Showroom Flex Building with Shop
For Sale
$1,995,000
5665 Auburn Rd Shelby, Utica, MI 48317
Versatile commercial building combines customer-facing showroom space with a rear shop and on-site signage.
Property Size11,780 SF
Lot Size1.38 Acres
Price / SF$169.35
Days on Market192
Property Features for 5665 Auburn Rd Shelby
General Information
Standard status
Active
Size
11,780 SF
Lot size
1.38 Acres
Property subtype
Industrial
Warehouse & Industrial
Clear Height
20 ft
Office Build-Out
8,000 SF
Additional Details
Road Access
Yes
Amenities
monument signs
building signage
Building Details
Building Size
11,780 SF
Year Built
1954
Properties For Sale
at 5665 Auburn Rd Shelby Contact us- Size
- 11,780 SF
- Lease Type
- NNN
5665 Auburn Rd
Listing Agency:
P.A. Commercial Corporate & Investment Real Estate
(248) 358-0100
Listed By:
Phil Myers
(248) 358-0100
Source:
Thebrokerlist
Added: Feb 18
Changed: Aug 29
Last Checked: Aug 29 at 7:22PM
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 P.A. Commercial Corporate & Investment Real Estate
Investment Insights
Based on property information with market context.
This flex property offers 11,780 square feet across an 8,000-square-foot showroom and office component and a 3,780-square-foot shop area. The shop includes 20-foot ceiling height and a rear overhead door, while two monument signs and building signage support property identification from the road. Built in 1954, the building occupies a 1.38-acre site with room for expansion.
The property is positioned on the northeast side of Auburn Rd, just north of M-59/Hall Road, in Shelby Township, Michigan. Its configuration brings together showroom, office, and shop functions within one commercial facility, providing a practical layout for businesses requiring both customer-facing space and service or storage capacity.
The property is positioned on the northeast side of Auburn Rd, just north of M-59/Hall Road, in Shelby Township, Michigan. Its configuration brings together showroom, office, and shop functions within one commercial facility, providing a practical layout for businesses requiring both customer-facing space and service or storage capacity.
Key Highlights
- 11,780 SF flex building with 8,000 SF showroom/office and 3,780 SF shop
- 20' ceiling height and rear overhead door in the shop area
- 1.38‑acre site with room for expansion
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
$133,795
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
6.71%
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%
$2,675,900
$2.7M
Cap Rate 7%
$1,911,357
$1.9M
Cap Rate 9%
$1,486,611
$1.5M
Market Conditions
NOI Build-Up for 11,780 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
$233.2K $19.80/SF
− Vacancy
−$27.4K −$2.33/SF
EGI
$205.8K $17.47/SF
− OpEx
−$72.0K −$6.12/SF
NOI
$133.8K $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%
$2,675,900
Cap Rate 7%
$1,911,357
Cap Rate 9%
$1,486,611
Alternative Uses
Best Use
Flex RnD
$1.91M
$1.67M – $2.23M
NOI $133,795 @ 7.0% cap · market cap 6.71%
Second Best
Retail
$1.24M
$1.09M – $1.45M
NOI $87,078 @ 7.0% cap · market cap 4.36%
Theoretical Best
Specialty Retail
$2.21M
$1.93M – $2.57M
NOI $154,378 @ 7.0% cap · market cap 7.74%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
20 ft
Clear height
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
236
Businesses Nearby
Under-served
Demand for This Use
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
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Flex space - Versatile commercial building combines customer-facing showroom space with a rear shop and on-site signage.
Where is this flex space located?
The property is located at 5665 Auburn Rd Shelby Utica, MI.
What is the asking price?
The asking price for this property is $1,995,000.
What are key features of this property?
This property features: 11,780 SF flex building with 8,000 SF showroom/office and 3,780 SF shop; 20' ceiling height and rear overhead door in the shop area; 1.38‑acre site with room for expansion
