Profitable 10-Unit Apartment
For Sale
$499,000
12927 Plymouth Rd, Detroit, MI 48227
Fully leased apartment building with parking lots for sale.
Property Size4,467 SF
Days on Market105
Property Features for 12927 Plymouth Rd
General Information
Standard status
Active
Size
4,467 SF
Property subtype
Investment
Taxes and HOA fees
Annual Taxes
$8,378
Building Details
Building Size
4,467 SF
Year Built
1955
Units
10
Listing Agency:
RE/MAX Dream Properties
(248) 951-9555
Listed By:
Behzad Bokani
(248) 951-9555
Source:
Elliman
Added: Apr 28
Changed: Aug 8
Last Checked: Aug 9 at 9:37AM
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 RE/MAX Dream Properties
Investment Insights
Based on property information with market context.
This is a 10-unit apartment building located at 12927 Plymouth Rd. The property is currently fully leased and generating $6,000 per month in rent. The property includes two adjacent vacant parking lots, located at 12913 Plymouth Rd and 12901 Plymouth Rd. The property features a brick exterior and gated courtyard. Tenants are responsible for their own electric bills, including electric baseboard heat.
Key Highlights
- High‑performing 10‑unit apartment building generating $6,000/month in actual rent.
- Impressive 8%+ Cap Rate with additional room to grow.
- Includes two adjacent vacant parking lots for tenant parking or future development.
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
$45,143
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
9.05%
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%
$902,860
$902.9K
Cap Rate 7%
$644,900
$644.9K
Cap Rate 9%
$501,589
$501.6K
Market Conditions
NOI Build-Up for 4,467 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
$88.4K $19.80/SF
− Vacancy
−$6.4K −$1.43/SF
EGI
$82.1K $18.37/SF
− OpEx
−$36.9K −$8.27/SF
NOI
$45.1K $10.11/SF
Area
ZIP 48227
Vacancy
7.20%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
45.00%
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%
$902,860
Cap Rate 7%
$644,900
Cap Rate 9%
$501,589
Alternative Uses
Best Use
Apartment 5plus
$644.9K
$564.3K – $752.4K
NOI $45,143 @ 7.0% cap · market cap 9.05%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$726.7K
$635.9K – $847.9K
NOI $50,872 @ 7.0% cap · market cap 10.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
321
Businesses Nearby
Explore this area
Business Placement
Demographics for 48227, MI
40,266
Population
19,933
Households
2
Avg Household Size
36
Median Age
12%
College-Educated
83%
High-School Grad
7.5 sq mi
ZIP Area
5,369
Density / Sq Mi
$36,221
Median Household Income
$31,797
Median Earnings
$1,034
Median Rent
$70,900
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Apartment building - Fully leased apartment building with parking lots for sale.
Where is this apartment building located?
The property is located at 12927 Plymouth Rd Detroit, MI.
What is the asking price?
The asking price for this property is $499,000.
What are key features of this property?
This property features: High‑performing 10‑unit apartment building generating $6,000/month in actual rent.; Impressive 8%+ Cap Rate with additional room to grow.; Includes two adjacent vacant parking lots for tenant parking or future development.
