Auto Shop with Double-Net
For Sale
$730,000
901 E Trinity Avenue Unit 901, Durham, NC 27704
Established automotive facility built in 1980 and leased under a five-year double-net structure.
Property Size2,640 SF
Price / SF$276.52
Days on Market655
Property Features for 901 E Trinity Avenue Unit 901
General Information
Standard status
Active
Size
2,640 SF
Property subtype
Mixed Use
Additional Details
Cap Rate
7.5%
Taxes and HOA fees
Annual Taxes
$2,325
Amenities
3
no Representation
Building Details
Year Built
1980
Tenancy
Single
Listing Agency:
Century 21 Triangle Group
(984) 239-8452
Listed By:
Jose Cruz Labrada · License #312455
(984) 239-8452
Source:
Xome
Added: Nov 13, 2024
Changed: Aug 29
Last Checked: Aug 30 at 1:59PM
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 Century 21 Triangle Group
Investment Insights
Based on property information with market context.
This 2,640-square-foot auto shop at 901 E Trinity Avenue in Durham was constructed in 1980 and is configured for automotive operations. The property is occupied by a tenant under a five-year double-net lease, with the landlord’s responsibilities limited to the building structure.
The lease carries a 7.5% cap rate and the property is positioned along an established high-traffic corridor. Its automotive use and existing lease structure provide a straightforward profile for buyers seeking an income-producing specialty property.
The lease carries a 7.5% cap rate and the property is positioned along an established high-traffic corridor. Its automotive use and existing lease structure provide a straightforward profile for buyers seeking an income-producing specialty property.
Key Highlights
- 2,640‑square‑foot auto shop at 901 E Trinity Avenue Unit 901, Durham, NC 27704
- Occupied under a 5‑year Double Net (NN) lease
- 7.5% cap rate
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
$34,886
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
4.78%
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%
$697,720
$697.7K
Cap Rate 7%
$498,371
$498.4K
Cap Rate 9%
$387,622
$387.6K
Market Conditions
NOI Build-Up for 2,640 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
$52.9K $20.04/SF
− Vacancy
−$3.1K −$1.16/SF
EGI
$49.8K $18.88/SF
− OpEx
−$15.0K −$5.66/SF
NOI
$34.9K $13.21/SF
Area
Durham, NC
Vacancy
5.80%
Lease Rate
$20.04 /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%
$697,720
Cap Rate 7%
$498,371
Cap Rate 9%
$387,622
Alternative Uses
Best Use
Industrial
$498.4K
$436.1K – $581.4K
NOI $34,886 @ 7.0% cap · market cap 4.78%
Second Best
Retail
$434.8K
$380.5K – $507.3K
NOI $30,437 @ 7.0% cap · market cap 4.17%
Theoretical Best
Office A
$852.5K
$745.9K – $994.6K
NOI $59,674 @ 7.0% cap · market cap 8.17%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
531
Businesses Nearby
23k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 69%
Groceries 22%
Electronics 9%
Speedway
Shops & Services
14,129 visits/mo
0.4 miles
Mi Pueblo Food Center
Groceries
5,061 visits/mo
0.2 miles
Cricket Wireless Authorized Retailer
Electronics
2,025 visits/mo
0.2 miles
Napa Auto Parts
Shops & Services
1,317 visits/mo
0.4 miles
Demographics for 27704, NC
39,532
Population
16,824
Households
2.3
Avg Household Size
36
Median Age
33%
College-Educated
85%
High-School Grad
41.4 sq mi
ZIP Area
955
Density / Sq Mi
$62,435
Median Household Income
$36,955
Median Earnings
$1,306
Median Rent
$270,000
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Auto shop - Established automotive facility built in 1980 and leased under a five-year double-net structure.
Where is this auto shop located?
The property is located at 901 E Trinity Avenue Unit 901 Durham, NC.
What is the asking price?
The asking price for this property is $730,000.
What are key features of this property?
This property features: 2,640‑square‑foot auto shop at 901 E Trinity Avenue Unit 901, Durham, NC 27704; Occupied under a 5‑year Double Net (NN) lease; 7.5% cap rate
