Retail Building Near 12
For Sale
Contact for pricing
43223 W 12 Mile Road, Novi, MI 48377
29,884 SF retail building on 12 Mile Road.
Property Size29,884 SF
Price / SF$167.15
Days on Market674
Property Features for 43223 W 12 Mile Road
General Information
Standard status
Active
Size
29,884 SF
Class
A
Property subtype
Retail
Zoning
R-C
Building Details
Year Built
1998
Listing Agency:
Thomas Duke Company
(248) 476-3700
Listed By:
Eric Szerlag · License #MI 6501343471
Source:
Crexi
Added: Oct 18, 2024
Changed: Aug 21
Last Checked: May 13 at 8:22PM
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 Thomas Duke Company
Investment Insights
Based on property information with market context.
This is a 29,884 square foot free-standing retail building. It is located along 12 Mile Road directly in front of 12 Oaks Mall.
Key Highlights
- 29,884 square foot free‑standing retail building
- Located directly in front of 12 Oaks Mall
- Located along 12 Mile Road
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
$321,564
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
6.44%
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%
$6,431,280
$6.4M
Cap Rate 7%
$4,593,771
$4.6M
Cap Rate 9%
$3,572,933
$3.6M
Market Conditions
NOI Build-Up for 29,884 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
$502.1K $16.80/SF
− Vacancy
−$42.7K −$1.43/SF
EGI
$459.4K $15.37/SF
− OpEx
−$137.8K −$4.61/SF
NOI
$321.6K $10.76/SF
Area
Oakland County, MI
Vacancy
8.50%
Lease Rate
$16.80 /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%
$6,431,280
Cap Rate 7%
$4,593,771
Cap Rate 9%
$3,572,933
Alternative Uses
Best Use
Retail
$4.59M
$4.02M – $5.36M
NOI $321,564 @ 7.0% cap · market cap 6.44%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$6.45M
$5.64M – $7.52M
NOI $451,201 @ 7.0% cap · market cap 9.03%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
138
Businesses Nearby
Explore this area
Business Placement
Demographics for 48377, MI
19,691
Population
9,961
Households
2
Avg Household Size
39
Median Age
52%
College-Educated
95%
High-School Grad
9.6 sq mi
ZIP Area
2,051
Density / Sq Mi
$83,368
Median Household Income
$54,373
Median Earnings
$1,439
Median Rent
$332,000
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - 29,884 SF retail building on 12 Mile Road.
Where is this retail space located?
The property is located at 43223 W 12 Mile Road Novi, MI.
What is the asking price?
The asking price for this property is $4,995,000.
What are key features of this property?
This property features: 29,884 square foot free‑standing retail building; Located directly in front of 12 Oaks Mall; Located along 12 Mile Road
