Realtor · Strongsville, OH · Member since 2017 · 32 posts · 19 votes
I'm selling a vacant commercial building in Cleveland zoned local retail that I'm curious how other investors would approach.
It's 6,660 total SF (4,440 SF on the first floor and 2,220 SF in the basement), has a huge open floor plan, and was likely previously used as office or retail space. At the current asking price at $129,900, that puts it under $20/SF, which is in line with other comparable buildings (going between ~$16.67-$28/SF).
Current condition:
Open floor plan on the first floor
Needs full renovation
Lower level has additional usable space (bathrooms, as well as storage space)
High-visibility area on Lake Shore Blvd in Cleveland
This is far from a turnkey investment. It's a value-add play for someone willing to put in the work and create value (I was thinking maybe a contractor would buy it).
If you'd like additional information or photos, send me a message. I'd also be interested to hear how other investors would market the property.
An asking price under $20/SF on Lake Shore Boulevard is an exceptional entry point for a 6,660 sq. ft. commercial shell, but your marketing must explicitly address the zero-dedicated-parking hurdle. Because local retail zoning codes will block high-density consumer uses due to parking minimums, stop marketing to retail or restaurant operators.
Your absolute best highest and best use profiles are an E-Commerce Inventory/Fulfillment Hub, a Contractor Headquarters/Showroom, or a Creative Trade Workshop. These uses require massive open square footage but very low daily customer vehicle volume, cleanly bypassing the parking constraint.
List the building on Crexi and LoopNet as a 'Commercial Open-Span Adaptive Re-Use Shell with High Visibility.' Frame the financial mathematics directly in your description: prove to investors that an all-in acquisition and rehab cost of ~$95/SF can easily be leased at a conservative $10/SF NNN to create a $66k NOI—valuing the stabilized asset at over $780,000 on a local 8.5% Cap Rate. Highlight that this file can cleanly be financed using an ARV-Based Commercial Bridge Loan under an LLC via a Non-QM lender, which will fund 100% of the renovation budget based on future value, and you will capture the attention of active local value-add flippers very quickly.