Mound Road Commercial
For Sale
Contact for pricing
45700 Mound Rd, Shelby Township, MI 48317
17,086 SF building on 4.8 acres with development potential.
Property Size17,086 SF
Lot Size4.80 Acres
Price / SF$128.76
Days on Market729
Property Features for 45700 Mound Rd
General Information
Standard status
Active
Size
17,086 SF
Total Parking Spaces
117
Lot size
4.80 Acres
Property subtype
Industrial, Office, Retail
Zoning
C-2
Listing Agency:
Tabbi Real Estate
(248) 800-7111
Listed By:
Rick Tabbi · License #MI 6505432015
Source:
Crexi
Added: Aug 23, 2024
Changed: Aug 20
Last Checked: Aug 20 at 12:04PM
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 Tabbi Real Estate
Investment Insights
Based on property information with market context.
This 17,086 square foot building is situated on a 4.8-acre lot. The property is zoned C-4, General Business District, and features 520 feet of frontage on Mound Road. It offers three points of egress via Mound Road, Auburn Road, and West Utica. There are 117 parking spaces available, with room for additional parking on 1 acre. The building includes four overhead doors. The location provides great visibility with monument signage and high traffic counts of 18,924 vehicles per day. The large lot offers room for additional development. The property is located at M-59 and Mound.
Key Highlights
- 17,086 square foot building on 4.8 acres at M‑59 and Mound.
- Excellent location at M‑59 and Mound with 520' frontage on Mound Rd.
- 117 parking spaces** with room for additional parking on 1 acre.
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
$126,300
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
5.74%
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%
$2,526,000
$2.5M
Cap Rate 7%
$1,804,286
$1.8M
Cap Rate 9%
$1,403,333
$1.4M
Market Conditions
NOI Build-Up for 17,086 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
$205.0K $12.00/SF
− Vacancy
−$24.6K −$1.44/SF
EGI
$180.4K $10.56/SF
− OpEx
−$54.1K −$3.17/SF
NOI
$126.3K $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%
$2,526,000
Cap Rate 7%
$1,804,286
Cap Rate 9%
$1,403,333
Alternative Uses
Best Use
Mixed Use
$2.90M
$2.54M – $3.38M
NOI $202,982 @ 7.0% cap · market cap 9.23%
Second Best
Retail
$1.80M
$1.58M – $2.11M
NOI $126,300 @ 7.0% cap · market cap 5.74%
Theoretical Best
Specialty Retail
$3.20M
$2.80M – $3.73M
NOI $223,914 @ 7.0% cap · market cap 10.18%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
320
Businesses Nearby
Explore this area
Business Placement
Demographics for 48317, MI
27,864
Population
12,936
Households
2.2
Avg Household Size
39
Median Age
32%
College-Educated
90%
High-School Grad
12.0 sq mi
ZIP Area
2,322
Density / Sq Mi
$72,465
Median Household Income
$41,895
Median Earnings
$1,227
Median Rent
$248,700
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - 17,086 SF building on 4.8 acres with development potential.
Where is this mixed-use property located?
The property is located at 45700 Mound Rd Shelby Township, MI.
What is the asking price?
The asking price for this property is $2,200,000.
What are key features of this property?
This property features: 17,086 square foot building on 4.8 acres at M‑59 and Mound.; Excellent location at M‑59 and Mound with **520' frontage on Mound Rd.**; 117 parking spaces** with room for additional parking on 1 acre.
