Six-Bay Auto
For Sale
$599,000
27366 John R Road, Madison Heights, MI 48071
The B-3-zoned facility is configured for automotive servicing or retail use.
Property Size3,440 SF
Price / SF$174.13
Days on Market67
Property Features for 27366 John R Road
General Information
Standard status
Active
Size
3,440 SF
Property subtype
Retail
Zoning
B-3
Additional Details
Asking Price
$699,000
Service Bays
6
Amenities
high-visibility frontage
Building Details
Building Size
3,440 SF
Buildings
1
Listing Agency:
Altitude Commercial Real Estate
(248) 781-8076
Listed By:
George Abro · License #6502432561
Source:
Altitudecre
Added: Jun 25
Changed: Aug 29
Last Checked: Aug 29 at 10:29PM
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 Altitude Commercial Real Estate
Investment Insights
Based on property information with market context.
The 3,440 SF facility at 27366 John R Road is arranged for automotive servicing, with six bays and five hoists supporting vehicle repair operations. B-3 zoning also permits retail use, providing flexibility within the existing commercial configuration.
The property is in Madison Heights, MI, with reported population counts of over 16,000 residents within a 1-mile radius and over 342,000 residents within a 5-mile radius. The surrounding demographic has an average age of 39.8. Frontage is described as high visibility, placing the building in a setting designed to attract passing attention.
The property is in Madison Heights, MI, with reported population counts of over 16,000 residents within a 1-mile radius and over 342,000 residents within a 5-mile radius. The surrounding demographic has an average age of 39.8. Frontage is described as high visibility, placing the building in a setting designed to attract passing attention.
Key Highlights
- 3,440 SF automotive facility at 27366 John R Road
- Six service bays and five hoists
- B‑3 zoning supports automotive and retail use
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
$37,016
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
6.18%
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%
$740,320
$740.3K
Cap Rate 7%
$528,800
$528.8K
Cap Rate 9%
$411,289
$411.3K
Market Conditions
NOI Build-Up for 3,440 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
$57.8K $16.80/SF
− Vacancy
−$4.9K −$1.43/SF
EGI
$52.9K $15.37/SF
− OpEx
−$15.9K −$4.61/SF
NOI
$37.0K $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%
$740,320
Cap Rate 7%
$528,800
Cap Rate 9%
$411,289
Alternative Uses
Best Use
Retail
$528.8K
$462.7K – $616.9K
NOI $37,016 @ 7.0% cap · market cap 6.18%
Second Best
Industrial
$243.5K
$213.1K – $284.1K
NOI $17,044 @ 7.0% cap · market cap 2.85%
Theoretical Best
Specialty Retail
$742.0K
$649.2K – $865.6K
NOI $51,938 @ 7.0% cap · market cap 8.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Service bays
Location Intelligence
Trade Area within ½ mile
522
Businesses Nearby
22k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 55%
Dining 45%
7-Eleven
Shops & Services
7,240 visits/mo
0.5 miles
BIGGBY COFFEE
Dining
6,423 visits/mo
0.2 miles
Mobil
Shops & Services
4,747 visits/mo
0.2 miles
Jet's Pizza
Dining
2,247 visits/mo
0.2 miles
Cottage Inn Pizza
Dining
1,024 visits/mo
0.3 miles
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 Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Porter's Performance — 221 W Lincoln Ave, Madison Heights, MI 48071
- SPI Racing Wheels — 25835 John R Rd, Madison Heights, MI 48071
- Car Dealer ABC — 501 s minerva ave, royal oak, mi 48067
- A Glass Girl — 520 S Minerva Ave, Royal Oak, MI 48067
- Carson Automotive — 402 S Stephenson Hwy, Royal Oak, MI 48067
Frequently Asked Questions
What type of property is this?
Auto shop - The B-3-zoned facility is configured for automotive servicing or retail use.
Where is this auto shop located?
The property is located at 27366 John R Road Madison Heights, MI.
What is the asking price?
The asking price for this property is $599,000.
What are key features of this property?
This property features: 3,440 SF automotive facility at 27366 John R Road; Six service bays and five hoists; B‑3 zoning supports automotive and retail use
