 650-7861
Listed By:
Mark Ellis · License #6505431194
Source:
Crexi
Added: Oct 31, 2025
Changed: Aug 8
Last Checked: Aug 20 at 2:08PM
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 Real Estate One
Investment Insights
Based on property information with market context.
Two adjacent M-2 light industrial properties are available in Warren's designated green zone, fully approved for marijuana cultivation, processing, or provisioning operations. One building, located at 12565 E 9 Mile Rd, Warren MI 48089, offers approximately 6000 square feet. It includes an office area with forced air heat and central air conditioning, and a large open industrial space with radiant heat and 24-foot ceilings. Two 14-foot overhead doors provide semi-truck access. This building also features a loft area for additional storage, bathrooms, and fenced parking and storage. It is suitable for cultivation, distribution, or light manufacturing. The second building, located at 12525 E 9 Mile Rd, Warren MI 48089, is approximately 3500 square feet and includes a bathroom. It is currently leased for $3500 per month through March 31, 2027, providing income potential. Both parcels are zoned M-2 and located within Warren’s approved green zone for marijuana facilities. The sites feature visibility and access along 9 Mile Road, with proximity to I-94 and I-696.
Key Highlights
- Two adjacent M‑2 light industrial properties included in the sale.
- Fully approved for marijuana cultivation, processing, or provisioning operations in Warren's designated green zone.
- Includes a leased building generating $3500/month income through March 2027.
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
$48,804
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
4.07%
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%
$976,080
$976.1K
Cap Rate 7%
$697,200
$697.2K
Cap Rate 9%
$542,267
$542.3K
Market Conditions
NOI Build-Up for 9,500 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
$73.0K $7.68/SF
− Vacancy
−$3.2K −$0.34/SF
EGI
$69.7K $7.34/SF
− OpEx
−$20.9K −$2.20/SF
NOI
$48.8K $5.14/SF
Area
Warren, MI
Vacancy
4.44%
Lease Rate
$7.68 /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%
$976,080
Cap Rate 7%
$697,200
Cap Rate 9%
$542,267
Alternative Uses
Best Use
Industrial
$697.2K
$610.1K – $813.4K
NOI $48,804 @ 7.0% cap · market cap 4.07%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.10M
$1.83M – $2.45M
NOI $146,702 @ 7.0% cap · market cap 12.23%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
564
Businesses Nearby
Explore this area
Business Placement
Demographics for 48089, MI
32,012
Population
13,597
Households
2.4
Avg Household Size
35
Median Age
11%
College-Educated
83%
High-School Grad
8.0 sq mi
ZIP Area
4,002
Density / Sq Mi
$53,076
Median Household Income
$35,786
Median Earnings
$1,187
Median Rent
$117,300
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Cannabis property - Two adjacent M-2 light industrial properties in Warren's green zone.
Where is this cannabis property located?
The property is located at 12565 East 9 Mile Road Warren, MI.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: Two adjacent M‑2 light industrial properties included in the sale.; Fully approved for marijuana cultivation, processing, or provisioning operations in Warren's designated green zone.; Includes a leased building generating $3500/month income through March 2027.
