Corner Retail Building with
For Sale
Contact for pricing
20640 Van Born Road, Dearborn Heights, MI 48125
Well-maintained standalone corner retail building with a drive-up window, paved parking, and front and rear loading areas.
Property Size1,569 SF
Price / SF$145.95
Days on Market270
Property Features for 20640 Van Born Road
General Information
Standard status
Active
Size
1,569 SF
Total Parking Spaces
8
Property subtype
Land
Net Operating Income
$19,000
Building Details
Year Built
1960
Listing Agency:
Real Estate One-Dbn Hts/Dbn
(313) 565-3200
Listed By:
Ali Shariff · License #6501303931
Source:
Crexi
Added: Nov 12, 2025
Changed: Aug 8
Last Checked: Aug 9 at 1:33PM
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 Real Estate One-Dbn Hts/Dbn
Investment Insights
Based on property information with market context.
This sale offering features a well-maintained standalone corner retail building with paved parking for eight vehicles. The property includes front and rear paved delivery/loading areas, supporting convenient receiving and operations. A drive-up window is located on the building, adding a practical customer-access option for service-oriented retail concepts. The roof was replaced in 2020.
The building is positioned on a corner, providing straightforward visibility and access from the surrounding roadway network. Operationally, the presence of both front and rear paved loading areas can help separate deliveries from customer traffic.
For a retailer or owner-operator looking for a compact, self-contained facility, the drive-up window and dedicated loading areas are useful for sales and fulfillment workflows. A long-term tenant would prefer to continue leasing, which may align with buyers seeking an existing occupancy preference. The boiler has passed the 2020 state inspection and received new gaskets, with safety controls maintained.
The building is positioned on a corner, providing straightforward visibility and access from the surrounding roadway network. Operationally, the presence of both front and rear paved loading areas can help separate deliveries from customer traffic.
For a retailer or owner-operator looking for a compact, self-contained facility, the drive-up window and dedicated loading areas are useful for sales and fulfillment workflows. A long-term tenant would prefer to continue leasing, which may align with buyers seeking an existing occupancy preference. The boiler has passed the 2020 state inspection and received new gaskets, with safety controls maintained.
Key Highlights
- Well‑maintained standalone corner retail building built in 1960
- Paved parking for 8 vehicles plus front and rear paved delivery/loading areas
- Drive‑up window on the building
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
$14,867
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
6.49%
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%
$297,340
$297.3K
Cap Rate 7%
$212,386
$212.4K
Cap Rate 9%
$165,189
$165.2K
Market Conditions
NOI Build-Up for 1,569 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
$22.6K $14.40/SF
− Vacancy
−$1.4K −$0.86/SF
EGI
$21.2K $13.54/SF
− OpEx
−$6.4K −$4.06/SF
NOI
$14.9K $9.48/SF
Area
Wayne County, MI
Vacancy
6.00%
Lease Rate
$14.40 /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%
$297,340
Cap Rate 7%
$212,386
Cap Rate 9%
$165,189
Alternative Uses
Best Use
Retail
$212.4K
$185.8K – $247.8K
NOI $14,867 @ 7.0% cap · market cap 6.49%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$290.5K
$254.2K – $338.9K
NOI $20,334 @ 7.0% cap · market cap 8.88%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
193
Businesses Nearby
16k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
7-Eleven
Shops & Services
10,242 visits/mo
0.1 miles
Mobil
Shops & Services
3,743 visits/mo
0.1 miles
Sunoco
Shops & Services
2,177 visits/mo
0.2 miles
Demographics for 48125, MI
22,070
Population
8,791
Households
2.5
Avg Household Size
38
Median Age
16%
College-Educated
87%
High-School Grad
4.0 sq mi
ZIP Area
5,518
Density / Sq Mi
$59,534
Median Household Income
$38,241
Median Earnings
$1,298
Median Rent
$119,300
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - Well-maintained standalone corner retail building with a drive-up window, paved parking, and front and rear loading areas.
Where is this storefront property located?
The property is located at 20640 Van Born Road Dearborn Heights, MI.
What is the asking price?
The asking price for this property is $229,000.
What are key features of this property?
This property features: Well‑maintained standalone corner retail building built in 1960; Paved parking for 8 vehicles plus front and rear paved delivery/loading areas; Drive‑up window on the building
