Renovated Office Building with
For Sale
$200,000
14750 Puritan Avenue, Detroit, MI 48227
Turnkey building includes nine private suites and a separate open-concept area with kitchen and two restrooms.
Property Size3,900 SF
Days on Market40
Property Features for 14750 Puritan Avenue
General Information
Standard status
Active
Size
3,900 SF
Property subtype
Business Opportunity
Taxes and HOA fees
Annual Taxes
$1,749
Building Details
Building Size
3,900 SF
Year Built
1960
Units
10
Listing Agency:
KW Home Realty
(313) 516-3856
Listed By:
Cecelia Dillard · License #6501380095
(313) 516-3856
Source:
Phgrealty
Added: Jul 15
Changed: Aug 23
Last Checked: Aug 22 at 12:40PM
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 KW Home Realty
Investment Insights
Based on property information with market context.
This newly renovated commercial building is designed for flexible office use, featuring nine private suites and one restroom on one side of the property. The opposite side provides a spacious open-concept area suited for meetings, training sessions, private events, workshops, coworking, or creative studio use, along with two restrooms and a full kitchen.
The property has undergone significant improvements, including a new roof, new plumbing, new electrical, a new furnace, and a new central air unit, supporting a turnkey experience for a wide range of businesses and operators.
The layout supports both private, suite-based work and shared, open-area functions within the same building.
The property has undergone significant improvements, including a new roof, new plumbing, new electrical, a new furnace, and a new central air unit, supporting a turnkey experience for a wide range of businesses and operators.
The layout supports both private, suite-based work and shared, open-area functions within the same building.
Key Highlights
- Turnkey commercial building built in 1960 with nine private suites plus a separate open‑concept area
- Suite side layout includes nine private suites and one restroom
- Open‑concept side includes two restrooms and a full kitchen
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
$13,426
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
6.71%
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%
$268,520
$268.5K
Cap Rate 7%
$191,800
$191.8K
Cap Rate 9%
$149,178
$149.2K
Market Conditions
NOI Build-Up for 3,900 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
$23.4K $6.00/SF
− Vacancy
−$5.5K −$1.41/SF
EGI
$17.9K $4.59/SF
− OpEx
−$4.5K −$1.15/SF
NOI
$13.4K $3.44/SF
Area
ZIP 48227
Vacancy
23.50%
Lease Rate
$6.00 /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%
$268,520
Cap Rate 7%
$191,800
Cap Rate 9%
$149,178
Alternative Uses
Best Use
Office B
$191.8K
$167.8K – $223.8K
NOI $13,426 @ 7.0% cap · market cap 6.71%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$634.5K
$555.2K – $740.2K
NOI $44,414 @ 7.0% cap · market cap 22.21%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
553
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 Office in Detroit, MI
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office units - Turnkey building includes nine private suites and a separate open-concept area with kitchen and two restrooms.
Where is this office units located?
The property is located at 14750 Puritan Avenue Detroit, MI.
What is the asking price?
The asking price for this property is $200,000.
What are key features of this property?
This property features: Turnkey commercial building built in 1960 with nine private suites plus a separate open‑concept area; Suite side layout includes nine private suites and one restroom; Open‑concept side includes two restrooms and a full kitchen
