Cottage-Style Retail
New
For Sale
$159,900
6894 Lakeshore Road, Lexington, MI 48450
COM/IND/BUS OPP, Lexington, MI
Property Size1,100 SF
Lot Size0.21 Acres
Price / SF$145.36
Days on Market1
Property Features for 6894 Lakeshore Road
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Commercial
Subdivision
Great Lakes Beach #3
Lot features
Main Street
Standard status
Active
APN
261-303-004-182-00
Size
1,100 SF
Lot size
0.21 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
2651
Utilities
Heating system
Forced Air
Cooling system
Central Air, Ceiling Fan(s)
Water source
Public
Amenities
beach rights
storage shed
Listing Agency:
Epique Inc.
(248) 218-2604
Listed By:
Michael Rickerman · License #6506045489
(810) 712-1568
Added: Aug 24
Last Checked: Aug 24 at 6:06PM
MLS# 50219547
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 1,100-square-foot storefront occupies a corner parcel and features a cottage-style exterior with an open interior plan. Original knotty pine walls, commercial-grade carpeting, a kitchenette with select appliances, and a handicap-accessible half bath are included. A stackable washer and dryer, refrigerator, 8-by-12 storage shed, central air, and ceiling fans add to the existing improvements. Natural gas forced-air heating, plumbing and electrical upgrades, and replacement windows were completed within the last 8–10 years; the furnace and central air conditioning date to 2018. City water, city sewer, and internet service are available.
The property fronts Lakeshore Road, also designated M-25, approximately 4 miles south of the Village of Lexington. Nearby shopping and access to Great Lakes Beach #3 Association beach rights are part of the offering. The commercial district allows short-term rentals with a proper Worth Township S.T.R. permit, while the interior can accommodate storefront, office, or business use as described.
The property fronts Lakeshore Road, also designated M-25, approximately 4 miles south of the Village of Lexington. Nearby shopping and access to Great Lakes Beach #3 Association beach rights are part of the offering. The commercial district allows short-term rentals with a proper Worth Township S.T.R. permit, while the interior can accommodate storefront, office, or business use as described.
Key Highlights
- 1,100‑square‑foot storefront on a 0.21‑acre corner parcel
- Lakeshore Road frontage along M‑25, 4 miles south of the Village of Lexington
- Open‑concept interior with original knotty pine walls and commercial‑grade carpeting
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
$13,537
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
8.47%
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%
$270,740
$270.7K
Cap Rate 7%
$193,386
$193.4K
Cap Rate 9%
$150,411
$150.4K
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
$21.0K $19.08/SF
− Vacancy
−$2.9K −$2.67/SF
EGI
$18.0K $16.41/SF
− OpEx
−$4.5K −$4.10/SF
NOI
$13.5K $12.31/SF
Area
Sanilac County, MI
Vacancy
14.00%
Lease Rate
$19.08 /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%
$270,740
Cap Rate 7%
$193,386
Cap Rate 9%
$150,411
Alternative Uses
Best Use
Office B
$193.4K
$169.2K – $225.6K
NOI $13,537 @ 7.0% cap · market cap 8.47%
Second Best
Retail
$163.1K
$142.7K – $190.3K
NOI $11,419 @ 7.0% cap · market cap 7.14%
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
Highway access
Yes
Paved road access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
51
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
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 Office 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 an open-concept interior, kitchenette, and accessible half bath.
Where is this storefront property located?
The property is located at 6894 Lakeshore Road 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: 1,100‑square‑foot storefront on a 0.21‑acre corner parcel; Lakeshore Road frontage along M‑25, 4 miles south of the Village of Lexington; Open‑concept interior with original knotty pine walls and commercial‑grade carpeting
