Manufacturing Facility with Development
For Sale
$2,950,000
Chesterfield Twp., New Baltimore, MI 48047
Manufacturing facility on 10 acres with development opportunities.
Property Size15,200 SF
Lot Size10.00 Acres
Price / SF$194.08
Days on Market205
Property Features for Chesterfield Twp.
General Information
Standard status
Active
Size
15,200 SF
Lot size
10.00 Acres
Property subtype
Industrial
Building Details
Building Size
15,200 SF
Year Built
1991
Listing Agency:
Signature Associates
(248) 404-7015
Listed By:
Ben Wilkiemeyer · License #6501388318
(248) 404-7015
Source:
Tcnworldwide
Added: Jan 27
Changed: Aug 17
Last Checked: Aug 20 at 5:24AM
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 Signature Associates
Investment Insights
Based on property information with market context.
This is a manufacturing facility situated on a 10-acre parcel. The building features a 65-foot clear span and a 10-ton crane. The property offers the opportunity to develop the Twenty-Six Mile Road frontage, with potential for medical, office, and retail development. The location benefits from strong traffic counts and ongoing retail developments in the corridor. The property is located near I-94.
Key Highlights
- Large 10‑acre parcel with development potential along Twenty‑Six Mile Road
- Existing tenant in place provides immediate income
- 65' clear span ideal for manufacturing
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
$159,358
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
5.40%
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%
$3,187,160
$3.2M
Cap Rate 7%
$2,276,543
$2.3M
Cap Rate 9%
$1,770,644
$1.8M
Market Conditions
NOI Build-Up for 15,200 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
$301.0K $19.80/SF
− Vacancy
−$35.4K −$2.33/SF
EGI
$265.6K $17.47/SF
− OpEx
−$106.2K −$6.99/SF
NOI
$159.4K $10.48/SF
Area
Macomb County, MI
Vacancy
11.75%
Lease Rate
$19.80 /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%
$3,187,160
Cap Rate 7%
$2,276,543
Cap Rate 9%
$1,770,644
Alternative Uses
Best Use
Healthcare Medical
$2.28M
$1.99M – $2.66M
NOI $159,358 @ 7.0% cap · market cap 5.40%
Second Best
Retail
$1.61M
$1.40M – $1.87M
NOI $112,358 @ 7.0% cap · market cap 3.81%
Theoretical Best
Specialty Retail
$2.85M
$2.49M – $3.32M
NOI $199,198 @ 7.0% cap · market cap 6.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
363
Businesses Nearby
Explore this area
Business Placement
Demographics for 48047, MI
39,775
Population
16,765
Households
2.4
Avg Household Size
42
Median Age
29%
College-Educated
94%
High-School Grad
18.0 sq mi
ZIP Area
2,210
Density / Sq Mi
$95,381
Median Household Income
$50,151
Median Earnings
$1,109
Median Rent
$297,600
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?
Manufacturing property - Manufacturing facility on 10 acres with development opportunities.
Where is this manufacturing property located?
The property is located at Chesterfield Twp. New Baltimore, MI.
What is the asking price?
The asking price for this property is $2,950,000.
What are key features of this property?
This property features: Large 10‑acre parcel with development potential along Twenty‑Six Mile Road; Existing tenant in place provides immediate income; 65' clear span ideal for manufacturing
