Southfield Flex/Industrial/Office Property For
For Sale
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25510 W Eleven Mile Rd, Southfield, MI 48034
Flexible zoning allows for light industrial, office, or medical use.
Property Size66,195 SF
Price / SF$100
Days on Market1067
Property Features for 25510 W Eleven Mile Rd
General Information
Standard status
Active
Size
66,195 SF
Total Parking Spaces
260
Property subtype
Industrial, Office
Zoning
Light Industrial, Office, Lab, R&D, etc
Occupancy
42%
Lease Type
NNN
Investment Type
Value Add
Listing Agency:
Newmark | Detroit - Southfield
Listed By:
Chris Hill · License #6505372052
Source:
Crexi
Added: Sep 8, 2023
Changed: Aug 8
Last Checked: Aug 8 at 4:39AM
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.
This commercial property in Southfield, Michigan, offers flexible zoning suitable for light industrial, office, or medical office use. The property's location provides close proximity to I-696, M-10, and Telegraph Road. Up to 14 grade-level doors can be added to the property. This property presents an excellent value-add opportunity. The property size is 66,195 square feet.
Key Highlights
- Flexible zoning allows for light industrial, office, medical office, etc.
- Excellent value add opportunity.
- Close proximity to I‑696, M‑10 and Telegraph Rd.
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
$327,972
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
4.95%
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%
$6,559,440
$6.6M
Cap Rate 7%
$4,685,314
$4.7M
Cap Rate 9%
$3,644,133
$3.6M
Market Conditions
NOI Build-Up for 66,195 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
$486.5K $7.35/SF
− Vacancy
−$18.0K −$0.27/SF
EGI
$468.5K $7.08/SF
− OpEx
−$140.6K −$2.12/SF
NOI
$328.0K $4.95/SF
Area
Oakland County, MI
Vacancy
3.70%
Lease Rate
$7.35 /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%
$6,559,440
Cap Rate 7%
$4,685,314
Cap Rate 9%
$3,644,133
Alternative Uses
Best Use
Flex RnD
$9.78M
$8.56M – $11.41M
NOI $684,642 @ 7.0% cap · market cap 10.34%
Second Best
Industrial
$4.69M
$4.10M – $5.47M
NOI $327,972 @ 7.0% cap · market cap 4.95%
Theoretical Best
Specialty Retail
$14.28M
$12.49M – $16.66M
NOI $999,439 @ 7.0% cap · market cap 15.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
742
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48034, MI
14,480
Population
8,634
Households
1.7
Avg Household Size
43
Median Age
40%
College-Educated
96%
High-School Grad
4.3 sq mi
ZIP Area
3,367
Density / Sq Mi
$59,634
Median Household Income
$40,068
Median Earnings
$1,275
Median Rent
$259,400
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?
Flex space - Flexible zoning allows for light industrial, office, or medical use.
Where is this flex space located?
The property is located at 25510 W Eleven Mile Rd Southfield, MI.
What is the asking price?
The asking price for this property is $6,619,500.
What are key features of this property?
This property features: Flexible zoning allows for light industrial, office, medical office, etc.; Excellent value add opportunity.; Close proximity to I‑696, M‑10 and Telegraph Rd.
