1040 9th Mile Rd, Ferndale, MI 48220-1269

This exceptional investment opportunity presents a 2,580 square foot 7-Eleven convenience store located at 1040 W Nine Mile Rd, Ferndale, MI 48220. The property sits on a 0.37-acre lot in a high-traffic area, exceeding 36,000 cars daily at a signalized intersection. Boasting a strong location in downtown Ferndale, this Class B retail property benefits from a population exceeding 360,000 within a 5-mile radius. The current absolute NNN lease, with a corporate guarantee from 7-Eleven (A-rated credit), has a remaining term of 4.4 years, commencing April 1, 2024, and expiring March 31, 2029, with two 5-year renewal options. Rent increases are substantial, with a base 21% increase at each renewal plus CPI adjustments from 2019. The current NOI is $43,339, with a pro-forma NOI of $63,481, and a pro-forma cap rate of 6.05%. Built in 1978, the property is zoned C-2 Commercial and enjoys 100% occupancy. The asking price is $1,050,000, translating to $406.98 per square foot. This presents a compelling investment with significant upside potential due to substantial rent increases at renewal and a low rent-to-sales ratio. Ferndale's vibrant downtown, proximity to major roadways (Woodward Avenue and I-75), and its location within the Detroit metropolitan area further enhance this property's value and appeal.