Turnkey Dental Practice & Real
For Sale
Contact for pricing
16068 8 Mile Rd, Detroit, MI 48205
Thriving dental practice and standalone medical office building for sale.
Property Size1,048 SF
Price / SF$267.18
Days on Market198
Property Features for 16068 8 Mile Rd
General Information
Standard status
Active
Size
1,048 SF
Class
C
Property subtype
Business for Sale, Office, Retail
Zoning
B-4
Building Details
Year Built
1959
Units
1
Listing Agency:
TDG Commercial
Listed By:
Brock Bean · License #462328
Source:
Crexi
Added: Feb 3
Changed: Aug 8
Last Checked: Aug 8 at 3:13PM
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 TDG Commercial
Investment Insights
Based on property information with market context.
This offering presents the opportunity to acquire a dental practice and a standalone medical office building. The property is a ±1,048 SF standalone facility located on E Eight Mile Rd. The building features a reception area, three fully equipped operatories, a sterilization room, and a lab/storage area. Newer X-ray equipment and updated systems are in place. The practice maintains a durable revenue base with $250k+ in annual collections and a broad insurance mix, including Medicaid and major PPOs. The property features monument signage and 8 Mile frontage, capturing drive-by traffic. On-site surface parking provides patient access. The location offers access to I-75 and I-94. The practice is suited for expansion by optimizing hygiene coverage, extending scheduling blocks, and introducing high-demand specialty services such as clear aligners, whitening, and endodontics. The seller is prepared to accommodate a short handoff period to assist with patient introductions, staff retention, and records transfer.
Key Highlights
- Turnkey dental practice and real estate opportunity on a highly visible corridor.
- Established practice with $250k+ in annual collections and a broad insurance mix.
- Immaculate, ±1,048 SF standalone facility with three (3) fully equipped operatories.
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
$10,866
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
3.88%
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%
$217,320
$217.3K
Cap Rate 7%
$155,229
$155.2K
Cap Rate 9%
$120,733
$120.7K
Market Conditions
NOI Build-Up for 1,048 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
$20.1K $19.20/SF
− Vacancy
−$2.0K −$1.92/SF
EGI
$18.1K $17.28/SF
− OpEx
−$7.2K −$6.91/SF
NOI
$10.9K $10.37/SF
Area
Detroit, MI
Vacancy
10.00%
Lease Rate
$19.20 /SF/Yr
Expense Ratio
40.00%
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%
$217,320
Cap Rate 7%
$155,229
Cap Rate 9%
$120,733
Alternative Uses
Best Use
Healthcare Medical
$155.2K
$135.8K – $181.1K
NOI $10,866 @ 7.0% cap · market cap 3.88%
Second Best
Office B
$151.7K
$132.7K – $177.0K
NOI $10,617 @ 7.0% cap · market cap 3.79%
Theoretical Best
Office A
$231.2K
$202.3K – $269.7K
NOI $16,184 @ 7.0% cap · market cap 5.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
464
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48205, MI
34,056
Population
17,102
Households
2
Avg Household Size
32
Median Age
9%
College-Educated
85%
High-School Grad
6.4 sq mi
ZIP Area
5,321
Density / Sq Mi
$40,612
Median Household Income
$30,833
Median Earnings
$1,149
Median Rent
$55,700
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?
Medical Office Space - Thriving dental practice and standalone medical office building for sale.
Where is this medical office space located?
The property is located at 16068 8 Mile Rd Detroit, MI.
What is the asking price?
The asking price for this property is $280,000.
What are key features of this property?
This property features: Turnkey dental practice and real estate opportunity on a highly visible corridor.; Established practice with $250k+ in annual collections and a broad insurance mix.; Immaculate, ±1,048 SF standalone facility with **three (3) fully equipped operatories.**
