Detroit, MI Commercial Real Estate Market Trends & Data

What Are Current Commercial Real Estate Benchmarks in Detroit?

Detroit commercial properties are averaging $131 per square foot to buy and $794 per square foot to lease, with cap rates near 8.16% across asset types. The data below covers sale prices, lease rates, cap rates, and building sizes by property type to support early-stage market evaluation.

Explore Commercial Properties in Detroit

Browse properties currently for sale or lease to see how local market pricing and building sizes translate into real opportunities.

Commercial Property For Sale in Detroit

Commercial Property For Rent in Detroit

Detroit's Demographic Profile

Detroit has 275,153 households and a median income of $36,942, providing context for rent absorption and tenant demand across retail and multifamily assets. A 1% five-year population trend is a key signal for evaluating long-term demand in this market.

Key Demographic Metrics	Value
Population	692,503
# Households	275,153
Median age	37
Median household income	$36,942
Avg household size	2
Renter-occupied housing units	148,461
5-year population change	1%

Commercial Real Estate Market Snapshot in Detroit

Use the benchmarks below to set initial underwriting baselines for Detroit, typical deal size, entry costs, and cap rate ranges by asset type before evaluating individual listings.

Key Market Metrics	Value
Avg asking sale price	$131 per SF
Avg asking lease rate	$794 per SF
Avg unit size for lease	46,997 SF
Avg building size for sale	37,487 SF
Average cap rate	8.16%

The 8.16% average cap rate reflects current return expectations relative to Detroit pricing and deal scale. Use this alongside asking prices and lease rates to establish initial underwriting assumptions.

Commercial Properties For Sale In Detroit

The listings below reflect how current market pricing and building scale translate into active opportunities available today.

For Sale

Income Generating Multifamily Portfolio

Detroit, MI

Auction Sale

For Sale

3100 Brush St

Detroit, MI 48201

1,181 SF Flex Building
$6,000,000

For Sale

Redevelopment Opportunity

Eastpointe, MI 48021

24,196 SF Retail Building
$1,750,000

For Sale

418.420 East Grand Blvd

Detroit, MI 48207

5,600 SF Multifamily
$285,000

For Sale

10709 Capital St

Oak Park, MI 48237

16,000 SF Industrial Building
$1,125,000

For Sale

10720 W 7 Mile

Detroit, MI 48221

3,962 SF Office Building
$350,000

For Sale

24737 W 8 Mile Rd

Detroit, MI 48219

2,613 SF Retail Building
$1,600,000

For Sale

2236 Caniff St

Hamtramck, MI 48212

3,334 SF Retail Building
$499,900

Commercial Market Metrics by Property Type

Industrial Property Market Metrics Near Detroit

Industrial market data shows how cost per square foot and typical building size differ by submarket, supporting comparisons around deal scale and pricing alignment.

Nearby Industrial Markets	Avg Cost/SF	Typical Size	Cap Max
Detroit	$129	48,694 SF	13.25%
Dearborn	$138	107,170 SF	8.45%

Retail Property Market Metrics Near Detroit

Retail pricing varies widely across nearby markets, making this comparison useful for identifying where cost per square foot and deal size diverge most.

Nearby Retail Markets	Avg Cost/SF	Typical Size
Detroit	$137	9,786 SF
Melvindale	$30	30,000 SF
River Rouge	$95	29,429 SF
Dearborn	$144	16,085 SF
Ecorse	$91	4,405 SF

Multifamily Property Market Metrics Near Detroit

Multifamily metrics show how pricing and building size relate to observed cap rate ranges, helping investors evaluate income potential relative to entry cost.

Nearby Multifamily Markets	Avg Cost/SF	Typical Size	Cap Max
Detroit	$153	74,362 SF	15.00%
Allen Park	$265	7,500 SF	7.86%
Highland Park	$65	222,416 SF	9.29%
Redford	$79	17,000 SF	9.11%

How Investors Evaluate Commercial Real Estate Markets in Detroit

Use these tools to move from market-level signals to deal-level math. Each calculator helps translate Detroit pricing, rents, and building size into concrete metrics like value, income, and space requirements, so you can validate assumptions before spending time on individual listings.

Commercial Property Valuation

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What Is a Cap Rate?

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Net Operating Income (NOI) Calculator

Calculating NOI and Understanding the Significance of This Metric in Commercial Real Estate Investment

Internal Rate of Return (IRR) Calculator

Use this calculator to measure annualized returns, compare investment scenarios, and evaluate risk across commercial real estate deals.

Cash on Cash Return

Learn How Cash on Cash Return Can Optimize Your Real Estate Investments

Debt Service Coverage Ratio (DSCR) Calculator

Assess Your Investment's Health in Seconds

Gross Rent Multiplier (GRM) Calculator & Investment Guide

Simplifying Your Investment Analysis

Land Loan Calculator

Use this calculator to estimate monthly payments, interest, and total financing costs for raw, unimproved, or improved land purchases.

Balloon Payment Calculator

Use this calculator to estimate monthly payments, total interest, and the final lump-sum balloon payment for commercial real estate loans.

Office Space Calculator

Estimate How Much Space Your Team Really Needs

Nearby Commercial Markets

Comparing nearby markets helps investors see whether Detroit pricing and building scale sit above, below, or in line with surrounding areas.

Commercial Markets	Avg Cost/SF	Average Size
Detroit	$131	37,487 SF
Melvindale	$126	13,742 SF
River Rouge	$87	36,052 SF
Dearborn	$120	53,182 SF
Ecorse	$96	25,046 SF

Multifamily For Sale In Detroit

Multifamily listings shown here connect market pricing and cap rate patterns with income-producing opportunities currently available.

For Sale

Helen Apartments

Detroit, MI 48224

9,201 SF Multifamily
$975,000

For Sale

Lansing Apartments

Detroit, MI 48209

36,184 SF Multifamily
11.38% Cap Rate
$2,690,000

For Sale

The Atrium Apartments

Detroit, MI 48202

33,275 SF Multifamily
8.13% Cap Rate
$7,500,000

For Sale

1528 Gratiot

Detroit, MI 48207

7,924 SF Multifamily
$1,695,000

For Sale

Peterboro Place

Detroit, MI 48201

91,014 SF Multifamily
Price Upon Request

For Sale

Library Lofts

Detroit, MI 48226

32,000 SF Multifamily
$5,900,000

For Sale

129-Unit Detroit Multifamily Portfolio

Detroit, MI

9.29% Cap Rate
$12,558,000

For Sale

Former Banner Cigar Manufacturing Building

Detroit, MI 48211

23,578 SF Multifamily
$900,000

Regional Demographic Comparison

This comparison places Detroit alongside nearby cities to show how population size, household counts, and income levels differ across the region. Viewing these markets side by side helps investors understand whether local demand and income characteristics are concentrated in Detroit or distributed across surrounding areas.

City	Population	# Households	Age	MedianHouseholdIncome	AvgHouseholdSize	RenterOccupiedHousingUnits	FiveYrPopGrowthPct
Detroit	692,503	275,153	37	$36,942	2	148,461	1%
Melvindale	11,328	4,074	34	$39,384	3	1,801	-5%
Dearborn	96,364	32,651	34	$65,255	3	11,220	-6%
Ecorse	9,439	3,646	37	$43,652	3	1,743	-1%

FAQs About Commercial Investing in Detroit

View All Commercial Real Estate For Sale in Detroit

Is Detroit a good market for a first-time commercial real estate investor?

Detroit offers commercial properties across a wide range of sizes and price points. By reviewing the market data and benchmarks on this page, first-time investors can better understand what a typical commercial property looks like before committing capital and narrowing in on specific listings.

How can this market data help me decide whether to buy commercial property for my business in Detroit?

The pricing and size metrics on this page help business owners compare the cost of ownership against leasing in Detroit. Typical building sizes and asking prices provide a starting point for evaluating space needs, budget fit, and long term occupancy costs before engaging lenders or brokers.

What should conservative investors focus on when evaluating commercial properties in Detroit?

Conservative investors often prioritize manageable deal sizes, stable pricing ranges, and cap rate benchmarks shown for Detroit. These metrics help assess whether current market conditions support steady income potential without relying on aggressive assumptions.

How does Detroit compare to nearby commercial real estate markets?

Nearby market comparisons highlight differences in pricing, building scale, and cap rate ranges relative to Detroit. Reviewing these side by side helps experienced investors identify relative value, pricing premiums, or alternative markets that may better align with return targets.

How can this page support early-stage deal screening for Detroit acquisitions?

This page provides high-level benchmarks for pricing, deal size, and observed cap rates in Detroit, which are useful for initial market filtering. Institutional and data-driven investors often use these signals to prioritize listings that meet size, pricing, and return thresholds before deeper underwriting.

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