Mixed-Use Retail and Residential
For Sale
$364,900
585 SOUTHFIELD RD, Lincoln Park, MI 48146
Well-maintained mixed-use building with a leased tobacco shop and three residential units generating $49,200 annual income.
Property Size3,450 SF
Price / SF$105.77
Days on Market159
Property Features for 585 SOUTHFIELD RD
General Information
Standard status
Active
Size
3,450 SF
Property subtype
Industrial
Additional Details
Business Included
Yes
Multifamily Units
3
Amenities
3
30633063
Building Details
Year Built
19
Tenancy
Multi
Listing Agency:
Epique Realty
(313) 338-7652
Listed By:
Mohammed Almahdi
(313) 338-7652
Source:
Xome
Added: Mar 3
Changed: Aug 8
Last Checked: Aug 9 at 4:49AM
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 Epique Realty
Investment Insights
Based on property information with market context.
This well-maintained mixed-use building includes three residential rental units and a storefront that is currently leased to a tobacco shop, generating $49,200 in annual income. The upper residential units have been recently renovated with modern updates including new windows, updated kitchens and bathrooms, and split AC units.
The property also includes a balcony. Two of the units feature two bedrooms and one full bathroom, along with a spacious living room, dining room, and kitchen. The third unit offers one bedroom and one full bathroom, with a living room, dining room, and kitchen.
Overall, the building provides a mix of retail and residential income within a single asset.
The property also includes a balcony. Two of the units feature two bedrooms and one full bathroom, along with a spacious living room, dining room, and kitchen. The third unit offers one bedroom and one full bathroom, with a living room, dining room, and kitchen.
Overall, the building provides a mix of retail and residential income within a single asset.
Key Highlights
- Mixed‑use building with 3 residential rental units plus a storefront leased to a tobacco shop
- Currently generating $49,200 in annual income
- Two upper units have been recently renovated with new windows, updated kitchens and bathrooms, and split AC units
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
$32,689
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
8.96%
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%
$653,780
$653.8K
Cap Rate 7%
$466,986
$467.0K
Cap Rate 9%
$363,211
$363.2K
Market Conditions
NOI Build-Up for 3,450 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
$49.7K $14.40/SF
− Vacancy
−$3.0K −$0.86/SF
EGI
$46.7K $13.54/SF
− OpEx
−$14.0K −$4.06/SF
NOI
$32.7K $9.48/SF
Area
Wayne County, MI
Vacancy
6.00%
Lease Rate
$14.40 /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%
$653,780
Cap Rate 7%
$466,986
Cap Rate 9%
$363,211
Alternative Uses
Best Use
Multifamily LT 5
$483.9K
$423.4K – $564.5K
NOI $33,870 @ 7.0% cap · market cap 9.28%
Second Best
Retail
$467.0K
$408.6K – $544.8K
NOI $32,689 @ 7.0% cap · market cap 8.96%
Theoretical Best
Specialty Retail
$638.7K
$558.9K – $745.2K
NOI $44,712 @ 7.0% cap · market cap 12.25%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
3
Residential units
Multi-tenant
Tenancy
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
326
Businesses Nearby
Explore this area
Business Placement
Demographics for 48146, MI
40,245
Population
15,874
Households
2.5
Avg Household Size
37
Median Age
11%
College-Educated
81%
High-School Grad
5.8 sq mi
ZIP Area
6,939
Density / Sq Mi
$57,183
Median Household Income
$36,886
Median Earnings
$972
Median Rent
$117,400
Median Home Value
Market
Vacancy Rate% for Multifamily in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Triplex - Well-maintained mixed-use building with a leased tobacco shop and three residential units generating $49,200 annual income.
Where is this triplex located?
The property is located at 585 SOUTHFIELD RD Lincoln Park, MI.
What is the asking price?
The asking price for this property is $364,900.
What are key features of this property?
This property features: Mixed‑use building with 3 residential rental units plus a storefront leased to a tobacco shop; Currently generating $49,200 in annual income; Two upper units have been recently renovated with new windows, updated kitchens and bathrooms, and split AC units
