Turnkey Restaurant with Redevelopment
For Sale
Contact for pricing
37116 S Groesbeck Highway, Clinton Township, MI 48036
Fully operational restaurant on a sizable lot with ample parking and OS-1 Office/Service flexibility for future concepts.
Property Size3,693 SF
Lot Size0.73 Acres
Price / SF$211.21
Days on Market114
Property Features for 37116 S Groesbeck Highway
General Information
Standard status
Active
Size
3,693 SF
Lot size
0.73 Acres
Property subtype
Business for Sale, Retail, Office
Zoning
OS-1
Additional Details
Business Included
Yes
Building Details
Year Built
1972
Listing Agency:
Diplomat Realty
(586) 453-3533
Listed By:
Nicholas Sinishtaj · License #414648
Source:
Crexi
Added: Apr 29
Changed: Aug 14
Last Checked: Aug 20 at 1:50PM
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 Diplomat Realty
Investment Insights
Based on property information with market context.
This property is a fully operational, turnkey restaurant offering 3,693 square feet of space designed to support ongoing restaurant operations. The existing layout can also support related service uses such as catering or banquet-style events, giving an operator multiple ways to run the business from day one. The site is set on a 0.73-acre lot with ample on-site parking, and the grounds provide room for outdoor seating and potential expansion or redevelopment.
Located along the high-traffic Groesbeck corridor in Clinton Township, the property benefits from strong day-to-day visibility associated with a major commuting route. The combination of a dedicated restaurant facility, on-site parking, and the site’s size positions it well for both continued food service operations and alternative commercial uses.
The property is zoned OS-1 Office/Service Low-Rise District, which supports a broad range of potential tenant or user applications. In addition to restaurant or carry-out use, the zoning accommodates concepts such as catering hall, medical or professional office, and retail, along with other service and mixed-use options consistent with OS-1. For a buyer or owner-user, it offers immediate restaurant continuity while also providing flexibility for a future change of use if desired.
Located along the high-traffic Groesbeck corridor in Clinton Township, the property benefits from strong day-to-day visibility associated with a major commuting route. The combination of a dedicated restaurant facility, on-site parking, and the site’s size positions it well for both continued food service operations and alternative commercial uses.
The property is zoned OS-1 Office/Service Low-Rise District, which supports a broad range of potential tenant or user applications. In addition to restaurant or carry-out use, the zoning accommodates concepts such as catering hall, medical or professional office, and retail, along with other service and mixed-use options consistent with OS-1. For a buyer or owner-user, it offers immediate restaurant continuity while also providing flexibility for a future change of use if desired.
Key Highlights
- Zorba’s Family Restaurant is fully operational with a built‑in customer base.
- 3,693 SF restaurant on a 0.73‑acre lot with ample on‑site parking.
- Year built: 1972.
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
$48,397
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
6.20%
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%
$967,940
$967.9K
Cap Rate 7%
$691,386
$691.4K
Cap Rate 9%
$537,744
$537.7K
Market Conditions
NOI Build-Up for 3,693 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
$73.1K $19.80/SF
− Vacancy
−$8.6K −$2.33/SF
EGI
$64.5K $17.47/SF
− OpEx
−$16.1K −$4.37/SF
NOI
$48.4K $13.11/SF
Area
Macomb County, MI
Vacancy
11.75%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
25.00%
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%
$967,940
Cap Rate 7%
$691,386
Cap Rate 9%
$537,744
Alternative Uses
Best Use
Specialty Retail
$691.4K
$605.0K – $806.6K
NOI $48,397 @ 7.0% cap · market cap 6.20%
Second Best
—
—
no second resolved use
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
277
Businesses Nearby
53k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 57%
Dining 43%
Sunoco
Shops & Services
12,738 visits/mo
0.2 miles
White Castle
Dining
11,664 visits/mo
0.2 miles
7-Eleven
Shops & Services
10,003 visits/mo
0.1 miles
Arby's
Dining
5,310 visits/mo
0.2 miles
Shell
Shops & Services
4,030 visits/mo
0.3 miles
Demographics for 48036, MI
22,517
Population
9,855
Households
2.3
Avg Household Size
41
Median Age
22%
College-Educated
93%
High-School Grad
8.3 sq mi
ZIP Area
2,713
Density / Sq Mi
$65,109
Median Household Income
$36,730
Median Earnings
$1,018
Median Rent
$201,000
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Fully operational restaurant on a sizable lot with ample parking and OS-1 Office/Service flexibility for future concepts.
Where is this conventional restaurant located?
The property is located at 37116 S Groesbeck Highway Clinton Township, MI.
What is the asking price?
The asking price for this property is $780,000.
What are key features of this property?
This property features: Zorba’s Family Restaurant is fully operational with a built‑in customer base.; 3,693 SF restaurant on a 0.73‑acre lot with ample on‑site parking.; Year built: 1972.
