Mixed-Use Property with
For Sale
$800,000
2544 MICHIGAN AVE, Detroit, MI 48216
Property includes two commercial storefronts, two residential units, and additional vacant land with fenced, alley-accessible parking.
Property Size3,680 SF
Price / SF$217.39
Days on Market127
Property Features for 2544 MICHIGAN AVE
General Information
Standard status
Active
Size
3,680 SF
Property subtype
Industrial
Additional Details
Fenced Yard
Yes
Multifamily Units
2
Amenities
Other
3
20100
Building Details
Year Built
19
Listing Agency:
DTW Experts LLC
(313) 303-6125
Listed By:
Noor Elmoussaoui · License #6501446607
(313) 303-6125
Source:
Xome
Added: Apr 7
Changed: Aug 8
Last Checked: Aug 11 at 5:14AM
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 DTW Experts LLC
Investment Insights
Based on property information with market context.
This mixed-use property includes two commercial storefronts and two residential units, along with additional vacant land. The included vacant lot is privately fenced and provides alley access, offering on-site space that can support parking, tenant needs, or other future uses.
The asset is located on Michigan Avenue in Corktown, within close proximity to Michigan Central Station and the future Detroit City Football Club Stadium. The property is part of a package offering and is being sold only together with 2532, 2538, and 2526 Michigan Avenue.
All measurements are estimated. Buyer to verify all information (BATVAI).
The asset is located on Michigan Avenue in Corktown, within close proximity to Michigan Central Station and the future Detroit City Football Club Stadium. The property is part of a package offering and is being sold only together with 2532, 2538, and 2526 Michigan Avenue.
All measurements are estimated. Buyer to verify all information (BATVAI).
Key Highlights
- Mixed‑use property with 2 commercial storefronts and 2 residential units
- Additional vacant land with a privately fenced lot and alley access for parking, tenant amenities, or future development
- Lot dimensions listed as 20,100 (buyer to verify all information)
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
$45,326
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
5.67%
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%
$906,520
$906.5K
Cap Rate 7%
$647,514
$647.5K
Cap Rate 9%
$503,622
$503.6K
Market Conditions
NOI Build-Up for 3,680 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
$68.4K $18.60/SF
− Vacancy
−$3.7K −$1.00/SF
EGI
$64.8K $17.60/SF
− OpEx
−$19.4K −$5.28/SF
NOI
$45.3K $12.32/SF
Area
Detroit, MI
Vacancy
5.40%
Lease Rate
$18.60 /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%
$906,520
Cap Rate 7%
$647,514
Cap Rate 9%
$503,622
Alternative Uses
Best Use
Retail
$647.5K
$566.6K – $755.4K
NOI $45,326 @ 7.0% cap · market cap 5.67%
Second Best
Mixed Use
$624.5K
$546.5K – $728.6K
NOI $43,718 @ 7.0% cap · market cap 5.46%
Theoretical Best
Office A
$811.8K
$710.4K – $947.1K
NOI $56,828 @ 7.0% cap · market cap 7.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
620
Businesses Nearby
Explore this area
Business Placement
Demographics for 48216, MI
5,031
Population
3,398
Households
1.5
Avg Household Size
35
Median Age
37%
College-Educated
87%
High-School Grad
2.3 sq mi
ZIP Area
2,187
Density / Sq Mi
$42,278
Median Household Income
$42,189
Median Earnings
$860
Median Rent
$225,300
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Property includes two commercial storefronts, two residential units, and additional vacant land with fenced, alley-accessible parking.
Where is this mixed-use property located?
The property is located at 2544 MICHIGAN AVE Detroit, MI.
What is the asking price?
The asking price for this property is $800,000.
What are key features of this property?
This property features: Mixed‑use property with 2 commercial storefronts and 2 residential units; Additional vacant land with a privately fenced lot and alley access for parking, tenant amenities, or future development; Lot dimensions listed as 20,100 (buyer to verify all information)
