Renovated Restaurant with Commercial
New
For Sale
Contact for pricing
19163 Livernois Ave, Detroit, MI 48221
B3 zoning and included kitchen equipment support restaurant use.
Property Size1,862 SF
Price / SF$241.68
Days on Market6
Property Features for 19163 Livernois Ave
General Information
Standard status
Active
Size
1,862 SF
Property subtype
Retail
Zoning
B3
Restaurant
Commercial Hood
Yes
Equipment Included
Yes
Listing Agency:
Encore Real Estate Investment Services
Listed By:
Deno Bistolarides · License #6502378067
(248) 702-0288
Source:
Crexi
Added: Sep 22
Changed: Sep 26
Last Checked: Sep 26 at 2:17PM
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 Encore Real Estate Investment Services
Investment Insights
Based on property information with market context.
Located at 19163 Livernois Ave in Detroit, this 1,862-square-foot restaurant property has a renovated interior and a commercial kitchen. The sale includes kitchen equipment, a hood system, and fixtures. B3 zoning is in place.
The property sits along the Livernois corridor, near the University of Detroit Mercy and the Marygrove area. Street parking is available.
The property sits along the Livernois corridor, near the University of Detroit Mercy and the Marygrove area. Street parking is available.
Key Highlights
- 1,862 SF restaurant property
- Renovated interior with commercial kitchen
- Sale includes kitchen equipment, hood system, and fixtures
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
$24,572
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
5.46%
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%
$491,440
$491.4K
Cap Rate 7%
$351,029
$351.0K
Cap Rate 9%
$273,022
$273.0K
Market Conditions
NOI Build-Up for 1,862 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
$34.6K $18.60/SF
− Vacancy
−$1.9K −$1.00/SF
EGI
$32.8K $17.60/SF
− OpEx
−$8.2K −$4.40/SF
NOI
$24.6K $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%
$491,440
Cap Rate 7%
$351,029
Cap Rate 9%
$273,022
Alternative Uses
Best Use
Specialty Retail
$351.0K
$307.2K – $409.5K
NOI $24,572 @ 7.0% cap · market cap 5.46%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$410.8K
$359.4K – $479.2K
NOI $28,754 @ 7.0% cap · market cap 6.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Commercial hood
Location Intelligence
Trade Area within ½ mile
572
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
0.2 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
0.3 miles
Comerica Bank
Shops & Services
2,946 visits/mo
0.2 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
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
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 - B3 zoning and included kitchen equipment support restaurant use.
Where is this conventional restaurant located?
The property is located at 19163 Livernois Ave Detroit, MI.
What is the asking price?
The asking price for this property is $450,000.
What are key features of this property?
This property features: 1,862 SF restaurant property; Renovated interior with commercial kitchen; Sale includes kitchen equipment, hood system, and fixtures
