Automotive Detailing
For Sale
$524,000
16041 W 7 Mile Road, Detroit, MI 48235
Automotive detailing facility with customer waiting room, private office, bathrooms, extensive storage, and heavy-duty rolling doors.
Property Size3,626 SF
Days on Market418
Property Features for 16041 W 7 Mile Road
General Information
Standard status
Active
Size
3,626 SF
Property subtype
Commercial
Zoning
Commercial
Additional Details
Road Access
Yes
Amenities
large customer waiting room
private office
bathrooms
laundry room
furnace room
glass-block windows
heavy-duty rolling commercial doors
Building Details
Building Size
3,626 SF
Year Built
1955
Stories
1
Listing Agency:
Leboursia Realty Group
(248) 974-9473
Listed By:
Michael J Petty
(248) 974-9473
Source:
Homesforsaleinmich
Added: Jun 18, 2025
Changed: Aug 8
Last Checked: Aug 8 at 12:51PM
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 Leboursia Realty Group
Investment Insights
Based on property information with market context.
This automotive detailing facility is currently operating as a detailing business and features a well-maintained building with substantial interior storage and large work areas throughout the property. The layout includes a large customer waiting room, a private office, and bathrooms, along with a laundry room and a dedicated furnace room.
The property includes glass-block windows and heavy-duty rolling commercial doors for access to the work areas, and it is described as having solid plumbing and electrical throughout the interior and exterior. The seller’s materials indicate the facility is situated on a major street.
With customer and office space alongside sizable service areas and multiple support rooms, the property is configured to support automotive detail work and related operations requiring roll-up access and on-site workflow space.
The property includes glass-block windows and heavy-duty rolling commercial doors for access to the work areas, and it is described as having solid plumbing and electrical throughout the interior and exterior. The seller’s materials indicate the facility is situated on a major street.
With customer and office space alongside sizable service areas and multiple support rooms, the property is configured to support automotive detail work and related operations requiring roll-up access and on-site workflow space.
Key Highlights
- Automotive detailing facility built in 1955
- Large customer waiting room plus private office and bathrooms
- Extensive storage throughout with large work areas throughout the complex
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
$35,736
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
6.82%
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%
$714,720
$714.7K
Cap Rate 7%
$510,514
$510.5K
Cap Rate 9%
$397,067
$397.1K
Market Conditions
NOI Build-Up for 3,626 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
$51.3K $14.16/SF
− Vacancy
−$3.7K −$1.02/SF
EGI
$47.6K $13.14/SF
− OpEx
−$11.9K −$3.29/SF
NOI
$35.7K $9.86/SF
Area
ZIP 48235
Vacancy
7.20%
Lease Rate
$14.16 /SF/Yr
Expense Ratio
25.00%
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%
$714,720
Cap Rate 7%
$510,514
Cap Rate 9%
$397,067
Alternative Uses
Best Use
Specialty Retail
$510.5K
$446.7K – $595.6K
NOI $35,736 @ 7.0% cap · market cap 6.82%
Second Best
Retail
$457.9K
$400.6K – $534.2K
NOI $32,050 @ 7.0% cap · market cap 6.12%
Theoretical Best
Multifamily LT 5
$514.0K
$449.7K – $599.7K
NOI $35,979 @ 7.0% cap · market cap 6.87%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
450
Businesses Nearby
2k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Citgo
Shops & Services
2,353 visits/mo
0.1 miles
Demographics for 48235, MI
45,188
Population
20,946
Households
2.2
Avg Household Size
39
Median Age
15%
College-Educated
91%
High-School Grad
6.2 sq mi
ZIP Area
7,288
Density / Sq Mi
$41,011
Median Household Income
$31,545
Median Earnings
$1,151
Median Rent
$79,400
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 - Automotive detailing facility with customer waiting room, private office, bathrooms, extensive storage, and heavy-duty rolling doors.
Where is this auto shop located?
The property is located at 16041 W 7 Mile Road Detroit, MI.
What is the asking price?
The asking price for this property is $524,000.
What are key features of this property?
This property features: Automotive detailing facility built in 1955; Large customer waiting room plus private office and bathrooms; Extensive storage throughout with large work areas throughout the complex
