Elevator Office
For Sale
$675,000
20789 Harper Ave, Harper Woods, MI 48225
RO-1-zoned office property with gated parking and signage visible from I-94.
Property Size9,615 SF
Price / SF$70.20
Days on Market434
Property Features for 20789 Harper Ave
General Information
Standard status
Active
Size
9,615 SF
Class
C
Property subtype
Office
Zoning
RO-1
Building Details
Building Size
9,615 SF
Year Built
1958
Buildings
1
Stories
1
Listing Agency:
Pilot Property Group
(586) 337-5241
Listed By:
James Diehl · License #6502425251
(586) 337-5241
Source:
Cpix.resimplifi
Added: Jun 24, 2025
Changed: Aug 30
Last Checked: Aug 30 at 5:34PM
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 Pilot Property Group
Investment Insights
Based on property information with market context.
This 9,615 SF office building was constructed in 1958 and includes elevator service, a gated parking lot, and signage visible from I-94. The property is positioned for either single-user occupancy or a multi-tenant configuration.
Located at 20789 Harper Ave in Harper Woods, the building borders the Saint Clair Shores and Grosse Pointe communities. RO-1 zoning supports its office classification and provides a clear framework for evaluating the property’s continued commercial use.
Located at 20789 Harper Ave in Harper Woods, the building borders the Saint Clair Shores and Grosse Pointe communities. RO-1 zoning supports its office classification and provides a clear framework for evaluating the property’s continued commercial use.
Key Highlights
- 9,615 SF office building constructed in 1958
- Elevator‑equipped building
- Gated parking lot
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
$33,100
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
4.90%
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%
$662,000
$662.0K
Cap Rate 7%
$472,857
$472.9K
Cap Rate 9%
$367,778
$367.8K
Market Conditions
NOI Build-Up for 9,615 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
$57.7K $6.00/SF
− Vacancy
−$13.6K −$1.41/SF
EGI
$44.1K $4.59/SF
− OpEx
−$11.0K −$1.15/SF
NOI
$33.1K $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%
$662,000
Cap Rate 7%
$472,857
Cap Rate 9%
$367,778
Alternative Uses
Best Use
Office B
$472.9K
$413.8K – $551.7K
NOI $33,100 @ 7.0% cap · market cap 4.90%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.78M
$1.56M – $2.08M
NOI $124,610 @ 7.0% cap · market cap 18.46%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
224
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
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - RO-1-zoned office property with gated parking and signage visible from I-94.
Where is this office building located?
The property is located at 20789 Harper Ave Harper Woods, MI.
What is the asking price?
The asking price for this property is $675,000.
What are key features of this property?
This property features: 9,615 SF office building constructed in 1958; Elevator‑equipped building; Gated parking lot
