Corner Mixed-Use
New
For Sale
$625,000
19898 Kelly Road, Harper Woods, MI 48225
Two-level configuration supports separate storefronts, office use, and additional storage or break-room space.
Property Size3,350 SF
Days on Market3
Property Features for 19898 Kelly Road
General Information
Standard status
Active
Size
3,350 SF
Property subtype
Commercial
Zoning
Commercial
Site & Location
Corner Location
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$9,287
Building Details
Building Size
3,350 SF
Year Built
1957
Buildings
1
Stories
2
Tenancy
Multi
Listing Agency:
Good Company
(248) 834-3030
Listed By:
Jim Shaffer · License #301702
Source:
Buyatthelake
Added: Aug 10
Changed: Aug 11
Last Checked: Aug 11 at 4:31AM
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.
Built in 1957, this commercial building combines ground-floor retail space with an adaptable upper level. The main floor includes a tenant-operated smoke shop under a month-to-month lease, along with additional space that can function as two storefronts or be combined into one larger unit. Two bathrooms serve the main level.
The second floor provides a flexible area for office, break-room, or storage use and includes a full bathroom with shower. The property occupies a corner along the Kelly Road corridor, where traffic counts exceed 10,000 vehicles per day. Off-street parking accommodates over 15 vehicles, with additional street-facing spaces. The building is located at 19898 Kelly Road in Harper Woods, Michigan.
The second floor provides a flexible area for office, break-room, or storage use and includes a full bathroom with shower. The property occupies a corner along the Kelly Road corridor, where traffic counts exceed 10,000 vehicles per day. Off-street parking accommodates over 15 vehicles, with additional street-facing spaces. The building is located at 19898 Kelly Road in Harper Woods, Michigan.
Key Highlights
- Corner property along the Kelly Road corridor
- Traffic counts exceed 10,000 vehicles per day
- Ground‑floor smoke shop tenant occupies the property on a month‑to‑month lease
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
$39,798
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
6.37%
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%
$795,960
$796.0K
Cap Rate 7%
$568,543
$568.5K
Cap Rate 9%
$442,200
$442.2K
Market Conditions
NOI Build-Up for 3,350 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
$72.4K $21.60/SF
− Vacancy
−$8.7K −$2.59/SF
EGI
$63.7K $19.01/SF
− OpEx
−$23.9K −$7.13/SF
NOI
$39.8K $11.88/SF
Area
Wayne County, MI
Vacancy
12.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
37.50%
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%
$795,960
Cap Rate 7%
$568,543
Cap Rate 9%
$442,200
Alternative Uses
Best Use
Mixed Use
$568.5K
$497.5K – $663.3K
NOI $39,798 @ 7.0% cap · market cap 6.37%
Second Best
Retail
$453.5K
$396.8K – $529.0K
NOI $31,742 @ 7.0% cap · market cap 5.08%
Theoretical Best
Specialty Retail
$620.2K
$542.7K – $723.6K
NOI $43,416 @ 7.0% cap · market cap 6.95%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
685
Businesses Nearby
Explore this area
Business Placement
Demographics for 48225, MI
15,862
Population
6,271
Households
2.5
Avg Household Size
37
Median Age
23%
College-Educated
93%
High-School Grad
2.7 sq mi
ZIP Area
5,875
Density / Sq Mi
$59,248
Median Household Income
$40,558
Median Earnings
$1,304
Median Rent
$140,800
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Two-level configuration supports separate storefronts, office use, and additional storage or break-room space.
Where is this mixed-use property located?
The property is located at 19898 Kelly Road Harper Woods, MI.
What is the asking price?
The asking price for this property is $625,000.
What are key features of this property?
This property features: Corner property along the Kelly Road corridor; Traffic counts exceed 10,000 vehicles per day; Ground‑floor smoke shop tenant occupies the property on a month‑to‑month lease
