Renovated Automotive Repair
New
For Sale
$750,000
16 Foundry St, Newark, NJ 07105
Operating mechanic shop with vehicle-service equipment, licensing, a full bath, and kitchen.
Property Size2,500 SF
Days on Market3
Property Features for 16 Foundry St
General Information
Standard status
Active
Size
2,500 SF
Property subtype
Commercial
Additional Details
Business Included
Yes
Service Bays
3
Taxes and HOA fees
Annual Taxes
$6,798
Amenities
Full bath
Kitchen
Building Details
Building Size
2,500 SF
Year Renovated
2023
Stories
1
Listing Agency:
EXIT REALTY LUCKY ASSOCIATES
Listed By:
MARILENE OLIVEIRA
(973) 817-7700
Source:
Elliman
Added: Sep 10
Last Checked: Sep 12 at 9:25AM
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 EXIT REALTY LUCKY ASSOCIATES
Investment Insights
Based on property information with market context.
This automotive repair property includes a full bath, kitchen, three vehicle lifts, a wheel alignment machine, vehicle parts, and tools. The interior was renovated in 2023, and the property is described as environmentally clean. Included licensing and operating assets comprise an NJDMV inspection machine with active license, dealer license for vehicle auction purchases and sales, and mechanical license.
The mechanic shop has operated for over 14 years and serves major business contracts as well as personal accounts. Walkability, biking, and transit scores are 94, 69, and 74, respectively, providing documented access characteristics for the Newark location.
The mechanic shop has operated for over 14 years and serves major business contracts as well as personal accounts. Walkability, biking, and transit scores are 94, 69, and 74, respectively, providing documented access characteristics for the Newark location.
Key Highlights
- Interior renovation completed in 2023
- Three vehicle lifts and wheel alignment machine included
- NJDMV inspection machine with active license
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
$38,178
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
5.09%
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%
$763,560
$763.6K
Cap Rate 7%
$545,400
$545.4K
Cap Rate 9%
$424,200
$424.2K
Market Conditions
NOI Build-Up for 2,500 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
$60.0K $24.00/SF
− Vacancy
−$5.5K −$2.18/SF
EGI
$54.5K $21.82/SF
− OpEx
−$16.4K −$6.54/SF
NOI
$38.2K $15.27/SF
Area
ZIP 07105
Vacancy
9.10%
Lease Rate
$24.00 /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%
$763,560
Cap Rate 7%
$545,400
Cap Rate 9%
$424,200
Alternative Uses
Best Use
Retail
$545.4K
$477.2K – $636.3K
NOI $38,178 @ 7.0% cap · market cap 5.09%
Second Best
Industrial
$367.0K
$321.1K – $428.2K
NOI $25,689 @ 7.0% cap · market cap 3.43%
Theoretical Best
Office A
$894.2K
$782.4K – $1.04M
NOI $62,592 @ 7.0% cap · market cap 8.35%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
3
Service bays
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
626
Businesses Nearby
13k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 70%
Groceries 30%
Dollar General
Shops & Services
5,604 visits/mo
0.5 miles
Met Food
Groceries
3,890 visits/mo
0.4 miles
Phillips 66
Shops & Services
2,783 visits/mo
0.1 miles
Avis Budget Car Rental
Shops & Services
769 visits/mo
0.2 miles
Demographics for 07105, NJ
50,870
Population
20,608
Households
2.5
Avg Household Size
35
Median Age
15%
College-Educated
70%
High-School Grad
4.6 sq mi
ZIP Area
11,059
Density / Sq Mi
$55,752
Median Household Income
$33,175
Median Earnings
$1,600
Median Rent
$445,900
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Northeast region
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Similar Off Market Nearby
- G and V Auto Body — 105 Rome St, Newark, NJ 07105
- AAA Metal & Glass — Newark, NJ 07105
- Jairo Truck Repair — 309 Avenue P, Newark, NJ 07105
- Mejias Truck Repair. — 309 Avenue P, Newark, NJ 07105
- A&A truck center — 309 Avenue P, Newark, NJ 07105
Frequently Asked Questions
What type of property is this?
Auto shop - Operating mechanic shop with vehicle-service equipment, licensing, a full bath, and kitchen.
Where is this auto shop located?
The property is located at 16 Foundry St Newark, NJ.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: Interior renovation completed in 2023; Three vehicle lifts and wheel alignment machine included; NJDMV inspection machine with active license
