For Sale
Contact for pricing
2370 Walton Blvd., Rochester Hills, MI 48309
Medical centers
Property Size9,035 SF
Price / SF$243.50
Days on Market707
Property Features for 2370 Walton Blvd.
General Information
Standard status
Active
Size
9,035 SF
Property subtype
Business for Sale, Office
Zoning
Office
Lease Type
NNN
Building Details
Year Built
1967
Year Renovated
2020
Stories
2
Units
2
Tenancy
Multi
Listing Agency:
Transwestern Detroit
(248) 440-1447
Listed By:
Charles Howard · License #MI 6506044836
Source:
Crexi
Added: Sep 13, 2024
Changed: Aug 16
Last Checked: Aug 20 at 12:01AM
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 Transwestern Detroit
Investment Insights
Based on property information with market context.
Key Highlights
- Property includes a second‑floor medical practice and a first‑floor daycare center.
- Established pediatric medical practice provides stable, long‑term tenancy on the second floor.
- Medical practice is entering into a new long‑term lease.
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
$122,265
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
5.56%
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%
$2,445,300
$2.4M
Cap Rate 7%
$1,746,643
$1.7M
Cap Rate 9%
$1,358,500
$1.4M
Market Conditions
NOI Build-Up for 9,035 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
$227.7K $25.20/SF
− Vacancy
−$23.9K −$2.65/SF
EGI
$203.8K $22.55/SF
− OpEx
−$81.5K −$9.02/SF
NOI
$122.3K $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%
$2,445,300
Cap Rate 7%
$1,746,643
Cap Rate 9%
$1,358,500
Alternative Uses
Best Use
Healthcare Medical
$1.75M
$1.53M – $2.04M
NOI $122,265 @ 7.0% cap · market cap 5.56%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.95M
$1.71M – $2.27M
NOI $136,414 @ 7.0% cap · market cap 6.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
136
Businesses Nearby
Explore this area
Business Placement
Demographics for 48309, MI
31,541
Population
11,635
Households
2.7
Avg Household Size
41
Median Age
63%
College-Educated
97%
High-School Grad
15.6 sq mi
ZIP Area
2,022
Density / Sq Mi
$117,788
Median Household Income
$60,689
Median Earnings
$1,625
Median Rent
$394,700
Median Home Value
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
Where is this medical center located?
The property is located at 2370 Walton Blvd. Rochester Hills, MI.
What is the asking price?
The asking price for this property is $2,200,000.
What are key features of this property?
This property features: Property includes a second‑floor medical practice and a first‑floor daycare center.; Established pediatric medical practice provides stable, long‑term tenancy on the second floor.; Medical practice is entering into a new long‑term lease.
