Updated Retail
New
For Sale
$195,000
18981 Livernois Ave, Detroit, MI 48221
Recent building upgrades include mechanical systems, plumbing, electrical work, and an accessible restroom.
Property Size1,400 SF
Price / SF$139.29
Days on Market4
Property Features for 18981 Livernois Ave
General Information
Standard status
Active
Size
1,400 SF
Additional Details
Utilities to Site
Yes
Building Details
Year Built
1939
Listing Agency:
Good Company
Listed By:
Jack Stemas
(313) 820-1041
Source:
Katie-k
Added: Sep 1
Last Checked: Sep 2 at 7:21PM
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 Good Company
Investment Insights
Based on property information with market context.
This 1,400-square-foot retail storefront was built in 1939 and has received extensive interior and building-system improvements. Updates include HVAC, plumbing, electrical work, a tankless on-demand water heater, and a professionally maintained roof. The renovated bathroom is wheelchair accessible, and new security locks have been installed at both the front and rear entrances.
Located at 18981 Livernois Ave in Detroit’s Avenue of Fashion corridor, the property is surrounded by new businesses. Its prior use was a local clothing business, providing a documented retail context for the space.
Located at 18981 Livernois Ave in Detroit’s Avenue of Fashion corridor, the property is surrounded by new businesses. Its prior use was a local clothing business, providing a documented retail context for the space.
Key Highlights
- 1,400‑square‑foot retail storefront on Livernois Ave
- Extensive updates to HVAC, plumbing, and electrical systems
- Tankless on‑demand water heater installed
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
$17,244
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
8.84%
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%
$344,880
$344.9K
Cap Rate 7%
$246,343
$246.3K
Cap Rate 9%
$191,600
$191.6K
Market Conditions
NOI Build-Up for 1,400 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
$26.0K $18.60/SF
− Vacancy
−$1.4K −$1.00/SF
EGI
$24.6K $17.60/SF
− OpEx
−$7.4K −$5.28/SF
NOI
$17.2K $12.32/SF
Area
Detroit, MI
Vacancy
5.40%
Lease Rate
$18.60 /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%
$344,880
Cap Rate 7%
$246,343
Cap Rate 9%
$191,600
Alternative Uses
Best Use
Retail
$246.3K
$215.6K – $287.4K
NOI $17,244 @ 7.0% cap · market cap 8.84%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$308.8K
$270.2K – $360.3K
NOI $21,619 @ 7.0% cap · market cap 11.09%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
584
Businesses Nearby
38k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 90%
Dining 8%
Electronics 3%
BP
Shops & Services
12,452 visits/mo
0.1 miles
Pet Supplies Plus
Shops & Services
6,947 visits/mo
0.0 miles
Dollar General
Shops & Services
6,620 visits/mo
0.1 miles
U-Haul Moving & Storage AT 7 Mile & Livernois
Shops & Services
3,913 visits/mo
0.5 miles
Comerica Bank
Shops & Services
2,946 visits/mo
0.1 miles
Demographics for 48221, MI
38,204
Population
17,452
Households
2.2
Avg Household Size
38
Median Age
29%
College-Educated
90%
High-School Grad
5.2 sq mi
ZIP Area
7,347
Density / Sq Mi
$55,583
Median Household Income
$37,019
Median Earnings
$1,174
Median Rent
$138,700
Median Home Value
Market
Vacancy Rate% for Retail in Detroit, MI
Questions? Ask Rey
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Similar Off Market Nearby
- 313FLOWERS — 19452 Livernois, Detroit, MI 48221
Frequently Asked Questions
What type of property is this?
Storefront property - Recent building upgrades include mechanical systems, plumbing, electrical work, and an accessible restroom.
Where is this storefront property located?
The property is located at 18981 Livernois Ave Detroit, MI.
What is the asking price?
The asking price for this property is $195,000.
What are key features of this property?
This property features: 1,400‑square‑foot retail storefront on Livernois Ave; Extensive updates to HVAC, plumbing, and electrical systems; Tankless on‑demand water heater installed
