Detroit, MI Commercial Real Estate Market Trends & Data

What Are Current Commercial Real Estate Benchmarks in Detroit?

Detroit commercial properties are averaging $137 per square foot to buy and $441 per square foot to lease, with cap rates near 11.15% 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	$137 per SF
Avg asking lease rate	$441 per SF
Avg unit size for lease	44,841 SF
Avg building size for sale	33,629 SF
Average cap rate	11.15%

The 11.15% 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

3100 Brush St

Detroit, MI 48201

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

For Sale

1705 Oakman Blvd

Detroit, MI 48238

8,748 SF Multifamily
15.00% Cap Rate
$799,900

For Sale

2905 Beaufait St

Detroit, MI 48207

22,000 SF Industrial Building
$1,750,000

For Sale

2232-2240 Bellevue St

Detroit, MI 48207

17,424 SF Industrial Building
$550,000

For Sale

Islandview Redevelopment

Detroit, MI 48207

4,977 SF Retail Building
$225,000

For Sale

1300 E 9 Mile Rd

Hazel Park, MI 48030

23,808 SF Industrial Building
$1,975,000

For Sale

CPA Building

Detroit, MI 48216

21,674 SF Office Building
$2,526,000

For Sale

2300 Michigan Ave

Detroit, MI 48216

3,003 SF Retail Building
$725,000

Commercial Market Metrics by Property Type

Office Building Market Metrics Near Detroit

Office market metrics highlight how pricing, typical deal size, and return expectations vary across submarkets, helping investors compare entry costs and yield potential efficiently.

Nearby Office Markets	Avg Cost/SF	Typical Size	Cap Max
Detroit	$119	26,970 SF	10.90%
Southfield	$152	51,016 SF	9.90%
Livonia	$205	18,943 SF	8.49%

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	$124	51,034 SF	16.55%
Redford	$96	18,958 SF	8.00%
Ferndale	$98	38,181 SF	7.04%
Hazel Park	$94	27,376 SF	7.04%

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	$142	12,836 SF
Dearborn	$172	11,531 SF
Hazel Park	$184	25,101 SF
Berkley	$198	5,725 SF
Southfield	$239	10,025 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	$142	38,855 SF	15.64%
Royal Oak	$260	10,080 SF	6.42%
Ypsilanti	$120	44,723 SF	6.86%
Toledo	$54	68,040 SF	10.94%

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

Understand Core Valuation Methods, Prevent Mistakes, and Use Our Instant Value Estimator

What Is a Cap Rate?

How To Calculate This Critical CRE Investment Metric and Why It Matters

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	$137	33,629 SF
Melvindale	$157	45,998 SF
River Rouge	$91	37,714 SF
Dearborn	$126	54,309 SF
Ecorse	$95	23,787 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

Warwick Apartments

Highland Park, MI 48203

36,175 SF Multifamily
$1,275,000

For Sale

129-Unit Detroit Multifamily Portfolio

Detroit, MI

9.29% Cap Rate
$12,558,000

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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