Macomb Market Update – April 2019
The overall commercial real estate market in Macomb has remained pretty hot. Demand for industrial, office and retail remain strong across the board. Vacancy rates in the three major sections of the market did bump up slightly this month but that was due to new construction coming on the market. Currently there is over 1,200,000 square feet of industrial under construction. A large chunk of this is coming from the Amazon facility on Mound Rd.
Industrial values have risen in all areas in recent years but none more than Warren south of I-696. Not too long ago you could buy a small to mid-sized building in the area under $25 a square foot. As of today we are seeing average asking sales rates to be slightly under $50 a square foot. Buildings are trading around $40-45 a square. This is great news for building owners in the area. Some will say it is just the marijuana industry driving up the prices. This is true but buildings outside the green zone are in demand as buyers can get more bang for their buck in the area.
If you would like the to know the current value of your commercial real estate please let me know. Of course we have plenty of business owners looking to expand their space but we are also currently working with national and local investors looking to do sale lease backs. If you have any questions please feel to reach out and I will let you know what we can offer.
This email is provided as a service to clients, colleagues, and friends of the Pilot Property Group. Let us know if you need any other detailed research or market specific information. And, as always, let us know how we can help with any pending needs or vacancies.
We have more buyers than properties available for both user’s and investors in Macomb County. If you have ever wondered the current value of any of your buildings please let me know the address and I will conduct a broker opinion of value and help you get a better idea of the true value in today’s market.
Vacancy and Rental Rates
Macomb Industrial Space 1.7% Vacant $6.71 per SF Average Rental Rate
Macomb Office Space 7.1% Vacant $17.21 per SF Average Rental Rate
Macomb Retail Space 4.9% Vacant $15.13 per SF Average Rental Rate
For Sale Asking Rate Average
Macomb Industrial Space $60 per SF
Macomb Office Space $98 per SF
Macomb Retail Space $116 per SF