Multi-Unit Office Building For
For Sale
Contact for pricing
5265 W Pierson Rd, Flushing, MI 48433
Two-building office development with units for sale or lease.
Property Size3,200 SF
Price / SF$125
Days on Market2386
Property Features for 5265 W Pierson Rd
General Information
Standard status
Active
Size
3,200 SF
Property subtype
Office
Building Details
Year Built
1980
Listing Agency:
Tremaine Real Estate
(810) 938-3339
Listed By:
Ed Constable · License #MI 6501-377324
Source:
Crexi
Added: Feb 7, 2020
Changed: Jul 6
Last Checked: Aug 20 at 1:30PM
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 Tremaine Real Estate
Investment Insights
Based on property information with market context.
This multi-unit, two-building office development is available for sale on Pierson Road, with units also available for lease. One unit, approximately 1080 square feet, is designed for a doctor's office, featuring eight rooms, a reception area, a waiting room, and three bathrooms. Another unit, approximately 800 square feet, is available for $675 per month and includes multiple offices and a private bathroom. The office building offers convenient access to US-75 and nearby businesses. The sale includes both 5245 and 5265 Pierson Road. The building development features monument street signage. The property size is 3200 square feet.
Key Highlights
- Multi‑unit office development including two buildings for sale.
- Top unit, approximately 1080 SF, is suited for a doctor's office with eight rooms, a reception area, a waiting room, and three bathrooms.
- Lower unit (approx. 800 SF) is available for lease at $675/month and includes multiple offices and a private bathroom.
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
$36,288
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
9.07%
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%
$725,760
$725.8K
Cap Rate 7%
$518,400
$518.4K
Cap Rate 9%
$403,200
$403.2K
Market Conditions
NOI Build-Up for 3,200 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
$69.1K $21.60/SF
− Vacancy
−$8.6K −$2.70/SF
EGI
$60.5K $18.90/SF
− OpEx
−$24.2K −$7.56/SF
NOI
$36.3K $11.34/SF
Area
Genesee County, MI
Vacancy
12.50%
Lease Rate
$21.60 /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%
$725,760
Cap Rate 7%
$518,400
Cap Rate 9%
$403,200
Alternative Uses
Best Use
Healthcare Medical
$518.4K
$453.6K – $604.8K
NOI $36,288 @ 7.0% cap · market cap 9.07%
Second Best
Office B
$503.6K
$440.7K – $587.5K
NOI $35,252 @ 7.0% cap · market cap 8.81%
Theoretical Best
Office A
$673.4K
$589.2K – $785.6K
NOI $47,136 @ 7.0% cap · market cap 11.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
165
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 48433, MI
26,688
Population
10,597
Households
2.5
Avg Household Size
44
Median Age
29%
College-Educated
95%
High-School Grad
55.5 sq mi
ZIP Area
481
Density / Sq Mi
$81,301
Median Household Income
$45,126
Median Earnings
$982
Median Rent
$197,400
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 - Two-building office development with units for sale or lease.
Where is this medical office space located?
The property is located at 5265 W Pierson Rd Flushing, MI.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: Multi‑unit office development including two buildings for sale.; Top unit, approximately 1080 SF, is suited for a doctor's office with **eight rooms, a reception area, a waiting room, and three bathrooms.**; Lower unit (approx. 800 SF) is available for lease at $675/month and includes multiple offices and a private bathroom.
