Mixed-Use Building with 3
For Sale
$749,900
14318 E Jefferson Avenue, Detroit, MI 48215
Three commercial bays, dedicated basement storage, and two upper-level apartments support multiple occupancy configurations.
Property Size5,874 SF
Price / SF$127.66
Days on Market24
Property Features for 14318 E Jefferson Avenue
General Information
Standard status
Active
Size
5,874 SF
Property subtype
Commercial
Additional Details
Equipment Included
Yes
Taxes and HOA fees
Annual Taxes
$5,042
Amenities
private basement
commercial kitchen equipment
Building Details
Building Size
5,874 SF
Year Built
1924
Buildings
1
Stories
5874
Units
5
Tenancy
Multi
Listing Agency:
Michigan Dream Homes, LLC
(248) 755-1124
Listed By:
John Wallen · License #6501288962
Source:
Erareardonrealty
Added: Aug 6
Changed: Aug 29
Last Checked: Aug 29 at 10:21AM
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 Michigan Dream Homes, LLC
Investment Insights
Based on property information with market context.
Built in 1924, this 5,874-square-foot mixed-use building combines three commercial storefronts with two upper-level apartments. Each storefront is approximately 980 square feet and includes a private basement for inventory or storage. The center bay is configured for restaurant use with commercial kitchen equipment and table space, while the other two storefronts are occupied by a men’s barber shop and a women’s beauty salon.
The residential component includes two spacious apartments, each measuring 1,425 square feet with two bedrooms and one bathroom. One apartment is occupied, while the second is vacant. The property is located at 14318 E Jefferson Avenue in Detroit, near the border of Grosse Pointe, along a commercial corridor described as rapidly appreciating.
The residential component includes two spacious apartments, each measuring 1,425 square feet with two bedrooms and one bathroom. One apartment is occupied, while the second is vacant. The property is located at 14318 E Jefferson Avenue in Detroit, near the border of Grosse Pointe, along a commercial corridor described as rapidly appreciating.
Key Highlights
- 5,874‑square‑foot mixed‑use building at 14318 E Jefferson Avenue, Detroit, MI 48215
- Three commercial storefronts, each approximately 980 sq. ft.
- Private basement storage associated with each retail space
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
$67,131
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
8.95%
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%
$1,342,620
$1.3M
Cap Rate 7%
$959,014
$959.0K
Cap Rate 9%
$745,900
$745.9K
Market Conditions
NOI Build-Up for 5,874 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
$102.2K $17.40/SF
− Vacancy
−$6.3K −$1.07/SF
EGI
$95.9K $16.33/SF
− OpEx
−$28.8K −$4.90/SF
NOI
$67.1K $11.43/SF
Area
Detroit, MI
Vacancy
6.17%
Lease Rate
$17.40 /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%
$1,342,620
Cap Rate 7%
$959,014
Cap Rate 9%
$745,900
Alternative Uses
Best Use
Retail
$1.03M
$904.4K – $1.21M
NOI $72,350 @ 7.0% cap · market cap 9.65%
Second Best
Mixed Use
$996.9K
$872.3K – $1.16M
NOI $69,783 @ 7.0% cap · market cap 9.31%
Theoretical Best
Office A
$1.30M
$1.13M – $1.51M
NOI $90,708 @ 7.0% cap · market cap 12.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
587
Businesses Nearby
Explore this area
Business Placement
Demographics for 48215, MI
10,520
Population
6,044
Households
1.7
Avg Household Size
41
Median Age
19%
College-Educated
85%
High-School Grad
3.9 sq mi
ZIP Area
2,697
Density / Sq Mi
$33,741
Median Household Income
$36,728
Median Earnings
$897
Median Rent
$105,400
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Three commercial bays, dedicated basement storage, and two upper-level apartments support multiple occupancy configurations.
Where is this mixed-use property located?
The property is located at 14318 E Jefferson Avenue Detroit, MI.
What is the asking price?
The asking price for this property is $749,900.
What are key features of this property?
This property features: 5,874‑square‑foot mixed‑use building at 14318 E Jefferson Avenue, Detroit, MI 48215; Three commercial storefronts, each approximately 980 sq. ft.; Private basement storage associated with each retail space
