Auto Shop on Commercial
For Sale
$599,900
811 SE 3rd Avenue, Aberdeen, SD 57401
Commercial, Aberdeen, SD
Property Size4,322 SF
Lot Size0.86 Acres
Price / SF$138.80
Days on Market111
Property Features for 811 SE 3rd Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
I-2
Subdivision
Aberdeen - City
Standard status
Active
Size
4,322 SF
Lot size
0.86 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
OL 2 Consolidated Gas Co-Op SD Bk. 84 Hagerty and Lloyd Add.
Tax Annual Amount
4519
Legal Description
OL 2 Consolidated Gas Co-Op SD Bk. 84 Hagerty and Lloyd Add.
Building Details
Year built
1946
Listing Agency:
MICKELSON-REALTORS(r), INC
Listed By:
Craig Mickelson
(605) 229-5252
Added: May 28
Changed: Sep 3
Last Checked: Sep 15 at 10:06PM
MLS# 24-290
Copyright © 2026 Aberdeen Board of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This automotive property includes a 4,322-square-foot building on 0.8609 acres. Constructed in 1946, the property is classified for auto shop use and carries I-2 zoning.
The property is located at 811 SE 3rd Avenue in Aberdeen, South Dakota, within Brown County and ZIP Code 57401. A lease option is also available for the property, providing an alternative transaction structure alongside the sale offering.
The property is located at 811 SE 3rd Avenue in Aberdeen, South Dakota, within Brown County and ZIP Code 57401. A lease option is also available for the property, providing an alternative transaction structure alongside the sale offering.
Key Highlights
- 4,322‑square‑foot automotive property
- 0.8609‑acre site
- I‑2 zoning
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$33,360
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
5.56%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$667,200
$667.2K
Cap Rate 7%
$476,571
$476.6K
Cap Rate 9%
$370,667
$370.7K
Market Conditions
NOI Build-Up for 4,322 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$51.9K $12.00/SF
− Vacancy
−$4.2K −$0.97/SF
EGI
$47.7K $11.03/SF
− OpEx
−$14.3K −$3.31/SF
NOI
$33.4K $7.72/SF
Area
Brown County, SD
Vacancy
8.11%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
30.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$667,200
Cap Rate 7%
$476,571
Cap Rate 9%
$370,667
Alternative Uses
Best Use
Retail
$476.6K
$417.0K – $556.0K
NOI $33,360 @ 7.0% cap · market cap 5.56%
Second Best
Industrial
$140.0K
$122.5K – $163.4K
NOI $9,802 @ 7.0% cap · market cap 1.63%
Theoretical Best
Healthcare Medical
$754.6K
$660.3K – $880.4K
NOI $52,823 @ 7.0% cap · market cap 8.81%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
377
Businesses Nearby
11k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 96%
Dining 4%
Family Dollar
Shops & Services
5,596 visits/mo
0.4 miles
Napa Auto Parts
Shops & Services
2,581 visits/mo
0.4 miles
Cenex
Shops & Services
1,321 visits/mo
0.2 miles
FedEx Office Print & Ship Center
Shops & Services
1,247 visits/mo
0.2 miles
Jimmy's Pizza
Dining
423 visits/mo
0.4 miles
Demographics for 57401, SD
32,275
Population
15,016
Households
2.1
Avg Household Size
37
Median Age
35%
College-Educated
93%
High-School Grad
278.8 sq mi
ZIP Area
116
Density / Sq Mi
$68,183
Median Household Income
$40,562
Median Earnings
$787
Median Rent
$216,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Similar Off Market Nearby
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- Jason's Truck & Auto Body — 16 10th Ave SW, Aberdeen, SD 57401
- Dakota Transmission & Automotive Services — 929 S Main St, Aberdeen, SD 57401
- Power Truck Center — Aberdeen, SD 57401
Frequently Asked Questions
What type of property is this?
Auto shop - I-2-zoned automotive property with an existing building and surrounding lot area.
Where is this auto shop located?
The property is located at 811 SE 3rd Avenue Aberdeen, SD.
What is the asking price?
The asking price for this property is $599,900.
What are key features of this property?
This property features: 4,322‑square‑foot automotive property; 0.8609‑acre site; I‑2 zoning
