Gratiot Avenue Retail
For Sale
Contact for pricing
27380 Gratiot Ave, Roseville, MI 48066
Retail space on Gratiot near I-696 with high traffic.
Property Size1,706 SF
Price / SF$114.30
Days on Market809
Property Features for 27380 Gratiot Ave
General Information
Standard status
Active
Size
1,706 SF
Class
C
Total Parking Spaces
8
Property subtype
Retail
Zoning
B-3
Occupancy
100%
Investment Type
Owner/User
Building Details
Year Built
1940
Buildings
1
Stories
1
Units
1
Tenancy
Single
Listing Agency:
Pilot Property Group
(586) 254-0900
Listed By:
Justin Francek · License #MI 6501387884
Source:
Crexi
Added: Jun 4, 2024
Changed: Aug 19
Last Checked: Aug 20 at 3:15PM
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 Pilot Property Group
Investment Insights
Based on property information with market context.
This 1,706-square-foot retail space is located on Gratiot Avenue, in close proximity to I-696. The location benefits from high traffic counts exceeding 60,000 vehicles per day. Neighboring businesses include Costco, Roseville Rec Center, and Joe Randazzo’s, along with other national and local establishments. A large pole sign on Gratiot Avenue provides significant exposure. The building has operated as a salon for the past 30 years.
Key Highlights
- Phenomenal location on Gratiot Ave, seconds from I‑696.
- High traffic count exceeding 60,000 vehicles per day (VPD).
- Neighbors Costco, Roseville Rec Center, Joe Randazzo’s, and other established businesses.
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
$12,611
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
6.47%
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%
$252,220
$252.2K
Cap Rate 7%
$180,157
$180.2K
Cap Rate 9%
$140,122
$140.1K
Market Conditions
NOI Build-Up for 1,706 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
$20.5K $12.00/SF
− Vacancy
−$2.5K −$1.44/SF
EGI
$18.0K $10.56/SF
− OpEx
−$5.4K −$3.17/SF
NOI
$12.6K $7.39/SF
Area
Macomb County, MI
Vacancy
12.00%
Lease Rate
$12.00 /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%
$252,220
Cap Rate 7%
$180,157
Cap Rate 9%
$140,122
Alternative Uses
Best Use
Retail
$180.2K
$157.6K – $210.2K
NOI $12,611 @ 7.0% cap · market cap 6.47%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$319.4K
$279.5K – $372.6K
NOI $22,357 @ 7.0% cap · market cap 11.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
510
Businesses Nearby
309k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Superstores 35%
Shops & Services 33%
Dining 31%
Costco Wholesale
Superstores
109,477 visits/mo
0.2 miles
Costco Gasoline
Shops & Services
47,172 visits/mo
0.2 miles
McDonald's
Dining
27,507 visits/mo
0.3 miles
Speedway
Shops & Services
16,949 visits/mo
0.5 miles
National Coney Island
Dining
16,733 visits/mo
0.3 miles
Demographics for 48066, MI
47,789
Population
22,116
Households
2.2
Avg Household Size
39
Median Age
15%
College-Educated
90%
High-School Grad
9.9 sq mi
ZIP Area
4,827
Density / Sq Mi
$61,222
Median Household Income
$38,978
Median Earnings
$1,175
Median Rent
$142,700
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?
Retail space - Retail space on Gratiot near I-696 with high traffic.
Where is this retail space located?
The property is located at 27380 Gratiot Ave Roseville, MI.
What is the asking price?
The asking price for this property is $195,000.
What are key features of this property?
This property features: Phenomenal location on Gratiot Ave, seconds from I‑696.; High traffic count exceeding 60,000 vehicles per day (VPD).; Neighbors Costco, Roseville Rec Center, Joe Randazzo’s, and other established businesses.
