Two-Story Free-Standing Retail
For Sale
$399,900
9405 Dixie Hwy, Clarkston, MI 48348
Free-standing two-story commercial building on C2 land with 153' road frontage and access to a back storage lot.
Property Size3,168 SF
Lot Size1.22 Acres
Price / SF$126.23
Days on Market43
Property Features for 9405 Dixie Hwy
General Information
Standard status
Active
Size
3,168 SF
Lot size
1.22 Acres
Property subtype
Commercial
Zoning
C2
Additional Details
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$5,240
Building Details
Building Size
3,168 SF
Year Built
1979
Stories
2
Listing Agency:
Wilhelm & Associates
(248) 625-9500
Listed By:
Thomas Wilhelm · License #6501196948
(248) 625-9500
Source:
Elliman
Added: Jul 1
Changed: Aug 8
Last Checked: Aug 12 at 10:00AM
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 Wilhelm & Associates
Investment Insights
Based on property information with market context.
Free-standing two-story commercial building totaling 3,168 SF on 1.22 acres of C2 land. The property includes a metal roof and a well/septic setup. The building is currently leased through October 31, after which it will operate month-to-month at $1,600 per month.
Located on Dixie Hwy on the corner of Dixie and Old Pond Drive, the site offers 153' of road frontage and visibility. Access is available to a large back storage lot.
The tenant is responsible for lawn and snow maintenance, as well as gas, electric, and trash. The adjacent property next door is also for sale under MLS# 20261043391, and the seller indicates both properties may be purchased together.
Located on Dixie Hwy on the corner of Dixie and Old Pond Drive, the site offers 153' of road frontage and visibility. Access is available to a large back storage lot.
The tenant is responsible for lawn and snow maintenance, as well as gas, electric, and trash. The adjacent property next door is also for sale under MLS# 20261043391, and the seller indicates both properties may be purchased together.
Key Highlights
- Free‑standing 2‑story commercial building with 3,168 SF total, built in 1979
- Located on 1.22 acres of C2 land with 153' road frontage on Dixie Hwy
- Corner location on Dixie and Old Pond Dr with access to a large back storage lot
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
$34,089
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
8.52%
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%
$681,780
$681.8K
Cap Rate 7%
$486,986
$487.0K
Cap Rate 9%
$378,767
$378.8K
Market Conditions
NOI Build-Up for 3,168 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
$53.2K $16.80/SF
− Vacancy
−$4.5K −$1.43/SF
EGI
$48.7K $15.37/SF
− OpEx
−$14.6K −$4.61/SF
NOI
$34.1K $10.76/SF
Area
Oakland County, MI
Vacancy
8.50%
Lease Rate
$16.80 /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%
$681,780
Cap Rate 7%
$486,986
Cap Rate 9%
$378,767
Alternative Uses
Best Use
Retail
$487.0K
$426.1K – $568.2K
NOI $34,089 @ 7.0% cap · market cap 8.52%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$683.3K
$597.9K – $797.2K
NOI $47,832 @ 7.0% cap · market cap 11.96%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
141
Businesses Nearby
2k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Valvoline Instant Oil Change
Shops & Services
2,296 visits/mo
0.2 miles
Demographics for 48348, MI
25,655
Population
9,151
Households
2.8
Avg Household Size
42
Median Age
50%
College-Educated
96%
High-School Grad
33.6 sq mi
ZIP Area
764
Density / Sq Mi
$131,586
Median Household Income
$59,251
Median Earnings
$1,231
Median Rent
$421,300
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?
Retail space - Free-standing two-story commercial building on C2 land with 153' road frontage and access to a back storage lot.
Where is this retail space located?
The property is located at 9405 Dixie Hwy Clarkston, MI.
What is the asking price?
The asking price for this property is $399,900.
What are key features of this property?
This property features: Free‑standing 2‑story commercial building with 3,168 SF total, built in 1979; Located on 1.22 acres of C2 land with 153' road frontage on Dixie Hwy; Corner location on Dixie and Old Pond Dr with access to a large back storage lot
