Royal Plaza

Investment Overview

Introducing a prime investment opportunity in Detroit, MI – a 5,169 SF office building located at 16005 W McNichols Rd. This historic property, constructed in 1946, boasts a desirable B2 zoning, making it perfect for office or office building investors. With its generous square footage and strategic location, this property offers tremendous potential for growth and development. Don't miss out on the chance to add this valuable asset to your portfolio and capitalize on the thriving Detroit real estate market.

Investment Highlights

• Pricing and returns: Purchase price $550,000. Current NOI $69045 with a 12.6% cap rate.
• Low basis: 5,169 SF at $106 per SF, providing an attractive entry point for Detroit infill retail.
• Recent capital program (2022–2024): New roof in 2022 with full tear-off and all new metal decking; new plumbing in 2024; new electrical in 2024; three new 5ton N32 HVAC units in 2024; façade refreshed, full exterior painting, and parking lot redone. Minimal near-term capex.
• Functional layout: Single-story strip with multiple entrances, supporting flexible multi-tenant configurations and straightforward demising.
• Location and access: Prominent frontage on West McNichols within an established neighborhood commercial corridor, strong daily traffic, excellent visibility and signage, and on-site parking with convenient ingress/egress.
• Demographics: Dense trade area with approximately 21,549 residents within 1 mile, 155,615 within 3 miles, and 392,525 within 5 miles; solid household incomes in the wider rings.
• Zoning and use: B2 zoning allows a broad range of commercial uses, supporting both owner-user and investor strategies.
• Upside: Lease-up and rent growth potential supported by refreshed building systems and a low cost basis.