Freestanding Medical
For Sale
Contact for pricing
7164 N Main St., Clarkston, MI 48346
Single-tenant facility with a corporate guarantee and annual 3% rent escalations.
Property Size5,474 SF
Price / SF$154.37
Days on Market124
Property Features for 7164 N Main St.
General Information
Standard status
Active
Size
5,474 SF
Property subtype
Office
Occupancy
100%
Lease Type
NNN
Investment Type
Net Lease
Net Operating Income
$63,365
Financials
Asking Price
$845,000
Cap Rate
7.5%
Additional Details
Highway Access
Yes
Building Details
Year Built
1988
Buildings
1
Tenancy
Single
Listing Agency:
CBRE
Listed By:
David Hesano · License #MI 6501300653
Source:
Crexi
Added: Apr 30
Changed: Aug 30
Last Checked: Aug 30 at 6:01PM
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 CBRE
Investment Insights
Based on property information with market context.
This freestanding medical office property contains 5,474 square feet and was built in 1988. The building is occupied by ATI Physical Therapy and has supported physical therapy operations for several decades. It is configured as a single-tenant healthcare facility with a corporately guaranteed lease and approximately three years remaining on the current term.
Lease economics include annual 3% rent escalations, with a 7.5% capitalization rate. The landlord is responsible for common area maintenance, the roof, and HVAC. The property is located at 7164 N. Main St. in Clarkston, positioned between downtown Clarkston and the I-75 interchange.
Lease economics include annual 3% rent escalations, with a 7.5% capitalization rate. The landlord is responsible for common area maintenance, the roof, and HVAC. The property is located at 7164 N. Main St. in Clarkston, positioned between downtown Clarkston and the I-75 interchange.
Key Highlights
- 5,474‑square‑foot freestanding medical office building constructed in 1988
- Single‑tenant ATI Physical Therapy facility with a corporately guaranteed lease
- Approximately three (3) years remaining on the current lease term
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
$74,076
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
8.77%
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%
$1,481,520
$1.5M
Cap Rate 7%
$1,058,229
$1.1M
Cap Rate 9%
$823,067
$823.1K
Market Conditions
NOI Build-Up for 5,474 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
$137.9K $25.20/SF
− Vacancy
−$14.5K −$2.65/SF
EGI
$123.5K $22.55/SF
− OpEx
−$49.4K −$9.02/SF
NOI
$74.1K $13.53/SF
Area
Oakland County, MI
Vacancy
10.50%
Lease Rate
$25.20 /SF/Yr
Expense Ratio
40.00%
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%
$1,481,520
Cap Rate 7%
$1,058,229
Cap Rate 9%
$823,067
Alternative Uses
Best Use
Healthcare Medical
$1.06M
$926.0K – $1.23M
NOI $74,076 @ 7.0% cap · market cap 8.77%
Second Best
Office B
$269.2K
$235.6K – $314.1K
NOI $18,844 @ 7.0% cap · market cap 2.23%
Theoretical Best
Specialty Retail
$1.18M
$1.03M – $1.38M
NOI $82,649 @ 7.0% cap · market cap 9.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
448
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48346, MI
23,058
Population
10,157
Households
2.3
Avg Household Size
42
Median Age
41%
College-Educated
95%
High-School Grad
18.1 sq mi
ZIP Area
1,274
Density / Sq Mi
$97,857
Median Household Income
$49,935
Median Earnings
$1,360
Median Rent
$295,200
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?
Medical Office Space - Single-tenant facility with a corporate guarantee and annual 3% rent escalations.
Where is this medical office space located?
The property is located at 7164 N Main St. Clarkston, MI.
What is the asking price?
The asking price for this property is $845,000.
What are key features of this property?
This property features: 5,474‑square‑foot freestanding medical office building constructed in 1988; Single‑tenant ATI Physical Therapy facility with a corporately guaranteed lease; Approximately three (3) years remaining on the current lease term
