Automotive Repair Shop With
For Sale
$389,900
1345 Palmetto Rd, Tupelo, MS 38801
Operating automotive repair facility with shop, warehouse, office space, tools, and repair equipment.
Property Size4,500 SF
Price / SF$86.64
Days on Market49
Property Features for 1345 Palmetto Rd
General Information
Standard status
Active
Size
4,500 SF
Additional Details
Business Included
Yes
Building Details
Year Built
1970
Buildings
2
Listing Agency:
RE/MAX Realty Group
(662) 934-9376
Listed By:
Clint Bolton · License #B-18917
Source:
Fiorellaavenue
Added: Jul 13
Changed: Aug 28
Last Checked: Aug 29 at 12:24PM
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 RE/MAX Realty Group
Investment Insights
Based on property information with market context.
This automotive property includes two buildings configured with shop, warehouse, and office areas. The sale includes an air compressor, tire machine, wheel balancer, two four-post lifts, a two-post lift, blast machine, stone machine, lathe, press, and three testers, along with additional tools and equipment.
Inventory includes starters, alternators, a drill press, and other automotive items. The property is associated with a fully operational automotive repair business; the business name is excluded from the sale. Located at 1345 Palmetto Road in Tupelo, Mississippi.
Inventory includes starters, alternators, a drill press, and other automotive items. The property is associated with a fully operational automotive repair business; the business name is excluded from the sale. Located at 1345 Palmetto Road in Tupelo, Mississippi.
Key Highlights
- Two‑building automotive facility with shop, warehouse, and office areas
- Includes air compressor, tire machine, balancer, and automotive lifts
- Equipment includes blast machine, stone machine, lathe, press, and three testers
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
$33,795
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
8.67%
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%
$675,900
$675.9K
Cap Rate 7%
$482,786
$482.8K
Cap Rate 9%
$375,500
$375.5K
Market Conditions
NOI Build-Up for 4,500 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
$42.7K $9.48/SF
− Vacancy
−$2.9K −$0.64/SF
EGI
$39.8K $8.84/SF
− OpEx
−$6.0K −$1.33/SF
NOI
$33.8K $7.51/SF
Area
Lee County, MS
Vacancy
6.80%
Lease Rate
$9.48 /SF/Yr
Expense Ratio
15.00%
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%
$675,900
Cap Rate 7%
$482,786
Cap Rate 9%
$375,500
Alternative Uses
Best Use
Retail
$533.6K
$466.9K – $622.6K
NOI $37,354 @ 7.0% cap · market cap 9.58%
Second Best
Warehouse
$482.8K
$422.4K – $563.3K
NOI $33,795 @ 7.0% cap · market cap 8.67%
Theoretical Best
Office A
$845.1K
$739.5K – $986.0K
NOI $59,158 @ 7.0% cap · market cap 15.17%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
141
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 38801, MS
29,795
Population
13,717
Households
2.2
Avg Household Size
38
Median Age
29%
College-Educated
86%
High-School Grad
73.0 sq mi
ZIP Area
408
Density / Sq Mi
$63,447
Median Household Income
$35,596
Median Earnings
$954
Median Rent
$187,600
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Verona Auto Repair — 5182 Raymond Ave, Tupelo, MS 38801
- Krosh Automotive & Re-builders Alternators & Starters — 1345 Palmetto Rd, Tupelo, MS 38801
- Wheel City — 4990 N Raymond Ave, Tupelo, MS 38801
- Barber Wrecker Service — 4910 Raymond Ave, Tupelo, MS 38801
Frequently Asked Questions
What type of property is this?
Auto shop - Operating automotive repair facility with shop, warehouse, office space, tools, and repair equipment.
Where is this auto shop located?
The property is located at 1345 Palmetto Rd Tupelo, MS.
What is the asking price?
The asking price for this property is $389,900.
What are key features of this property?
This property features: Two‑building automotive facility with shop, warehouse, and office areas; Includes air compressor, tire machine, balancer, and automotive lifts; Equipment includes blast machine, stone machine, lathe, press, and three testers
