Single-Tenant Flex
For Sale
$254,900
35 Wells Street, Croswell, MI 48422
Solid block commercial building with adaptable rooms, open work area, dedicated electrical service, HVAC, and a new three-year lease.
Property Size4,000 SF
Price / SF$63.73
Days on Market288
Property Features for 35 Wells Street
General Information
Standard status
Active
Size
4,000 SF
Property subtype
Commercial
Zoning
Commercial
Lease Term
Cash, Contract, Conventional
Taxes and HOA fees
Annual Taxes
$1,609
Building Details
Building Size
4,000 SF
Listing Agency:
Realty Executives Home Towne
(586) 615-0101
Listed By:
Maurice Khalifa · License #6502376505
(586) 615-0101
Source:
Sabudarealty
Added: Nov 4, 2025
Changed: Aug 19
Last Checked: Aug 19 at 2:22AM
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 Realty Executives Home Towne
Investment Insights
Based on property information with market context.
This single-tenant flex property includes an approximately 4,000-square-foot solid block building arranged with three finished rooms and an approximately 40-by-35-foot open area. The layout supports a range of commercial functions, while existing equipment, three 200-amp electrical panels, two five-ton mini-split HVAC units, and one standard five-ton air-conditioning unit remain in place.
Located at 35 Wells Street in Croswell, Michigan, the property is zoned Commercial and is subject to a new three-year lease. The tenant handles utilities, lawn maintenance, and snow removal; the landlord is responsible for property taxes and building insurance. The offering reports a 12.01% capitalization rate and provides a single-occupant configuration with limited stated landlord operating duties.
Located at 35 Wells Street in Croswell, Michigan, the property is zoned Commercial and is subject to a new three-year lease. The tenant handles utilities, lawn maintenance, and snow removal; the landlord is responsible for property taxes and building insurance. The offering reports a 12.01% capitalization rate and provides a single-occupant configuration with limited stated landlord operating duties.
Key Highlights
- Approximately 4,000‑square‑foot solid block building
- New three‑year lease with a single tenant
- Three built‑out rooms plus an approximately 40‑by‑35‑foot open 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
$21,386
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
8.39%
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%
$427,720
$427.7K
Cap Rate 7%
$305,514
$305.5K
Cap Rate 9%
$237,622
$237.6K
Market Conditions
NOI Build-Up for 4,000 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
$32.2K $8.04/SF
− Vacancy
−$1.6K −$0.40/SF
EGI
$30.6K $7.64/SF
− OpEx
−$9.2K −$2.29/SF
NOI
$21.4K $5.35/SF
Area
Sanilac County, MI
Vacancy
5.00%
Lease Rate
$8.04 /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%
$427,720
Cap Rate 7%
$305,514
Cap Rate 9%
$237,622
Alternative Uses
Best Use
Flex RnD
$615.1K
$538.2K – $717.6K
NOI $43,056 @ 7.0% cap · market cap 16.89%
Second Best
Warehouse
$371.0K
$324.6K – $432.8K
NOI $25,969 @ 7.0% cap · market cap 10.19%
Theoretical Best
Office A
$849.5K
$743.3K – $991.1K
NOI $59,466 @ 7.0% cap · market cap 23.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
201
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48422, MI
6,130
Population
2,875
Households
2.1
Avg Household Size
43
Median Age
14%
College-Educated
89%
High-School Grad
95.2 sq mi
ZIP Area
64
Density / Sq Mi
$57,078
Median Household Income
$33,312
Median Earnings
$807
Median Rent
$162,000
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Flex space - Solid block commercial building with adaptable rooms, open work area, dedicated electrical service, HVAC, and a new three-year lease.
Where is this flex space located?
The property is located at 35 Wells Street Croswell, MI.
What is the asking price?
The asking price for this property is $254,900.
What are key features of this property?
This property features: Approximately 4,000‑square‑foot solid block building; New three‑year lease with a single tenant; Three built‑out rooms plus an approximately 40‑by‑35‑foot open area
