Cottage-Style Retail
For Sale
$159,900
6894 LAKESHORE RD, Lexington, MI 48450
Corner commercial property with beach rights, flexible interior space, and updated building systems near Lexington.
Property Size1,100 SF
Price / SF$145.36
Days on Market10
Property Features for 6894 LAKESHORE RD
General Information
Standard status
Active
Size
1,100 SF
Property subtype
Industrial
Zoning
Commercial District
Site & Location
Corner Location
Yes
Utilities to Site
Yes
Amenities
beach rights
handicap accessible half bath
kitchenette
storage shed
Central Air, Ceiling Fan(s)
10093
Building Details
Year Built
9999
Construction
Cottage-style
Listing Agency:
Epique Inc.
(810) 712-1568
Listed By:
Michael Rickerman · License #6506045489
(810) 712-1568
Source:
Xome
Added: Aug 21
Changed: Aug 28
Last Checked: Aug 29 at 6:22AM
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 Inc.
Investment Insights
Based on property information with market context.
This cottage-style storefront occupies a corner parcel along Lakeshore Road (M-25), approximately 4 miles south of the Village of Lexington. The open-concept interior includes original knotty pine walls, a handicap-accessible half bath, and a kitchenette equipped with some appliances, including a refrigerator and stack washer/dryer combination. An 8x12 storage shed is also included.
Building improvements completed within the last 8-10 years include a natural gas forced-air furnace and central A/C installed in 2018, along with plumbing and electrical updates, replacement windows, and commercial-grade carpeting. City water, city sewer, and internet service are present. The property includes beach rights through the Great Lakes Beach #3 Association. Retail storefront, office/business, long-term rental, and short-term vacation rental uses are identified in the source information, with a Worth Township S.T.R. permit required for the latter and Commercial District allowance noted.
Building improvements completed within the last 8-10 years include a natural gas forced-air furnace and central A/C installed in 2018, along with plumbing and electrical updates, replacement windows, and commercial-grade carpeting. City water, city sewer, and internet service are present. The property includes beach rights through the Great Lakes Beach #3 Association. Retail storefront, office/business, long-term rental, and short-term vacation rental uses are identified in the source information, with a Worth Township S.T.R. permit required for the latter and Commercial District allowance noted.
Key Highlights
- Corner parcel on Lakeshore Road (M‑25), approximately 4 miles south of the Village of Lexington
- Beach rights included through Great Lakes Beach #3 Association
- Open‑concept interior with knotty pine walls, kitchenette, and handicap‑accessible half bath
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
$11,419
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
7.14%
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%
$228,380
$228.4K
Cap Rate 7%
$163,129
$163.1K
Cap Rate 9%
$126,878
$126.9K
Market Conditions
NOI Build-Up for 1,100 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
$17.0K $15.48/SF
− Vacancy
−$715 −$0.65/SF
EGI
$16.3K $14.83/SF
− OpEx
−$4.9K −$4.45/SF
NOI
$11.4K $10.38/SF
Area
Sanilac County, MI
Vacancy
4.20%
Lease Rate
$15.48 /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%
$228,380
Cap Rate 7%
$163,129
Cap Rate 9%
$126,878
Alternative Uses
Best Use
Retail
$163.1K
$142.7K – $190.3K
NOI $11,419 @ 7.0% cap · market cap 7.14%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$233.6K
$204.4K – $272.6K
NOI $16,353 @ 7.0% cap · market cap 10.23%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
50
Businesses Nearby
6k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 81%
Home Improvements & Furnishings 19%
Dollar General
Shops & Services
4,983 visits/mo
0.1 miles
Lakeside Building Supplies
Home Improvements & Furnishings
1,200 visits/mo
0.2 miles
Demographics for 48450, MI
4,199
Population
4,113
Households
1
Avg Household Size
55
Median Age
23%
College-Educated
95%
High-School Grad
21.9 sq mi
ZIP Area
192
Density / Sq Mi
$58,297
Median Household Income
$33,892
Median Earnings
$855
Median Rent
$200,900
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - Corner commercial property with beach rights, flexible interior space, and updated building systems near Lexington.
Where is this storefront property located?
The property is located at 6894 LAKESHORE RD Lexington, MI.
What is the asking price?
The asking price for this property is $159,900.
What are key features of this property?
This property features: Corner parcel on Lakeshore Road (M‑25), approximately 4 miles south of the Village of Lexington; Beach rights included through Great Lakes Beach #3 Association; Open‑concept interior with knotty pine walls, kitchenette, and handicap‑accessible half bath
