Mixed-Use Property with Flex
New
For Sale
$599,000
8753 Pleasant Lake Road, Ann Arbor, MI 48103
Acreage setting with a flexible building, finished basement, kitchen, sunroom, office, and two bathrooms.
Property Size3,968 SF
Lot Size26.00 Acres
Price / SF$363.03
Days on Market3
Property Features for 8753 Pleasant Lake Road
General Information
Standard status
Active
Size
3,968 SF
Lot size
26.00 Acres
Property subtype
Commercial
Zoning
Res Improved
Additional Details
Land Use
residential, commercial, mixed-use, live-work
Amenities
finished basement
kitchen
flex space
sunroom
office
bathrooms
parking lot
storage
equipment storage
Building Details
Building Size
3,968 SF
Year Built
1994
Buildings
2
Stories
3968
Units
1
Listing Agency:
Key Realty One LLC
(734) 216-9920
Listed By:
Michael Price · License #6501273091
(734) 216-9920
Source:
Buyatthelake
Added: Aug 8
Changed: Aug 9
Last Checked: Aug 9 at 2:29PM
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 Key Realty One LLC
Investment Insights
Based on property information with market context.
This mixed-use property comprises 26 acres and a 1,650-square-foot building constructed in 1994. The building includes a finished basement, kitchen, flexible open area, sunroom, office, and two bathrooms. Its prior uses as a golf clubhouse and day-care facility provide context for the existing layout, while the site also includes a large parking lot.
Located at 8753 Pleasant Lake Road near Ann Arbor, the property combines a rural setting with access to the Ann Arbor market. Zoning is identified as Res Improved. Any proposed residential, commercial, mixed-use, or live-work application should be evaluated with the appropriate governmental authorities, including verification of permitted uses, utilities, building requirements, and environmental conditions.
Located at 8753 Pleasant Lake Road near Ann Arbor, the property combines a rural setting with access to the Ann Arbor market. Zoning is identified as Res Improved. Any proposed residential, commercial, mixed-use, or live-work application should be evaluated with the appropriate governmental authorities, including verification of permitted uses, utilities, building requirements, and environmental conditions.
Key Highlights
- 26 acres with a 1,650‑square‑foot building
- Building constructed in 1994
- Finished basement, kitchen, flex space, sunroom, office, and two bathrooms
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
$19,355
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
3.23%
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%
$387,100
$387.1K
Cap Rate 7%
$276,500
$276.5K
Cap Rate 9%
$215,056
$215.1K
Market Conditions
NOI Build-Up for 1,650 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
$33.7K $20.40/SF
− Vacancy
−$2.7K −$1.63/SF
EGI
$31.0K $18.77/SF
− OpEx
−$11.6K −$7.04/SF
NOI
$19.4K $11.73/SF
Area
Ann Arbor, MI
Vacancy
8.00%
Lease Rate
$20.40 /SF/Yr
Expense Ratio
37.50%
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%
$387,100
Cap Rate 7%
$276,500
Cap Rate 9%
$215,056
Alternative Uses
Best Use
Mixed Use
$276.5K
$241.9K – $322.6K
NOI $19,355 @ 7.0% cap · market cap 3.23%
Second Best
Office B
$264.8K
$231.7K – $309.0K
NOI $18,537 @ 7.0% cap · market cap 3.09%
Theoretical Best
Office A
$364.4K
$318.9K – $425.2K
NOI $25,509 @ 7.0% cap · market cap 4.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
2
Businesses Nearby
Explore this area
Business Placement
Demographics for 48103, MI
55,605
Population
25,511
Households
2.2
Avg Household Size
40
Median Age
75%
College-Educated
97%
High-School Grad
66.5 sq mi
ZIP Area
836
Density / Sq Mi
$115,513
Median Household Income
$65,698
Median Earnings
$1,760
Median Rent
$455,100
Median Home Value
Market
Vacancy Rate% for Office 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?
Mixed-use property - Acreage setting with a flexible building, finished basement, kitchen, sunroom, office, and two bathrooms.
Where is this mixed-use property located?
The property is located at 8753 Pleasant Lake Road Ann Arbor, MI.
What is the asking price?
The asking price for this property is $599,000.
What are key features of this property?
This property features: 26 acres with a 1,650‑square‑foot building; Building constructed in 1994; Finished basement, kitchen, flex space, sunroom, office, and two bathrooms
