Lathrup Village Commercial
For Sale
Contact for pricing
26060 Southfield Rd, Lathrup Village, MI 48076
Commercial property suitable for medical, office, or retail use.
Property Size15,492 SF
Price / SF$83.91
Days on Market921
Property Features for 26060 Southfield Rd
General Information
Standard status
Active
Size
15,492 SF
Class
C
Total Parking Spaces
2
Property subtype
Office
Investment Type
Value Add
Building Details
Year Built
1966
Year Renovated
2000
Tenancy
Multi
Listing Agency:
Newmark | Detroit - Southfield
Listed By:
Daniel Canvasser · License #6506043901
Source:
Crexi
Added: Feb 12, 2024
Changed: Aug 15
Last Checked: Aug 20 at 6:58AM
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 Newmark | Detroit - Southfield
Investment Insights
Based on property information with market context.
Under new ownership and professional management, this commercial property in Lathrup Village is available for lease or sale. It is suitable for medical, professional office, or retail use. The property offers a 5,733-square-foot suite with direct parking lot access. The location provides direct access to Southfield Road and immediate access to I-696, facilitating convenient commuting and accessibility. The surrounding area includes multiple retail amenities and dining options. The property has a total size of 15,492 square feet.
Key Highlights
- Exceptional location with direct access to Southfield Rd and immediate access to I‑696.
- 5,733 SF suite with direct parking lot access.
- Suitable for medical, professional office, or retail use.
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
$53,331
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
4.10%
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%
$1,066,620
$1.1M
Cap Rate 7%
$761,871
$761.9K
Cap Rate 9%
$592,567
$592.6K
Market Conditions
NOI Build-Up for 15,492 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
$93.0K $6.00/SF
− Vacancy
−$21.8K −$1.41/SF
EGI
$71.1K $4.59/SF
− OpEx
−$17.8K −$1.15/SF
NOI
$53.3K $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%
$1,066,620
Cap Rate 7%
$761,871
Cap Rate 9%
$592,567
Alternative Uses
Best Use
Healthcare Medical
$2.99M
$2.62M – $3.49M
NOI $209,644 @ 7.0% cap · market cap 16.13%
Second Best
Office B
$761.9K
$666.6K – $888.9K
NOI $53,331 @ 7.0% cap · market cap 4.10%
Theoretical Best
Specialty Retail
$3.34M
$2.92M – $3.90M
NOI $233,904 @ 7.0% cap · market cap 17.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
786
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48076, MI
26,062
Population
11,016
Households
2.4
Avg Household Size
44
Median Age
44%
College-Educated
94%
High-School Grad
7.1 sq mi
ZIP Area
3,671
Density / Sq Mi
$85,171
Median Household Income
$50,210
Median Earnings
$1,451
Median Rent
$251,300
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 - Commercial property suitable for medical, office, or retail use.
Where is this medical office space located?
The property is located at 26060 Southfield Rd Lathrup Village, MI.
What is the asking price?
The asking price for this property is $1,300,000.
What are key features of this property?
This property features: Exceptional location with direct access to Southfield Rd and immediate access to I‑696.; 5,733 SF suite with direct parking lot access.; Suitable for medical, professional office, or retail use.
