Mixed-Use Property with
New
For Sale
$350,000
7300 Pontiac Trail, South Lyon, MI 48178
Combined commercial and residential improvements occupy a single acreage parcel near downtown South Lyon and major highways.
Property Size6,138 SF
Lot Size1.16 Acres
Price / SF$75.46
Days on Market5
Property Features for 7300 Pontiac Trail
General Information
Standard status
Active
Size
6,138 SF
Lot size
1.16 Acres
Property subtype
Commercial
Additional Details
Highway Access
Yes
Taxes and HOA fees
Annual Taxes
$4,250
Building Details
Building Size
6,138 SF
Year Built
1840
Buildings
2
Stories
4638
Units
1
Listing Agency:
Key Realty One LLC
(734) 972-1299
Listed By:
Diane Russell · License #6501380771
(734) 972-1299
Source:
Thebrokeragehouse
Added: Aug 17
Changed: Aug 18
Last Checked: Aug 20 at 3:05PM
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 Key Realty One LLC
Investment Insights
Based on property information with market context.
This mixed-use property combines a 4,638-square-foot commercial building with a separate 1,500-square-foot home featuring two bedrooms and two bathrooms. The improvements are situated on 1.16 acres, creating a single property with both business and residential components.
The site is located near downtown South Lyon and major highways. The property is offered in its current condition, with the sale structured on an as-is, where-is basis.
The site is located near downtown South Lyon and major highways. The property is offered in its current condition, with the sale structured on an as-is, where-is basis.
Key Highlights
- 4,638‑square‑foot commercial building
- 1,500‑square‑foot home with 2 bedrooms and 2 bathrooms
- 1.16‑acre mixed‑use property
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
$15,966
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
4.56%
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%
$319,320
$319.3K
Cap Rate 7%
$228,086
$228.1K
Cap Rate 9%
$177,400
$177.4K
Market Conditions
NOI Build-Up for 4,638 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
$27.8K $6.00/SF
− Vacancy
−$6.5K −$1.41/SF
EGI
$21.3K $4.59/SF
− OpEx
−$5.3K −$1.15/SF
NOI
$16.0K $3.44/SF
Area
Oakland County, MI
Vacancy
23.50%
Lease Rate
$6.00 /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%
$319,320
Cap Rate 7%
$228,086
Cap Rate 9%
$177,400
Alternative Uses
Best Use
Mixed Use
$670.9K
$587.0K – $782.7K
NOI $46,960 @ 7.0% cap · market cap 13.42%
Second Best
Office B
$228.1K
$199.6K – $266.1K
NOI $15,966 @ 7.0% cap · market cap 4.56%
Theoretical Best
Specialty Retail
$1.00M
$875.3K – $1.17M
NOI $70,026 @ 7.0% cap · market cap 20.01%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
241
Businesses Nearby
Explore this area
Business Placement
Demographics for 48178, MI
36,858
Population
14,402
Households
2.6
Avg Household Size
42
Median Age
53%
College-Educated
98%
High-School Grad
48.0 sq mi
ZIP Area
768
Density / Sq Mi
$130,781
Median Household Income
$70,253
Median Earnings
$1,231
Median Rent
$392,300
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?
Mixed-use property - Combined commercial and residential improvements occupy a single acreage parcel near downtown South Lyon and major highways.
Where is this mixed-use property located?
The property is located at 7300 Pontiac Trail South Lyon, MI.
What is the asking price?
The asking price for this property is $350,000.
What are key features of this property?
This property features: 4,638‑square‑foot commercial building; 1,500‑square‑foot home with 2 bedrooms and 2 bathrooms; 1.16‑acre mixed‑use property
