Flex Building with Retail
New
For Sale
$750,000
3100 S Rochester Rd, Rochester Hills, MI 48307
Owner-user property combining customer-facing commercial space with attached warehouse functionality on Rochester Road.
Property Size2,885 SF
Days on Market2
Property Features for 3100 S Rochester Rd
General Information
Standard status
Active
Size
2,885 SF
Property subtype
Retail
Building Details
Building Size
2,885 SF
Year Built
1948
Listing Agency:
Thomas A. Duke Company
(248) 479-0126
Listed By:
Dave Tesch
Source:
Thomasduke
Added: Aug 21
Changed: Aug 22
Last Checked: Aug 22 at 5:08AM
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 Thomas A. Duke Company
Investment Insights
Based on property information with market context.
This flex property contains 2,885± square feet in a combined retail and warehouse configuration. Approximately 1,535 square feet is arranged for retail or showroom use, while the attached 1,350-square-foot warehouse provides dedicated storage or operational space. The building was constructed in 1948 and occupies a 0.30-acre site.
Located at 3100 S Rochester Rd in Rochester Hills, the property benefits from frontage along Rochester Road and reported exposure to more than 32,000 vehicles daily. The nearby Rochester Road and M-59 interchange provides access to M-59. A pool and spa retailer currently occupies the building under a one-year lease scheduled to expire on 01/01/2027. The layout supports retail, showroom, contractor, service, specialty trade, and distribution operations.
Located at 3100 S Rochester Rd in Rochester Hills, the property benefits from frontage along Rochester Road and reported exposure to more than 32,000 vehicles daily. The nearby Rochester Road and M-59 interchange provides access to M-59. A pool and spa retailer currently occupies the building under a one-year lease scheduled to expire on 01/01/2027. The layout supports retail, showroom, contractor, service, specialty trade, and distribution operations.
Key Highlights
- 2,885± SF flex building with retail/showroom and warehouse areas
- Approximately 1,535 SF of retail/showroom space
- Attached 1,350‑square‑foot warehouse/storage area
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
$31,044
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
4.14%
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%
$620,880
$620.9K
Cap Rate 7%
$443,486
$443.5K
Cap Rate 9%
$344,933
$344.9K
Market Conditions
NOI Build-Up for 2,885 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
$48.5K $16.80/SF
− Vacancy
−$4.1K −$1.43/SF
EGI
$44.3K $15.37/SF
− OpEx
−$13.3K −$4.61/SF
NOI
$31.0K $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%
$620,880
Cap Rate 7%
$443,486
Cap Rate 9%
$344,933
Alternative Uses
Best Use
Retail
$443.5K
$388.1K – $517.4K
NOI $31,044 @ 7.0% cap · market cap 4.14%
Second Best
Flex RnD
$426.3K
$373.0K – $497.3K
NOI $29,839 @ 7.0% cap · market cap 3.98%
Theoretical Best
Specialty Retail
$622.3K
$544.5K – $726.0K
NOI $43,559 @ 7.0% cap · market cap 5.81%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
955
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48307, MI
44,673
Population
19,493
Households
2.3
Avg Household Size
39
Median Age
58%
College-Educated
96%
High-School Grad
15.2 sq mi
ZIP Area
2,939
Density / Sq Mi
$105,118
Median Household Income
$61,528
Median Earnings
$1,499
Median Rent
$329,400
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- National Coney Island — 2789 S Rochester Rd Space 25, Rochester Hills, MI 48307
Frequently Asked Questions
What type of property is this?
Flex space - Owner-user property combining customer-facing commercial space with attached warehouse functionality on Rochester Road.
Where is this flex space located?
The property is located at 3100 S Rochester Rd Rochester Hills, MI.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: 2,885± SF flex building with retail/showroom and warehouse areas; Approximately 1,535 SF of retail/showroom space; Attached 1,350‑square‑foot warehouse/storage area
