Renovated Retail Center For
For Sale
Contact for pricing
Pending
37235-45 S Groesbeck Hwy, Clinton Twp, MI 48036
Fully renovated retail center with high occupancy and long-term investment potential.
Property Size14,000 SF
Days on Market295
Property Features for 37235-45 S Groesbeck Hwy
General Information
Standard status
Pending
Size
14,000 SF
Class
B
Total Parking Spaces
95
Property subtype
Retail
Zoning
General Commercial
Occupancy
80%
Lease Type
Gross
Investment Type
Value Add
Net Operating Income
$117,180
Building Details
Year Built
1976
Year Renovated
2025
Buildings
1
Stories
1
Units
6
Tenancy
Multi
Listing Agency:
Premier Property Services
(313) 806-1303
Listed By:
James Bufalino · License #MI 6505382114
Source:
Crexi
Added: Oct 21, 2025
Changed: Aug 10
Last Checked: Aug 8 at 10:12AM
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 Premier Property Services
Investment Insights
Based on property information with market context.
The property at 37235 S Groesbeck Hwy, built in 1973, is a retail center that has been renovated to modern standards. The \u00b114,000 SF retail center had served the local community for decades. Following acquisition in August 2022, a comprehensive renovation strategy was implemented, including full exterior improvements such as a new fa\u00e7ade, signage, lighting, paint, mailboxes, and partial roof repair. Interior renovations covered each vacant unit with custom flooring, drywall, new doors and hardware, toilets, vanities, plumbing, electrical, ductwork cleaning, and HVAC certifications. City Certifications, Fire Department approvals, and Certificates of Occupancy were secured for each unit. The property was repositioned with pandemic-resilient, essential-service businesses. By January 2023, the property was 90% occupied. Restaurant fixtures in units 37327 and 37241 are owned by the landlord. The long-term vision is to hold the property within an investment portfolio, with consistent cash flow and appreciation driven by strategic leasing and capital improvements. It is anchored by essential service businesses such as a Thai restaurant, pizzeria, banquet center, multimedia company, furniture repair, and medical bi ling. The remaining vacancy is slated for conversion into a coin laundry. A long-term debt structure is planned to optimize cash flow by aligning monthly mortgage payments with stabilized rental income.
Key Highlights
- 90% occupancy achieved through strategic leasing to pandemic‑resilient, essential‑service businesses.
- Significant rental upside potential, with current leases at $12/SF/YR compared to market rates of $14–$24/SF/YR in the area.
- Comprehensive renovation completed to modern standards, including exterior improvements and interior renovations for each unit.
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
$103,488
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
8.81%
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%
$2,069,760
$2.1M
Cap Rate 7%
$1,478,400
$1.5M
Cap Rate 9%
$1,149,867
$1.1M
Market Conditions
NOI Build-Up for 14,000 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
$168.0K $12.00/SF
− Vacancy
−$20.2K −$1.44/SF
EGI
$147.8K $10.56/SF
− OpEx
−$44.4K −$3.17/SF
NOI
$103.5K $7.39/SF
Area
Macomb County, MI
Vacancy
12.00%
Lease Rate
$12.00 /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%
$2,069,760
Cap Rate 7%
$1,478,400
Cap Rate 9%
$1,149,867
Alternative Uses
Best Use
Retail
$1.48M
$1.29M – $1.72M
NOI $103,488 @ 7.0% cap · market cap 8.81%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$2.62M
$2.29M – $3.06M
NOI $183,472 @ 7.0% cap · market cap 15.61%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
269
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
0.3 miles
White Castle
Dining
11,664 visits/mo
0.3 miles
7-Eleven
Shops & Services
10,003 visits/mo
0.0 miles
Arby's
Dining
5,310 visits/mo
0.4 miles
Shell
Shops & Services
4,030 visits/mo
0.5 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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Similar Off Market Nearby
- Parkway Plaza — S Groesbeck Hwy, Clinton Twp, MI 48036
Frequently Asked Questions
What type of property is this?
Shopping center - Fully renovated retail center with high occupancy and long-term investment potential.
Where is this shopping center located?
The property is located at 37235-45 S Groesbeck Hwy Clinton Twp, MI.
What is the asking price?
The asking price for this property is $1,175,000.
What are key features of this property?
This property features: 90% occupancy achieved through strategic leasing to pandemic‑resilient, essential‑service businesses.; Significant rental upside potential, with current leases at $12/SF/YR compared to market rates of $14–$24/SF/YR in the area.; Comprehensive renovation completed to modern standards, including exterior improvements and interior renovations for each unit.
