Fort Gratiot Storefront
New
For Sale
$1,425,000
3040 Krafft Rd, Fort Gratiot, MI 48059
Established retail setting near major national retailers and Birchwood Mall in Michigan’s Blue Water region.
Property Size3,157 SF
Days on Market3
Property Features for 3040 Krafft Rd
General Information
Standard status
Active
Size
3,157 SF
Property subtype
Retail - Street Retail
Building Details
Building Size
3,157 SF
Year Built
2000
Year Renovated
2007
Listing Agency:
Encore Real Estate Investment Services
Listed By:
Brent Hanna · License #6501393688
(248) 702-0280
Source:
Commercialcafe
Added: Sep 21
Last Checked: Sep 22 at 1:33PM
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 Encore Real Estate Investment Services
Investment Insights
Based on property information with market context.
This storefront property at 3040 Krafft Rd in Fort Gratiot, Michigan, was built in 2000. The asset is positioned within a retail-oriented community that serves residents across the Blue Water region and northern St. Clair County.
Fort Gratiot’s commercial base includes Walmart, Meijer, Target, Home Depot, Lowe’s, Kohl’s, Best Buy, ALDI and Kroger, along with Birchwood Mall. The township is immediately north of Port Huron and benefits from access to the Blue Water Bridge, connecting the area with Ontario, Canada. A five-mile trade area includes approximately 38,600 residents, 15,900 households, $466 million in annual consumer spending and more than 17,500 daytime employees.
Fort Gratiot’s commercial base includes Walmart, Meijer, Target, Home Depot, Lowe’s, Kohl’s, Best Buy, ALDI and Kroger, along with Birchwood Mall. The township is immediately north of Port Huron and benefits from access to the Blue Water Bridge, connecting the area with Ontario, Canada. A five-mile trade area includes approximately 38,600 residents, 15,900 households, $466 million in annual consumer spending and more than 17,500 daytime employees.
Key Highlights
- Storefront property at 3040 Krafft Rd, Fort Gratiot, MI 48059
- Constructed in 2000
- Located near Birchwood Mall and major national retailers
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
$40,810
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
2.86%
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%
$816,200
$816.2K
Cap Rate 7%
$583,000
$583.0K
Cap Rate 9%
$453,444
$453.4K
Market Conditions
NOI Build-Up for 3,157 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
$59.9K $18.96/SF
− Vacancy
−$1.6K −$0.49/SF
EGI
$58.3K $18.47/SF
− OpEx
−$17.5K −$5.54/SF
NOI
$40.8K $12.93/SF
Area
St. Clair County, MI
Vacancy
2.60%
Lease Rate
$18.96 /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%
$816,200
Cap Rate 7%
$583,000
Cap Rate 9%
$453,444
Alternative Uses
Best Use
Retail
$583.0K
$510.1K – $680.2K
NOI $40,810 @ 7.0% cap · market cap 2.86%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$2.37M
$2.08M – $2.77M
NOI $166,133 @ 7.0% cap · market cap 11.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
701
Businesses Nearby
374k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 33%
Shops & Services 18%
Home Improvements & Furnishings 16%
Groceries 14%
T.J. Maxx
Apparel
44,092 visits/mo
0.1 miles
Kroger
Groceries
35,569 visits/mo
0.3 miles
The Home Depot
Home Improvements & Furnishings
26,196 visits/mo
0.2 miles
Lowe's
Home Improvements & Furnishings
23,932 visits/mo
0.4 miles
Texas Roadhouse
Dining
23,764 visits/mo
0.4 miles
Demographics for 48059, MI
15,319
Population
7,324
Households
2.1
Avg Household Size
47
Median Age
30%
College-Educated
94%
High-School Grad
31.7 sq mi
ZIP Area
483
Density / Sq Mi
$78,841
Median Household Income
$44,716
Median Earnings
$956
Median Rent
$199,200
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Frequently Asked Questions
What type of property is this?
Storefront property - Established retail setting near major national retailers and Birchwood Mall in Michigan’s Blue Water region.
Where is this storefront property located?
The property is located at 3040 Krafft Rd Fort Gratiot, MI.
What is the asking price?
The asking price for this property is $1,425,000.
What are key features of this property?
This property features: Storefront property at 3040 Krafft Rd, Fort Gratiot, MI 48059; Constructed in 2000; Located near Birchwood Mall and major national retailers
