Quick-Service Restaurant with
For Sale
Contact for pricing
20200 Grand River Ave, Detroit, MI 48219
Former QSR space with an in-place drive-thru configuration and existing infrastructure for quick-service operations.
Property Size2,860 SF
Price / SF$209.44
Days on Market119
Property Features for 20200 Grand River Ave
General Information
Standard status
Active
Size
2,860 SF
Property subtype
RETAIL
Lease Type
NNN
Properties For Sale
at 20200 Grand River Ave Contact us- Floor
- Bldg
- Size
- 2,860 SF
- Type
- RETAIL
- Lease Type
- NNN
- Availability
- AVAILABLE, Now
- Sublease
- No
20200 Grand River Ave
- Prime location along Grand River Avenue with strong daily traffic counts
- Former...
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Listing Agency:
Landmark Commercial Real Estate Services
(248) 488-2620
Listed By:
Rocco J. Galati
Source:
Moodyscre
Added: May 14
Changed: Aug 25
Last Checked: Sep 7 at 11:07AM
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 Landmark Commercial Real Estate Services
Investment Insights
Based on property information with market context.
This former QSR restaurant space is set up for quick-service operations, with existing infrastructure already in place and a drive-thru configuration for customer flow. The property also includes convenient ingress and egress designed to support smooth access during business hours.
Located along Grand River Avenue in Detroit, the site benefits from strong daily traffic counts and excellent visibility. The space offers prominent signage opportunities to support brand exposure, and there is ample on-site parking to accommodate customer demand.
Located along Grand River Avenue in Detroit, the site benefits from strong daily traffic counts and excellent visibility. The space offers prominent signage opportunities to support brand exposure, and there is ample on-site parking to accommodate customer demand.
Key Highlights
- Former QSR space with in‑place drive‑thru configuration
- Existing infrastructure in place for quick‑service concepts
- Prime location along Grand River Avenue with strong daily traffic counts
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
$37,743
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
6.30%
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%
$754,860
$754.9K
Cap Rate 7%
$539,186
$539.2K
Cap Rate 9%
$419,367
$419.4K
Market Conditions
NOI Build-Up for 2,860 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
$53.2K $18.60/SF
− Vacancy
−$2.9K −$1.00/SF
EGI
$50.3K $17.60/SF
− OpEx
−$12.6K −$4.40/SF
NOI
$37.7K $13.20/SF
Area
ZIP 48219
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%
$754,860
Cap Rate 7%
$539,186
Cap Rate 9%
$419,367
Alternative Uses
Best Use
Specialty Retail
$539.2K
$471.8K – $629.1K
NOI $37,743 @ 7.0% cap · market cap 6.30%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$587.4K
$514.0K – $685.3K
NOI $41,120 @ 7.0% cap · market cap 6.86%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
576
Businesses Nearby
31k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 90%
Dining 10%
BP
Shops & Services
7,272 visits/mo
0.2 miles
Shell
Shops & Services
6,652 visits/mo
0.1 miles
Comerica Bank
Shops & Services
4,884 visits/mo
0.4 miles
AutoZone
Shops & Services
4,489 visits/mo
0.1 miles
Church's Chicken
Dining
3,288 visits/mo
0.4 miles
Demographics for 48219, MI
46,811
Population
20,815
Households
2.2
Avg Household Size
37
Median Age
13%
College-Educated
87%
High-School Grad
8.4 sq mi
ZIP Area
5,573
Density / Sq Mi
$43,882
Median Household Income
$31,187
Median Earnings
$1,037
Median Rent
$84,500
Median Home Value
Market
Vacancy Rate% for Retail in Detroit, MI
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Drive through restaurant - Former QSR space with an in-place drive-thru configuration and existing infrastructure for quick-service operations.
Where is this drive through restaurant located?
The property is located at 20200 Grand River Ave Detroit, MI.
What is the asking price?
The asking price for this property is $599,000.
What are key features of this property?
This property features: Former QSR space with in‑place drive‑thru configuration; Existing infrastructure in place for quick‑service concepts; Prime location along Grand River Avenue with strong daily traffic counts
