Sterling Heights Medical Office
For Sale
$600,000
43205 Schoenherr Rd, Sterling Heights, MI 48313
2,500 SF medical office with national tenant for sale.
Property Size2,694 SF
Lot Size0.27 Acres
Price / SF$240
Days on Market153
Property Features for 43205 Schoenherr Rd
General Information
Standard status
Active
Size
2,694 SF
Lot size
0.27 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$8,161
Building Details
Building Size
2,694 SF
Year Built
2006
Listing Agency:
Max Broock, REALTORS®-Troy
(248) 214-3727
Listed By:
Jessica Gaul · License #6501416206
(248) 214-3727
Source:
Elliman
Added: Mar 10
Changed: Aug 8
Last Checked: Aug 8 at 4:36AM
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 Max Broock, REALTORS®-Troy
Investment Insights
Based on property information with market context.
This 2,500 square foot dental medical office asset is located in Sterling Heights. The property features a strong national tenant on a net lease. The current rent is just over fifty two thousand per year, with two percent annual increases. The lease term is in place through May 2028. The property is highly visible along the Schoenherr Road corridor and provides quick access to Hall Road M 59 and the city’s Golden Corridor retail and medical hub. It features a clean, professional build out and on-site surface parking. This is a simple, low-management income stream in a high-demand suburb. It is an ideal fit for 1031 buyers and investors seeking stable cash flow.
Key Highlights
- Strong national tenant on a net lease provides stable cash flow.
- Current rent is just over $52,000 per year with 2% annual increases.
- Term in place through May 2028.
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
$31,464
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
5.24%
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%
$629,280
$629.3K
Cap Rate 7%
$449,486
$449.5K
Cap Rate 9%
$349,600
$349.6K
Market Conditions
NOI Build-Up for 2,500 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
$57.0K $22.80/SF
− Vacancy
−$4.6K −$1.82/SF
EGI
$52.4K $20.98/SF
− OpEx
−$21.0K −$8.39/SF
NOI
$31.5K $12.59/SF
Area
Sterling Heights, MI
Vacancy
8.00%
Lease Rate
$22.80 /SF/Yr
Expense Ratio
40.00%
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%
$629,280
Cap Rate 7%
$449,486
Cap Rate 9%
$349,600
Alternative Uses
Best Use
Healthcare Medical
$449.5K
$393.3K – $524.4K
NOI $31,464 @ 7.0% cap · market cap 5.24%
Second Best
Office B
$412.5K
$360.9K – $481.3K
NOI $28,875 @ 7.0% cap · market cap 4.81%
Theoretical Best
Office A
$551.5K
$482.6K – $643.4K
NOI $38,606 @ 7.0% cap · market cap 6.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
81
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48313, MI
34,169
Population
14,288
Households
2.4
Avg Household Size
43
Median Age
32%
College-Educated
92%
High-School Grad
8.7 sq mi
ZIP Area
3,927
Density / Sq Mi
$87,292
Median Household Income
$47,668
Median Earnings
$1,152
Median Rent
$248,800
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Dalcoma Specialty Pharmacy & Compounding Services — 43337 Schoenherr Rd, Sterling Heights, MI 48313
Frequently Asked Questions
What type of property is this?
Medical Office Space - 2,500 SF medical office with national tenant for sale.
Where is this medical office space located?
The property is located at 43205 Schoenherr Rd Sterling Heights, MI.
What is the asking price?
The asking price for this property is $600,000.
What are key features of this property?
This property features: Strong national tenant on a net lease provides stable cash flow.; Current rent is just over $52,000 per year with 2% annual increases.; Term in place through May 2028.
