Upgraded Coney Island
For Sale
$699,000
1350 W Fort St, Detroit, MI 48226
Fully operational restaurant and building with a renovated kitchen, updated seating, and new commercial equipment.
Property Size2,429 SF
Price / SF$287.77
Days on Market44
Property Features for 1350 W Fort St
General Information
Standard status
Active
Size
2,429 SF
Additional Details
Business Included
Yes
Building Details
Year Built
1952
Listing Agency:
Summit Union Real Estate
(586) 554-6107
Listed By:
Nathaniel Korkis
Source:
Katie-k
Added: Jul 20
Changed: Aug 28
Last Checked: Aug 31 at 7:19PM
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 Summit Union Real Estate
Investment Insights
Based on property information with market context.
This fully operational conventional restaurant includes the building and an established Coney Island food-service operation. Recent improvements include a renovated kitchen, commercial AC equipment, a new grill, walk-in cooler, freezer, and refreshed seating. The business has remained under the same ownership for more than 25 years.
The property sits along a heavily traveled route serving downtown Detroit, opposite the 24-hour Main Post Office. WCCC and Michigan Central Station are nearby, while new residential and mixed-use development surrounds the corridor. Ralph C. Wilson Jr. Centennial Park is directly across the street, and the site is positioned within Detroit’s ongoing riverfront revitalization area.
The property sits along a heavily traveled route serving downtown Detroit, opposite the 24-hour Main Post Office. WCCC and Michigan Central Station are nearby, while new residential and mixed-use development surrounds the corridor. Ralph C. Wilson Jr. Centennial Park is directly across the street, and the site is positioned within Detroit’s ongoing riverfront revitalization area.
Key Highlights
- Fully operational restaurant and building included
- Same ownership for 25+ years
- Renovated kitchen with new grill and commercial AC unit
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
$32,055
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
4.59%
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%
$641,100
$641.1K
Cap Rate 7%
$457,929
$457.9K
Cap Rate 9%
$356,167
$356.2K
Market Conditions
NOI Build-Up for 2,429 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
$45.2K $18.60/SF
− Vacancy
−$2.4K −$1.00/SF
EGI
$42.7K $17.60/SF
− OpEx
−$10.7K −$4.40/SF
NOI
$32.1K $13.20/SF
Area
Detroit, MI
Vacancy
5.40%
Lease Rate
$18.60 /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%
$641,100
Cap Rate 7%
$457,929
Cap Rate 9%
$356,167
Alternative Uses
Best Use
Specialty Retail
$457.9K
$400.7K – $534.3K
NOI $32,055 @ 7.0% cap · market cap 4.59%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$535.8K
$468.9K – $625.2K
NOI $37,509 @ 7.0% cap · market cap 5.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
1,295
Businesses Nearby
27k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Hotels & Casinos 50%
Dining 42%
Home Improvements & Furnishings 8%
Cambria Hotel Detroit Downtown
Hotels & Casinos
13,247 visits/mo
0.4 miles
Burger King
Dining
11,274 visits/mo
0.1 miles
Grainger
Home Improvements & Furnishings
2,031 visits/mo
0.2 miles
Demographics for 48226, MI
6,307
Population
5,160
Households
1.2
Avg Household Size
37
Median Age
53%
College-Educated
93%
High-School Grad
1.2 sq mi
ZIP Area
5,256
Density / Sq Mi
$69,813
Median Household Income
$60,957
Median Earnings
$1,714
Median Rent
$307,700
Median Home Value
Market
Vacancy Rate% for Retail in Detroit, MI
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Fully operational restaurant and building with a renovated kitchen, updated seating, and new commercial equipment.
Where is this conventional restaurant located?
The property is located at 1350 W Fort St Detroit, MI.
What is the asking price?
The asking price for this property is $699,000.
What are key features of this property?
This property features: Fully operational restaurant and building included; Same ownership for 25+ years; Renovated kitchen with new grill and commercial AC unit
