Auto Shop with Dealer
New
For Sale
$550,000
14150 E 8 MILE Rd, Detroit, MI 48205
Updated commercial facility combining used-vehicle sales with automotive repair operations.
Property Size2,700 SF
Days on Market2
Property Features for 14150 E 8 MILE Rd
General Information
Standard status
Active
Size
2,700 SF
Property subtype
Commercial
Additional Details
Business Included
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$5,574
Building Details
Building Size
2,700 SF
Year Built
1962
Listing Agency:
My Realty LLC
Listed By:
Terry Asmar · License #6501408856
(248) 884-2222
Source:
Elliman
Added: Sep 4
Last Checked: Sep 4 at 2:20PM
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 My Realty LLC
Investment Insights
Based on property information with market context.
This commercial property combines a used-car dealership with an automotive repair shop in one updated building. The offering includes the shop, dealer lot, and a dealer license that is available for transfer, supporting continued vehicle sales and repair use. The building was constructed in 1962.
Positioned on E 8 MILE Rd in Detroit, the property has exposure along a main road. Walk Score is 60, described as somewhat walkable, while Bike Score is 51, described as bikeable. The existing configuration brings sales and service functions together within a single automotive property.
Positioned on E 8 MILE Rd in Detroit, the property has exposure along a main road. Walk Score is 60, described as somewhat walkable, while Bike Score is 51, described as bikeable. The existing configuration brings sales and service functions together within a single automotive property.
Key Highlights
- Combined used‑car dealership and automotive repair operation
- Dealer license available and ready for transfer
- Includes repair shop and dealer lot
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
$33,256
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
6.05%
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%
$665,120
$665.1K
Cap Rate 7%
$475,086
$475.1K
Cap Rate 9%
$369,511
$369.5K
Market Conditions
NOI Build-Up for 2,700 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
$50.2K $18.60/SF
− Vacancy
−$2.7K −$1.00/SF
EGI
$47.5K $17.60/SF
− OpEx
−$14.3K −$5.28/SF
NOI
$33.3K $12.32/SF
Area
Detroit, MI
Vacancy
5.40%
Lease Rate
$18.60 /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%
$665,120
Cap Rate 7%
$475,086
Cap Rate 9%
$369,511
Alternative Uses
Best Use
Retail
$475.1K
$415.7K – $554.3K
NOI $33,256 @ 7.0% cap · market cap 6.05%
Second Best
Industrial
$187.6K
$164.2K – $218.9K
NOI $13,132 @ 7.0% cap · market cap 2.39%
Theoretical Best
Office A
$595.6K
$521.2K – $694.9K
NOI $41,694 @ 7.0% cap · market cap 7.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Turnkey business
Opportunity
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
464
Businesses Nearby
70k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 43%
Shops & Services 37%
Apparel 20%
McDonald's
Dining
17,931 visits/mo
0.2 miles
Family Dollar
Shops & Services
10,202 visits/mo
0.4 miles
BP
Shops & Services
8,076 visits/mo
0.2 miles
Popeyes Louisiana Kitchen
Dining
7,629 visits/mo
0.2 miles
Dollar General
Shops & Services
4,700 visits/mo
0.3 miles
Demographics for 48205, MI
34,056
Population
17,102
Households
2
Avg Household Size
32
Median Age
9%
College-Educated
85%
High-School Grad
6.4 sq mi
ZIP Area
5,321
Density / Sq Mi
$40,612
Median Household Income
$30,833
Median Earnings
$1,149
Median Rent
$55,700
Median Home Value
Market
Vacancy Rate% for Retail in Detroit, MI
Questions? Ask Rey
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Similar Off Market Nearby
- Hamburg Auto Care — 12501 E McNichols Rd, Detroit, MI 48205
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- Perrino's Auto Repair Inc — 12452 E McNichols Rd, Detroit, MI 48205
- Ray's Quick Lube — 12930 E McNichols Rd, Detroit, MI 48205
Frequently Asked Questions
What type of property is this?
Auto shop - Updated commercial facility combining used-vehicle sales with automotive repair operations.
Where is this auto shop located?
The property is located at 14150 E 8 MILE Rd Detroit, MI.
What is the asking price?
The asking price for this property is $550,000.
What are key features of this property?
This property features: Combined used‑car dealership and automotive repair operation; Dealer license available and ready for transfer; Includes repair shop and dealer lot
