Commercial Land with Existing
New
For Sale
$240,000
440 S Ortonville Road, Ortonville, MI 48462
Commercial-zoned acreage includes a multi-parcel site with existing buildings requiring repair.
Property Size1,200 SF
Days on Market2
Property Features for 440 S Ortonville Road
General Information
Standard status
Active
Size
1,200 SF
Property subtype
Commercial
Zoning
Commercial
Taxes and HOA fees
Annual Taxes
$6,151
Building Details
Building Size
1,200 SF
Year Built
1950
Listing Agency:
MBA Real Estate Services
(248) 620-8660
Listed By:
Christopher Mersino · License #353012
Source:
Irishhillsfivestarhomes
Added: Aug 21
Changed: Aug 22
Last Checked: Aug 21 at 11:12AM
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 MBA Real Estate Services
Investment Insights
Based on property information with market context.
Located at 440 S Ortonville Road in Ortonville, Michigan, this commercial land offering encompasses three parcels totaling almost 6 acres. Approximately one acre is currently stabilized for use. Existing improvements include a two-unit commercial building and a single-family residence positioned immediately south of the commercial structure.
The property is zoned Commercial and fronts M-15. The structures require repair, and future ownership or use would require installation of an engineered septic field. Laundry facilities were never completed on site. The property was built in 1950, and the source information states that no contaminants, dyes, or detergents were ever present on the site.
The property is zoned Commercial and fronts M-15. The structures require repair, and future ownership or use would require installation of an engineered septic field. Laundry facilities were never completed on site. The property was built in 1950, and the source information states that no contaminants, dyes, or detergents were ever present on the site.
Key Highlights
- Three parcels totaling almost 6 acres
- Approximately one acre currently stabilized for use
- Commercial zoning with frontage on M‑15
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
$12,150
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
5.06%
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%
$243,000
$243.0K
Cap Rate 7%
$173,571
$173.6K
Cap Rate 9%
$135,000
$135.0K
Market Conditions
NOI Build-Up for 1,200 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
$21.6K $18.00/SF
− Vacancy
−$2.2K −$1.80/SF
EGI
$19.4K $16.20/SF
− OpEx
−$7.3K −$6.07/SF
NOI
$12.2K $10.13/SF
Area
Oakland County, MI
Vacancy
10.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
37.50%
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%
$243,000
Cap Rate 7%
$173,571
Cap Rate 9%
$135,000
Alternative Uses
Best Use
Mixed Use
$173.6K
$151.9K – $202.5K
NOI $12,150 @ 7.0% cap · market cap 5.06%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$258.8K
$226.5K – $302.0K
NOI $18,118 @ 7.0% cap · market cap 7.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
247
Businesses Nearby
Explore this area
Business Placement
Demographics for 48462, MI
13,080
Population
5,214
Households
2.5
Avg Household Size
45
Median Age
36%
College-Educated
96%
High-School Grad
45.4 sq mi
ZIP Area
288
Density / Sq Mi
$103,739
Median Household Income
$56,490
Median Earnings
$940
Median Rent
$318,100
Median Home Value
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Commercial land - Commercial-zoned acreage includes a multi-parcel site with existing buildings requiring repair.
Where is this commercial land located?
The property is located at 440 S Ortonville Road Ortonville, MI.
What is the asking price?
The asking price for this property is $240,000.
What are key features of this property?
This property features: Three parcels totaling almost 6 acres; Approximately one acre currently stabilized for use; Commercial zoning with frontage on M‑15
