Fully Equipped Auto
For Sale
$355,000
1105 Henderson Ave, Palacios, TX
Turnkey auto shop in a metal building with three bays, office space, and a fenced back yard.
Property Size1,800 SF
Price / SF$197.22
Days on Market644
Property Features for 1105 Henderson Ave
General Information
Standard status
Active
Size
1,800 SF
Site & Location
Highway Access
Yes
Road Access
Yes
Fenced Yard
Yes
Additional Details
Business Included
Yes
Clear Height
14 ft
Service Bays
3
Taxes and HOA fees
Annual Taxes
$3,382
Building Details
Construction
metal building
Listing Agency:
Texas Coastal Properties
(361) 972-5900
Listed By:
Tammy Hill · License #TREC :0455338
(361) 972-5900
Source:
Exprealty
Added: Nov 3, 2024
Changed: Aug 8
Last Checked: Aug 8 at 9:12AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Texas Coastal Properties
Investment Insights
Based on property information with market context.
This fully equipped, full-service auto shop is housed in a structurally sound metal building measuring 30' x 60' x 14'. The shop includes three bays, an office area, and a fenced back-yard area. The property comes with substantial equipment, including two Ammco 10K# two-post lifts, a tire changer, balancer, brake lathe, 80-gallon compressor, and a 300-gallon waste oil tank, among other items.
The property is located on State Highway 35 (Henderson) at 1105 Henderson Ave in Palacios, Texas, and includes an 8,000-square-foot concrete parking area.
For buyers looking for an automotive-ready operation with both shop and office space, this setup provides the core components for day-to-day service work, supported by on-site equipment and defined exterior storage space.
The property is located on State Highway 35 (Henderson) at 1105 Henderson Ave in Palacios, Texas, and includes an 8,000-square-foot concrete parking area.
For buyers looking for an automotive-ready operation with both shop and office space, this setup provides the core components for day-to-day service work, supported by on-site equipment and defined exterior storage space.
Key Highlights
- Fully equipped, full‑service auto shop in a 30' x 60' x 14' structurally sound metal building
- 3‑bay shop with office area plus a fenced‑in back yard on the property
- Includes 2 Ammco 10K# 2‑post lifts
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
$24,381
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
6.87%
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%
$487,620
$487.6K
Cap Rate 7%
$348,300
$348.3K
Cap Rate 9%
$270,900
$270.9K
Market Conditions
NOI Build-Up for 1,800 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
$36.9K $20.52/SF
− Vacancy
−$2.1K −$1.17/SF
EGI
$34.8K $19.35/SF
− OpEx
−$10.4K −$5.81/SF
NOI
$24.4K $13.55/SF
Area
Matagorda County, TX
Vacancy
5.70%
Lease Rate
$20.52 /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%
$487,620
Cap Rate 7%
$348,300
Cap Rate 9%
$270,900
Alternative Uses
Best Use
Retail
$348.3K
$304.8K – $406.4K
NOI $24,381 @ 7.0% cap · market cap 6.87%
Second Best
Industrial
$130.9K
$114.5K – $152.7K
NOI $9,162 @ 7.0% cap · market cap 2.58%
Theoretical Best
Multifamily LT 5
$20.18M
$17.66M – $23.54M
NOI $1,412,646 @ 7.0% cap · market cap 397.93%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
14 ft
Clear height
3
Service bays
Turnkey business
Opportunity
Yes
Fenced yard
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
153
Businesses Nearby
21k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 59%
Dining 41%
Dollar Tree
Shops & Services
5,337 visits/mo
0.3 miles
Dollar General
Shops & Services
5,211 visits/mo
0.4 miles
SONIC Drive In
Dining
5,140 visits/mo
0.3 miles
SUBWAY
Dining
1,858 visits/mo
0.3 miles
O'Reilly Auto Parts
Shops & Services
1,654 visits/mo
0.3 miles
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Similar Off Market Nearby
- Palacios Auto & Towing — Palacios, TX 77465
Frequently Asked Questions
What type of property is this?
Auto shop - Turnkey auto shop in a metal building with three bays, office space, and a fenced back yard.
Where is this auto shop located?
The property is located at 1105 Henderson Ave Palacios, TX.
What is the asking price?
The asking price for this property is $355,000.
What are key features of this property?
This property features: Fully equipped, full‑service auto shop in a 30' x 60' x 14' structurally sound metal building; 3‑bay shop with office area plus a fenced‑in back yard on the property; Includes 2 Ammco 10K# 2‑post lifts
