Retail Office Building with
For Sale
$425,000
26201 Dequindre Road, Madison Heights, MI 48071
Well-maintained retail and office building with updated interiors, gated rear parking, and basement storage.
Property Size2,660 SF
Lot Size0.27 Acres
Days on Market43
Property Features for 26201 Dequindre Road
General Information
Standard status
Active
Size
2,660 SF
Lot size
0.27 Acres
Property subtype
Commercial
Zoning
B-3
Site & Location
Traffic Count
15,000 vehicles/day
Highway Access
Yes
Additional Details
Clear Height
16 ft
Multifamily Units
2
Building Details
Building Size
2,660 SF
Year Built
1989
Listing Agency:
Pilot Property Group - Residential LLC
(586) 873-5419
Listed By:
Anthony U Rubino · License #6502425251
Source:
Buyatthelake
Added: Jul 13
Changed: Aug 24
Last Checked: Aug 23 at 9:45AM
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 - Residential LLC
Investment Insights
Based on property information with market context.
This well-maintained retail/office property offers a ready-to-use interior environment with updated exterior finish, new paint, energy-efficient LED lighting, and epoxy showroom floors. The building features a 16-foot ceiling height, a gated rear parking area, and additional basement storage of approximately 900 SF to support day-to-day operations and inventory.
Located just south of 11 Mile Road along a busy corridor with 15,000 vehicles per day, the site provides 50 feet of frontage on Dequindre and straightforward connectivity to I-696 and major regional thoroughfares.
Set on a 0.27-acre parcel in a B-3 zoning district, the property includes rooftop utilities and two accompanying residential units, adding versatility to the overall setup for an owner-occupier or investor.
Located just south of 11 Mile Road along a busy corridor with 15,000 vehicles per day, the site provides 50 feet of frontage on Dequindre and straightforward connectivity to I-696 and major regional thoroughfares.
Set on a 0.27-acre parcel in a B-3 zoning district, the property includes rooftop utilities and two accompanying residential units, adding versatility to the overall setup for an owner-occupier or investor.
Key Highlights
- Retail/office building built in 1989 on a 0.27‑acre parcel in a B‑3 zoning district
- 50 ft of frontage on Dequindre along a corridor with 15,000 vehicles per day; easy access to I‑696 and regional thoroughfares
- Updated interior with new paint, energy‑efficient LED lighting, and epoxy showroom floors
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
$28,623
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
6.73%
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%
$572,460
$572.5K
Cap Rate 7%
$408,900
$408.9K
Cap Rate 9%
$318,033
$318.0K
Market Conditions
NOI Build-Up for 2,660 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
$44.7K $16.80/SF
− Vacancy
−$3.8K −$1.43/SF
EGI
$40.9K $15.37/SF
− OpEx
−$12.3K −$4.61/SF
NOI
$28.6K $10.76/SF
Area
Oakland County, MI
Vacancy
8.50%
Lease Rate
$16.80 /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%
$572,460
Cap Rate 7%
$408,900
Cap Rate 9%
$318,033
Alternative Uses
Best Use
Retail
$408.9K
$357.8K – $477.1K
NOI $28,623 @ 7.0% cap · market cap 6.73%
Second Best
Office B
$130.8K
$114.5K – $152.6K
NOI $9,157 @ 7.0% cap · market cap 2.15%
Theoretical Best
Specialty Retail
$573.7K
$502.0K – $669.4K
NOI $40,162 @ 7.0% cap · market cap 9.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
16 ft
Clear height
2
Residential units
15,000 VPD
Traffic count
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
717
Businesses Nearby
Explore this area
Business Placement
Demographics for 48071, MI
28,468
Population
14,690
Households
1.9
Avg Household Size
39
Median Age
32%
College-Educated
89%
High-School Grad
7.1 sq mi
ZIP Area
4,010
Density / Sq Mi
$66,726
Median Household Income
$49,151
Median Earnings
$1,138
Median Rent
$190,300
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?
Retail space - Well-maintained retail and office building with updated interiors, gated rear parking, and basement storage.
Where is this retail space located?
The property is located at 26201 Dequindre Road Madison Heights, MI.
What is the asking price?
The asking price for this property is $425,000.
What are key features of this property?
This property features: Retail/office building built in 1989 on a 0.27‑acre parcel in a B‑3 zoning district; 50 ft of frontage on Dequindre along a corridor with 15,000 vehicles per day; easy access to I‑696 and regional thoroughfares; Updated interior with new paint, energy‑efficient LED lighting, and epoxy showroom floors
