4-Bay Automotive
For Sale
$275,000
13040 Harper Avenue, Detroit, MI 48213
Updated automotive property with customer parking, service areas, storage, office space, and highway-facing signage.
Property Size3,924 SF
Days on Market22
Property Features for 13040 Harper Avenue
General Information
Standard status
Active
Size
3,924 SF
Property subtype
Commercial
Zoning
Commercial
Site & Location
Fenced Yard
Yes
Outdoor Storage
Yes
Additional Details
Service Bays
4
Taxes and HOA fees
Annual Taxes
$3,028
Amenities
large lobby
private office
interior storage
exterior storage
hoists
high ceilings
Building Details
Building Size
3,924 SF
Year Built
1950
Listing Agency:
Premier Property Services LLC
(313) 806-1303
Listed By:
James Bufalino · License #6501313711
Source:
Thebrokeragehouse
Added: Aug 2
Changed: Aug 19
Last Checked: Aug 23 at 12:34PM
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 Premier Property Services LLC
Investment Insights
Based on property information with market context.
This commercial automotive facility includes 4 service bays, a spacious lobby, private office, interior and exterior storage, vehicle hoists, high ceilings, and garage doors. Customer parking is available in the front and along the side of the property, while a fenced rear yard provides additional secured outdoor space. Recent property improvements include exterior painting, roof work, electrical and plumbing updates, and replacement garage doors.
Located at 13040 Harper Avenue in Detroit, the property offers visibility from I-94 and supports prominent road-facing signage. The building was constructed in 1950 and is zoned Commercial. Its combination of service infrastructure, office and customer areas, parking, and secured yard space creates a functional setup for an automotive business.
Located at 13040 Harper Avenue in Detroit, the property offers visibility from I-94 and supports prominent road-facing signage. The building was constructed in 1950 and is zoned Commercial. Its combination of service infrastructure, office and customer areas, parking, and secured yard space creates a functional setup for an automotive business.
Key Highlights
- 4 service bays with vehicle hoists and high ceilings
- Front and side parking areas for customer vehicles
- Fenced rear yard for secured outdoor storage
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
$19,085
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
6.94%
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%
$381,700
$381.7K
Cap Rate 7%
$272,643
$272.6K
Cap Rate 9%
$212,056
$212.1K
Market Conditions
NOI Build-Up for 3,924 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
$28.7K $7.32/SF
− Vacancy
−$1.5K −$0.37/SF
EGI
$27.3K $6.95/SF
− OpEx
−$8.2K −$2.08/SF
NOI
$19.1K $4.86/SF
Area
Detroit, MI
Vacancy
5.08%
Lease Rate
$7.32 /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%
$381,700
Cap Rate 7%
$272,643
Cap Rate 9%
$212,056
Alternative Uses
Best Use
Retail
$690.5K
$604.2K – $805.5K
NOI $48,332 @ 7.0% cap · market cap 17.58%
Second Best
Industrial
$272.6K
$238.6K – $318.1K
NOI $19,085 @ 7.0% cap · market cap 6.94%
Theoretical Best
Office A
$865.6K
$757.4K – $1.01M
NOI $60,595 @ 7.0% cap · market cap 22.03%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Service bays
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
252
Businesses Nearby
28k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 60%
Shops & Services 40%
Little Caesars Pizza
Dining
8,082 visits/mo
0.4 miles
Marathon
Shops & Services
6,023 visits/mo
0.1 miles
Family Dollar
Shops & Services
5,401 visits/mo
0.4 miles
KFC
Dining
4,812 visits/mo
0.5 miles
Krispy Krunchy Chicken
Dining
3,933 visits/mo
0.1 miles
Demographics for 48213, MI
19,088
Population
11,365
Households
1.7
Avg Household Size
39
Median Age
7%
College-Educated
82%
High-School Grad
6.5 sq mi
ZIP Area
2,937
Density / Sq Mi
$33,755
Median Household Income
$24,765
Median Earnings
$837
Median Rent
$52,100
Median Home Value
Market
Vacancy Rate% for Retail in Detroit, MI
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Auto shop - Updated automotive property with customer parking, service areas, storage, office space, and highway-facing signage.
Where is this auto shop located?
The property is located at 13040 Harper Avenue Detroit, MI.
What is the asking price?
The asking price for this property is $275,000.
What are key features of this property?
This property features: 4 service bays with vehicle hoists and high ceilings; Front and side parking areas for customer vehicles; Fenced rear yard for secured outdoor storage
