Building Details

Year Built 2017

Year Renovated 2021

Buildings 1

Units 1

Listing Agency: ERA Reardon Realty r***@erareardon.com Show Phone

Listed By: Rick Reardon · License #6501401186

Source: Crexi

Added: Jan 29 Changed: Aug 8 Last Checked: Aug 11 at 9:48AM

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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 ERA Reardon Realty

Investment Insights

Based on property information with market context.

This commercial facility is located on a class A highway in Clarklake, MI. The 4,656-square-foot facility features a gated entry and offers a blend of office and shop areas. The 1,200-square-foot office space includes multiple private offices, a conference room, and a reception area. The 3,456-square-foot heated shop area features 16-foot ceilings, two 12-foot overhead doors, one 14-foot overhead door, and a heavy-duty concrete floor with steel fiber reinforcement. The property is equipped with 200 amp electrical service, and a 10,000 lb lift is already in place. The property's highway exposure makes it suitable for trades, logistics, service businesses, or other commercial operations.

Key Highlights

• High‑visibility location on a class A highway.
• 4,656 sqft facility with office and shop space.
• 3,456 sqft heated shop with 16ft ceilings and heavy‑duty reinforced concrete floor.**

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

$43,733

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

7.35%

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%

$874,660 $874.7K

Cap Rate 7%

$624,757 $624.8K

Cap Rate 9%

$485,922 $485.9K

Market Conditions

NOI Build-Up for 4,656 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

$75.4K $16.20/SF

− Vacancy

−$8.1K −$1.75/SF

EGI

$67.3K $14.45/SF

− OpEx

−$23.5K −$5.06/SF

NOI

$43.7K $9.39/SF

Area

Jackson County, MI

Vacancy

10.80%

Lease Rate

$16.20 /SF/Yr

Expense Ratio

35.00%

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%

$874,660

Cap Rate 7%

$624,757

Cap Rate 9%

$485,922

Alternative Uses

Best Use

Flex RnD

$624.8K

$546.7K – $728.9K (±1% cap)

NOI $43,733 @ 7.0% cap · market cap 7.35%

Second Best

Warehouse

$561.1K

$491.0K – $654.7K (±1% cap)

NOI $39,279 @ 7.0% cap · market cap 6.60%

Theoretical Best

Office A

$743.3K

$650.4K – $867.1K (±1% cap)

NOI $52,028 @ 7.0% cap · market cap 8.74%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Lakefront Solutions Big Box & Wholesale Store

Suggested Use

Top Pick Auto Repair Shop Plumbing Service Storage Facility Garden Center Furniture & Home Goods Parking Lot & Garage

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

54

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 49234, MI

2,580

Population

1,234

Households

2.1

Avg Household Size

52

Median Age

35%

College-Educated

97%

High-School Grad

21.3 sq mi

ZIP Area

121

Density / Sq Mi

$113,333

Median Household Income

$54,356

Median Earnings

$1,166

Median Rent

$280,800

Median Home Value

Market

Vacancy Rate% for Office in Midwest region

13.7% 2019

15.6% 2020

17.1% 2021

18.9% 2022

21% 2023

22% 2024

21.3% 2025

Questions? Ask Rey

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What type of property is this? Where is this flex space located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Flex space - High-visibility commercial facility with office and shop space.

Where is this flex space located?

The property is located at 9486 S Meridian Rd Clarklake, MI.

What is the asking price?

The asking price for this property is $595,000.

What are key features of this property?

This property features: High‑visibility location on a class A highway.; 4,656 sqft facility with office and shop space.; 3,456 sqft heated shop with 16ft ceilings and heavy‑duty reinforced concrete floor.**