Office Building with Renovated Common
For Sale
$1,600,000
20270-20276 Middlebelt Road, Livonia, MI 48152
C-1-zoned office property with recently updated common areas and separately metered gas and electric service.
Property Size26,417 SF
Price / SF$60.57
Days on Market12
Property Features for 20270-20276 Middlebelt Road
General Information
Standard status
Active
Size
26,417 SF
Property subtype
Office
Zoning
C-1
Occupancy
86%
Additional Details
Utilities to Site
Yes
Building Details
Building Size
26,417 SF
Year Built
1985
Listing Agency:
KJ Commercial
(248) 931-1980
Listed By:
Kevin Jappaya
(248) 931-1980
Source:
Cpix.resimplifi
Added: Aug 20
Changed: Aug 31
Last Checked: Aug 31 at 12:47PM
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 KJ Commercial
Investment Insights
Based on property information with market context.
Built in 1985, this 26,417 SF office complex includes recently renovated common areas and is currently 86% occupied. The property offers an owner-user configuration with existing rental income, while separately metered gas and electric services support direct allocation of tenant utility expenses. Professional property management is in place.
The office property is located at 20270-20276 Middlebelt Road in Livonia, Michigan. On-site parking serves the building, and the C-1 zoning designation is included among the property’s recorded characteristics. The combination of occupied office space, updated shared areas, and an established management structure provides a defined operating profile for an office building buyer.
The office property is located at 20270-20276 Middlebelt Road in Livonia, Michigan. On-site parking serves the building, and the C-1 zoning designation is included among the property’s recorded characteristics. The combination of occupied office space, updated shared areas, and an established management structure provides a defined operating profile for an office building buyer.
Key Highlights
- 26,417 SF office complex
- 86% occupied with existing rental income
- Recently renovated common areas
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
$90,941
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
5.68%
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%
$1,818,820
$1.8M
Cap Rate 7%
$1,299,157
$1.3M
Cap Rate 9%
$1,010,456
$1.0M
Market Conditions
NOI Build-Up for 26,417 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
$158.5K $6.00/SF
− Vacancy
−$37.2K −$1.41/SF
EGI
$121.3K $4.59/SF
− OpEx
−$30.3K −$1.15/SF
NOI
$90.9K $3.44/SF
Area
Wayne County, MI
Vacancy
23.50%
Lease Rate
$6.00 /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%
$1,818,820
Cap Rate 7%
$1,299,157
Cap Rate 9%
$1,010,456
Alternative Uses
Best Use
Office B
$1.30M
$1.14M – $1.52M
NOI $90,941 @ 7.0% cap · market cap 5.68%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$4.89M
$4.28M – $5.71M
NOI $342,364 @ 7.0% cap · market cap 21.40%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
86%
Occupancy
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
510
Businesses Nearby
Explore this area
Business Placement
Demographics for 48152, MI
31,098
Population
12,922
Households
2.4
Avg Household Size
47
Median Age
41%
College-Educated
95%
High-School Grad
12.0 sq mi
ZIP Area
2,592
Density / Sq Mi
$89,019
Median Household Income
$50,614
Median Earnings
$1,293
Median Rent
$284,300
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?
Office building - C-1-zoned office property with recently updated common areas and separately metered gas and electric service.
Where is this office building located?
The property is located at 20270-20276 Middlebelt Road Livonia, MI.
What is the asking price?
The asking price for this property is $1,600,000.
What are key features of this property?
This property features: 26,417 SF office complex; 86% occupied with existing rental income; Recently renovated common areas
