Royal Oak Mixed-Use
For Sale
$399,900
902 S Washington Ave, Royal Oak, MI 48067
Mixed-use property near downtown Royal Oak with development potential.
Property Size1,425 SF
Lot Size0.14 Acres
Days on Market266
Property Features for 902 S Washington Ave
General Information
Standard status
Active
Size
1,425 SF
Lot size
0.14 Acres
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$10,511
Amenities
Block
Basement
Construction - Vinyl Siding
Construction - Brick
Building Details
Building Size
1,425 SF
Year Built
1914
Listing Agency:
Century 21 Curran & Oberski
(313) 274-7200
Listed By:
Ali T Charara · License #6501340600
(313) 274-7200
Source:
Elliman
Added: Nov 28, 2025
Changed: Aug 7
Last Checked: Aug 20 at 11:59AM
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 Century 21 Curran & Oberski
Investment Insights
Based on property information with market context.
Located steps from downtown Royal Oak, this mixed-use property offers an opportunity for residential, commercial, or multi-family development. The well-maintained Arts & Crafts-style home features refinished hardwood floors, a formal dining room with a bay window, a spacious kitchen with a pantry and original built-ins, and an enclosed front porch. The upper level includes three large bedrooms, a full bath, and stairs to an unfinished attic suitable for an office or additional living space. The property also has a dry basement with an enclosed toilet. Situated on a large corner lot, it offers excellent parking potential and a three-car garage accessible from 9th Street and an alley. The location is near restaurants, shops, and nightlife.
Key Highlights
- Prime Downtown Royal Oak Location: Steps from restaurants, shops, and nightlife.
- Mixed‑Use Zoning: Allows for residential, commercial, or multi‑family development.
- Large 3‑Car Garage: Accessible from 9th Street and an alley.
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
$17,479
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
4.37%
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%
$349,580
$349.6K
Cap Rate 7%
$249,700
$249.7K
Cap Rate 9%
$194,211
$194.2K
Market Conditions
NOI Build-Up for 1,425 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
$33.2K $23.28/SF
− Vacancy
−$1.4K −$0.98/SF
EGI
$31.8K $22.30/SF
− OpEx
−$14.3K −$10.04/SF
NOI
$17.5K $12.27/SF
Area
Oakland County, MI
Vacancy
4.20%
Lease Rate
$23.28 /SF/Yr
Expense Ratio
45.00%
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%
$349,580
Cap Rate 7%
$249,700
Cap Rate 9%
$194,211
Alternative Uses
Best Use
Apartment 5plus
$249.7K
$218.5K – $291.3K
NOI $17,479 @ 7.0% cap · market cap 4.37%
Second Best
Mixed Use
$206.1K
$180.4K – $240.5K
NOI $14,428 @ 7.0% cap · market cap 3.61%
Theoretical Best
Specialty Retail
$307.4K
$268.9K – $358.6K
NOI $21,515 @ 7.0% cap · market cap 5.38%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,844
Businesses Nearby
Explore this area
Business Placement
Demographics for 48067, MI
24,589
Population
13,714
Households
1.8
Avg Household Size
36
Median Age
67%
College-Educated
96%
High-School Grad
4.6 sq mi
ZIP Area
5,345
Density / Sq Mi
$107,355
Median Household Income
$76,700
Median Earnings
$1,435
Median Rent
$309,200
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property near downtown Royal Oak with development potential.
Where is this mixed-use property located?
The property is located at 902 S Washington Ave Royal Oak, MI.
What is the asking price?
The asking price for this property is $399,900.
What are key features of this property?
This property features: Prime Downtown Royal Oak Location: Steps from restaurants, shops, and nightlife.; Mixed‑Use Zoning: Allows for residential, commercial, or multi‑family development.; Large 3‑Car Garage: Accessible from 9th Street and an alley.
