Multi-Tenant Office
For Sale
$1,700,000
22777 West Eleven Mile Road, Southfield, MI 48033
Office building offering prominent road visibility and flexible options for owner-users or multiple tenants.
Property Size31,638 SF
Lot Size2.49 Acres
Price / SF$53.73
Days on Market80
Property Features for 22777 West Eleven Mile Road
General Information
Standard status
Active
Size
31,638 SF
Lot size
2.49 Acres
Property subtype
Office
Listing Agency:
Newmark Knight Frank Detroit
(248) 350-8141
Listed By:
Daniel Canvasser
Source:
Nmrk
Added: Jun 9
Changed: Aug 26
Last Checked: Aug 26 at 5:33AM
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 Newmark Knight Frank Detroit
Investment Insights
Based on property information with market context.
The property is a 31,638 SF office building situated on 2.49 acres. It is offered for sale and presented as a value-add opportunity, suitable for either an owner-user or a multi-tenant setup.
The building features prominent signage and visibility from M-10 and Eleven Mile Road. It is also positioned close to restaurants, retail, and other services, with convenient access to downtown Detroit, Southfield, and surrounding suburbs.
For tenants and buyers, the key advantage is the ability to configure the space for different office users within a single ownership structure. The site’s visibility and established commercial surroundings support a practical office location for organizations seeking convenient access and straightforward brand exposure from major roads.
The building features prominent signage and visibility from M-10 and Eleven Mile Road. It is also positioned close to restaurants, retail, and other services, with convenient access to downtown Detroit, Southfield, and surrounding suburbs.
For tenants and buyers, the key advantage is the ability to configure the space for different office users within a single ownership structure. The site’s visibility and established commercial surroundings support a practical office location for organizations seeking convenient access and straightforward brand exposure from major roads.
Key Highlights
- 31,638 SF office building on 2.49 acres
- Prominent signage and visibility from M‑10 and 11 Mile Road
- Flexible layout for an owner‑user or multiple tenants
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
$108,914
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
6.41%
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%
$2,178,280
$2.2M
Cap Rate 7%
$1,555,914
$1.6M
Cap Rate 9%
$1,210,156
$1.2M
Market Conditions
NOI Build-Up for 31,638 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
$189.8K $6.00/SF
− Vacancy
−$44.6K −$1.41/SF
EGI
$145.2K $4.59/SF
− OpEx
−$36.3K −$1.15/SF
NOI
$108.9K $3.44/SF
Area
Oakland 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%
$2,178,280
Cap Rate 7%
$1,555,914
Cap Rate 9%
$1,210,156
Alternative Uses
Best Use
Office B
$1.56M
$1.36M – $1.82M
NOI $108,914 @ 7.0% cap · market cap 6.41%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$6.82M
$5.97M – $7.96M
NOI $477,683 @ 7.0% cap · market cap 28.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
399
Businesses Nearby
Explore this area
Business Placement
Demographics for 48033, MI
17,207
Population
9,198
Households
1.9
Avg Household Size
47
Median Age
33%
College-Educated
93%
High-School Grad
9.1 sq mi
ZIP Area
1,891
Density / Sq Mi
$55,599
Median Household Income
$45,192
Median Earnings
$1,242
Median Rent
$195,100
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 - Office building offering prominent road visibility and flexible options for owner-users or multiple tenants.
Where is this office building located?
The property is located at 22777 West Eleven Mile Road Southfield, MI.
What is the asking price?
The asking price for this property is $1,700,000.
What are key features of this property?
This property features: 31,638 SF office building on 2.49 acres; Prominent signage and visibility from M‑10 and 11 Mile Road; Flexible layout for an owner‑user or multiple tenants
