Multi-Tenant Strip
For Sale
$1,500,000
938 N Pontiac Trail, Walled Lake, MI 48390
Well-maintained strip center with ample parking and a current lease in place to Hungry Howie’s Pizza.
Property Size8,691 SF
Days on Market123
Property Features for 938 N Pontiac Trail
General Information
Standard status
Active
Size
8,691 SF
Property subtype
Retail
Building Details
Building Size
8,691 SF
Year Built
1965
Tenancy
Multi
Listing Agency:
Thomas A. Duke Company
Listed By:
Mark Schafer · License #6501271064
(248) 479-0124
Source:
Thomasduke
Added: May 7
Changed: Aug 31
Last Checked: Sep 5 at 4:47AM
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 well-maintained multi-tenant strip center is offered for sale and includes ample parking to support everyday customer access. The property is currently leased, with Hungry Howie’s Pizza included within the center.
The center is situated along a commercial corridor described as high traffic, with strong visibility for storefront exposure.
Also included in the strip center is a well-known, successful owner-operated business; the remarks note that this business is not included in the center’s sale price and can be purchased separately, creating an option for buyers seeking both real estate and business ownership.
The center is situated along a commercial corridor described as high traffic, with strong visibility for storefront exposure.
Also included in the strip center is a well-known, successful owner-operated business; the remarks note that this business is not included in the center’s sale price and can be purchased separately, creating an option for buyers seeking both real estate and business ownership.
Key Highlights
- Well‑maintained multi‑tenant strip center on a high‑traffic commercial corridor
- Lease in place with Hungry Howie’s Pizza
- Ample on‑site parking
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
$93,519
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
6.23%
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%
$1,870,380
$1.9M
Cap Rate 7%
$1,335,986
$1.3M
Cap Rate 9%
$1,039,100
$1.0M
Market Conditions
NOI Build-Up for 8,691 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
$146.0K $16.80/SF
− Vacancy
−$12.4K −$1.43/SF
EGI
$133.6K $15.37/SF
− OpEx
−$40.1K −$4.61/SF
NOI
$93.5K $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%
$1,870,380
Cap Rate 7%
$1,335,986
Cap Rate 9%
$1,039,100
Alternative Uses
Best Use
Retail
$1.34M
$1.17M – $1.56M
NOI $93,519 @ 7.0% cap · market cap 6.23%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.87M
$1.64M – $2.19M
NOI $131,220 @ 7.0% cap · market cap 8.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
610
Businesses Nearby
92k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 63%
Shops & Services 30%
Home Improvements & Furnishings 8%
McDonald's
Dining
19,187 visits/mo
0.2 miles
Wendy's
Dining
12,681 visits/mo
0.1 miles
Dollar General
Shops & Services
7,449 visits/mo
0.2 miles
Harbor Freight Tools
Home Improvements & Furnishings
6,987 visits/mo
0.2 miles
Tim Hortons
Dining
6,844 visits/mo
0.1 miles
Demographics for 48390, MI
24,273
Population
10,995
Households
2.2
Avg Household Size
44
Median Age
43%
College-Educated
96%
High-School Grad
12.5 sq mi
ZIP Area
1,942
Density / Sq Mi
$89,411
Median Household Income
$53,442
Median Earnings
$1,575
Median Rent
$287,900
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Maple Plaza — 1192 E West Maple Rd, Walled Lake, MI 48390
Frequently Asked Questions
What type of property is this?
Shopping center - Well-maintained strip center with ample parking and a current lease in place to Hungry Howie’s Pizza.
Where is this shopping center located?
The property is located at 938 N Pontiac Trail Walled Lake, MI.
What is the asking price?
The asking price for this property is $1,500,000.
What are key features of this property?
This property features: Well‑maintained multi‑tenant strip center on a high‑traffic commercial corridor; Lease in place with Hungry Howie’s Pizza; Ample on‑site parking
