Ann Arbor Single Tenant Industrial Lease

5500 South State Street, Ann Arbor, MI

IN CONTRACT

$4,300,000

Price

46,356 sqft

Building Size

4.63 acres

Lot Area

Gallery
Street
Map
Overview
Building Size
46,356 sqft
Lot Area
4.63 acres
Occupancy
100%
Units
1
Year Built
1966
Floors
1
Description

SVN | Stewart Commercial Group is pleased to present for sale a +/- 46,356 square foot single-tenant
industrial property located at 5500 S. State, Ann Arbor, MI. The property is currently 100 % occupied with a NN lease in place with tenant Adaptive Energy through 12/31/24. The current tenant has outgrown the space and will not be renewing beyond the current term. This presents a unique opportunity for an investor to enjoy steady and reliable income while a replacement tenant is secured or for a user to do the same as occupancy plans are formulated. Adaptive Energy and its predecessor companies manufacture fuel cells for industry and government use and have occupied the property since 2007. The blended cap rate over the balance of the remaining term is 8.83%


The property is located in the economically diverse community of Ann Arbor, MI which is home to the
world-renowned University of Michigan. The property is located on south State Street and is just two
miles to I-94, the major interstate connector between Detroit and Chicago. The location is in close
proximity to major national retail and the largest concentration of hotel space in the Ann Arbor market.
The property benefits from its location within one of the most highly educated populations in the
Midwest. Downtown Ann Arbor is approximately 5 miles away and the City of Detroit is a mere 40 miles
away.

The building is situated on 4.63 acres and the parking lot and drive area were replaced in October 2018. Three of Four Roof Top Units serving the warehouse portion of the building were replaced in 2022. Two of Three HVAC units serving the office area were replaced in 2021. All lighting in the warehouse was upgraded to LED in 2019. The warehouse/manufacturing area is air-conditioned and sprinkled. The building loading area features 1 grade level overhead door and 15 loading docks, all with levelers in place.

Ann Arbor

Wet System

2000 A / 480 V

Highlights
  • 46,356 SF (+/-) Building (20% +/- Office Area) on 4.63 Acres in Ann Arbor, MI
  • Fully Leased to Adaptive Energy since 2007, remaining lease term through 12/31/24
  • Excellent opportunity for an owner/user or Investor to capture NNN income through the remaining lease term
  • 8.83% Blended Cap Rate for Remaining Lease Term
  • Located in affluent Ann Arbor, MI less than 2 miles to I-94
  • 17 Dock Doors (1 Grade Level & 16 Loading Docks, all with levelers
  • 24' Clear Height at Peak
  • Entire Building, including shop area, has wet sprinkler protection and is 100% air conditioned
  • 2000 Amps / 480 Volts, 3-Phase Power
  • New LED Lighting throughout shop area
  • New Parking Lot & Drive Area in 2018
  • 3 of 4 Roof Top HVAC Units replaced in 2022
  • 2 of 3 HVAC Units serving the office area replaced in 2021
  • Functional Mezzanine in Shop Area (not included in SF)
Documents
Location
Gallery