Vacant Bar and Restaurant with
For Sale
$1,890,000
345 E 9 Mile Rd, Ferndale, MI 48220
Vacant bar/restaurant with separate music venue, with sale including furniture, fixtures, and equipment.
Property Size11,028 SF
Price / SF$171.38
Days on Market686
Property Features for 345 E 9 Mile Rd
General Information
Standard status
Active
Size
11,028 SF
Property subtype
Retail
Zoning
CBD
Additional Details
Furnished
Yes
Building Details
Building Size
11,028 SF
Year Built
1950
Year Renovated
2015
Buildings
1
Stories
1
Listing Agency:
Thomas A. Duke Company
Listed By:
Steven R. Valli · License #6501291516
(248) 476-3700
Source:
Cpix.resimplifi
Added: Oct 24, 2024
Changed: Aug 8
Last Checked: Sep 8 at 3:32AM
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 Thomas A. Duke Company
Investment Insights
Based on property information with market context.
This offering includes a vacant bar/restaurant with a separate music venue. The sale includes furniture, fixtures, and equipment. The property is offered with reference to liquor licensing requirements, and buyers should contact the City of Ferndale for details regarding the liquor license.
The property is located east of Woodward Ave, on the north side of E Nine Mile Rd, in a redevelopment area that includes new loft condos, office, and retail. The site is described as an ideal corner location.
The current configuration is centered on entertainment and food-and-beverage use, with distinct space for the bar/restaurant and a separate music venue.
The property is located east of Woodward Ave, on the north side of E Nine Mile Rd, in a redevelopment area that includes new loft condos, office, and retail. The site is described as an ideal corner location.
The current configuration is centered on entertainment and food-and-beverage use, with distinct space for the bar/restaurant and a separate music venue.
Key Highlights
- Vacant bar/restaurant with a separate music venue
- Year built: 1950
- Located east of Woodward Ave on the north side of E Nine Mile Rd
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
$166,505
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
8.81%
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%
$3,330,100
$3.3M
Cap Rate 7%
$2,378,643
$2.4M
Cap Rate 9%
$1,850,056
$1.9M
Market Conditions
NOI Build-Up for 11,028 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
$238.2K $21.60/SF
− Vacancy
−$16.2K −$1.47/SF
EGI
$222.0K $20.13/SF
− OpEx
−$55.5K −$5.03/SF
NOI
$166.5K $15.10/SF
Area
Oakland County, MI
Vacancy
6.80%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
25.00%
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%
$3,330,100
Cap Rate 7%
$2,378,643
Cap Rate 9%
$1,850,056
Alternative Uses
Best Use
Specialty Retail
$2.38M
$2.08M – $2.78M
NOI $166,505 @ 7.0% cap · market cap 8.81%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,475
Businesses Nearby
144k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 75%
Shops & Services 20%
Beauty & Spa 2%
Electronics 2%
McDonald's
Dining
22,302 visits/mo
0.1 miles
Wendy's
Dining
20,467 visits/mo
0.2 miles
Pizza Hut
Dining
13,458 visits/mo
0.5 miles
Taco Bell
Dining
10,104 visits/mo
0.4 miles
Mobil
Shops & Services
9,934 visits/mo
0.2 miles
Demographics for 48220, MI
21,564
Population
12,003
Households
1.8
Avg Household Size
37
Median Age
53%
College-Educated
96%
High-School Grad
4.4 sq mi
ZIP Area
4,901
Density / Sq Mi
$86,095
Median Household Income
$54,557
Median Earnings
$1,191
Median Rent
$229,700
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Sam's Grill. North Of 8 Mile On Woodward — 21468 e m-1 srv rd, ferndale, mi 48220
- BARREL HOUSE — 22740 Woodward Ave, Ferndale, MI 48220
- Karaoke — 201 W Nine Mile Rd, Ferndale, MI 48220
- J's Penalty Box — 22726 Woodward Ave, Ferndale, MI 48220
- Soho — 205 W Nine Mile Rd, Ferndale, MI 48220
Frequently Asked Questions
What type of property is this?
Bar & Pub - Vacant bar/restaurant with separate music venue, with sale including furniture, fixtures, and equipment.
Where is this bar & pub located?
The property is located at 345 E 9 Mile Rd Ferndale, MI.
What is the asking price?
The asking price for this property is $1,890,000.
What are key features of this property?
This property features: Vacant bar/restaurant with a separate music venue; Year built: 1950; Located east of Woodward Ave on the north side of E Nine Mile Rd
