Remodeled Flex Space with
For Sale
$750,000
55951 Gratiot Avenue, New Baltimore, MI 48051
COM/IND/BUS OPP, Chesterfield Twp, MI
Property Size5,785 SF
Lot Size0.71 Acres
Price / SF$129.65
Days on Market229
Property Features for 55951 Gratiot Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Professional Office, Industrial
Parking features
Parking Lot
Subdivision
Chesterfield Twp (50009)
Standard status
Active
APN
15-09-04-402-001
Size
5,785 SF
Lot size
0.71 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
11849
Utilities
Heating system
Forced Air
Cooling system
Central Air
Water source
Public
Amenities
reception area
conference rooms
training room
private offices
kitchenette
LED lighting
handicap accessible bathroom
mezzanine storage
Building Details
Year built
1999
Listing Agency:
JD & Associates Realtors
(586) 273-2500
Listed By:
Janis DeGregory · License #6502373048
(586) 531-1023
Added: Jan 20
Changed: Sep 3
Last Checked: Sep 6 at 3:06AM
MLS# 50197906
Copyright © 2026 Multiple Listing Service MiRealSource. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 5,785-square-foot flex property combines a 3,480-square-foot office component with a 2,305-square-foot warehouse. The office layout includes a reception area, two conference rooms, a large training room, 12 private offices, a kitchenette, two bathrooms, and LED lighting. Central air serves the office area, while the warehouse has radiant heat, 24-foot ceilings, two 14-foot overhead doors, an accessible bathroom, and stair access to a mezzanine for additional storage.
Built in 1999 and remodeled in 2019, the property also has a new roof installed in 2025 with a warranty. M2 zoning supports its light industrial classification. A parking lot, public water, forced-air heating, and central air are included. Multiple month-to-month tenants currently provide income, with CAM charges covering trash pickup, lawn care, and snow removal.
Built in 1999 and remodeled in 2019, the property also has a new roof installed in 2025 with a warranty. M2 zoning supports its light industrial classification. A parking lot, public water, forced-air heating, and central air are included. Multiple month-to-month tenants currently provide income, with CAM charges covering trash pickup, lawn care, and snow removal.
Key Highlights
- 5,785 square feet total, including 3,480 square feet of office space and 2,305 square feet of warehouse area
- Office layout includes 12 private offices, two conference rooms, a training room, reception, kitchenette, and two bathrooms
- Warehouse features 24‑foot ceilings, two 14‑foot overhead doors, radiant heat, and mezzanine storage access
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
$65,705
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
8.76%
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%
$1,314,100
$1.3M
Cap Rate 7%
$938,643
$938.6K
Cap Rate 9%
$730,056
$730.1K
Market Conditions
NOI Build-Up for 5,785 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
$114.5K $19.80/SF
− Vacancy
−$13.5K −$2.33/SF
EGI
$101.1K $17.47/SF
− OpEx
−$35.4K −$6.12/SF
NOI
$65.7K $11.36/SF
Area
Macomb County, MI
Vacancy
11.75%
Lease Rate
$19.80 /SF/Yr
Expense Ratio
35.00%
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%
$1,314,100
Cap Rate 7%
$938,643
Cap Rate 9%
$730,056
Alternative Uses
Best Use
Flex RnD
$938.6K
$821.3K – $1.10M
NOI $65,705 @ 7.0% cap · market cap 8.76%
Second Best
Warehouse
$541.1K
$473.5K – $631.3K
NOI $37,878 @ 7.0% cap · market cap 5.05%
Theoretical Best
Specialty Retail
$1.08M
$947.7K – $1.26M
NOI $75,813 @ 7.0% cap · market cap 10.11%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
24 ft
Clear height
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
95
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48051, MI
17,718
Population
7,255
Households
2.4
Avg Household Size
40
Median Age
24%
College-Educated
91%
High-School Grad
14.2 sq mi
ZIP Area
1,248
Density / Sq Mi
$89,923
Median Household Income
$50,569
Median Earnings
$1,064
Median Rent
$247,500
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?
Flex space - M2-zoned flex property combines professional offices with a heated warehouse and month-to-month tenant occupancy.
Where is this flex space located?
The property is located at 55951 Gratiot Avenue New Baltimore, MI.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: 5,785 square feet total, including 3,480 square feet of office space and 2,305 square feet of warehouse area; Office layout includes 12 private offices, two conference rooms, a training room, reception, kitchenette, and two bathrooms; Warehouse features 24‑foot ceilings, two 14‑foot overhead doors, radiant heat, and mezzanine storage access
