Renovated Commercial Building, Prime
For Sale
$217,000
509 Elizabeth Lake Road, Waterford, MI 48328
Move-in ready commercial building in high-traffic area near redevelopment.
Property Size2,010 SF
Days on Market140
Property Features for 509 Elizabeth Lake Road
General Information
Standard status
Active
Size
2,010 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$2,127
Building Details
Building Size
2,010 SF
Year Built
1926
Listing Agency:
National Realty Centers, Inc
(248) 724-1234
Listed By:
Sergio Taylor
(248) 724-1234
Source:
Elliman
Added: Apr 3
Changed: Aug 8
Last Checked: Aug 8 at 12:56PM
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 National Realty Centers, Inc
Investment Insights
Based on property information with market context.
This renovated commercial building is situated on Elizabeth Lake Road, west of Telegraph, directly across from the former Summit Place Mall redevelopment site. The property benefits from excellent visibility and high traffic. The updated interior includes a finished basement suitable for additional office or storage space. It is located within one mile of Oakland Schools and the Oakland County Courthouse. The location is described as a growing corridor with ongoing redevelopment nearby. The property is ideal for small retail, hair salon, law office, counseling center, medical, or professional use.
Key Highlights
- Prime location on busy Elizabeth Lake Rd. with excellent visibility and high traffic.
- Move‑in ready, just renovated commercial building.
- Located directly across from the former Summit Place Mall redevelopment site.
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
$6,919
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
3.19%
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%
$138,380
$138.4K
Cap Rate 7%
$98,843
$98.8K
Cap Rate 9%
$76,878
$76.9K
Market Conditions
NOI Build-Up for 2,010 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
$12.1K $6.00/SF
− Vacancy
−$2.8K −$1.41/SF
EGI
$9.2K $4.59/SF
− OpEx
−$2.3K −$1.15/SF
NOI
$6.9K $3.44/SF
Area
Oakland County, MI
Vacancy
23.50%
Lease Rate
$6.00 /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%
$138,380
Cap Rate 7%
$98,843
Cap Rate 9%
$76,878
Alternative Uses
Best Use
Office B
$98.8K
$86.5K – $115.3K
NOI $6,919 @ 7.0% cap · market cap 3.19%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$433.5K
$379.4K – $505.8K
NOI $30,348 @ 7.0% cap · market cap 13.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
618
Businesses Nearby
Explore this area
Business Placement
Demographics for 48328, MI
24,178
Population
11,938
Households
2
Avg Household Size
43
Median Age
27%
College-Educated
93%
High-School Grad
8.9 sq mi
ZIP Area
2,717
Density / Sq Mi
$69,788
Median Household Income
$42,084
Median Earnings
$1,041
Median Rent
$210,800
Median Home Value
Market
Vacancy Rate% for Office in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Move-in ready commercial building in high-traffic area near redevelopment.
Where is this office building located?
The property is located at 509 Elizabeth Lake Road Waterford, MI.
What is the asking price?
The asking price for this property is $217,000.
What are key features of this property?
This property features: Prime location on busy Elizabeth Lake Rd. with excellent visibility and high traffic.; Move‑in ready, just renovated commercial building.; Located directly across from the former Summit Place Mall redevelopment site.
