Former Automotive Shop with
For Sale
Contact for pricing
2501 W Lexington Ave, Elkhart, IN 46514
Former automotive shop with secured storage behind the building and deeded river access for potential boat slip use.
Property Size2,880 SF
Price / SF$121.18
Days on Market29
Property Features for 2501 W Lexington Ave
General Information
Standard status
Active
Size
2,880 SF
Property subtype
INDUSTRIAL
Site & Location
Highway Access
Yes
Fenced Yard
Yes
Outdoor Storage
Yes
Amenities
deeded river access
Listing Agency:
Bradley Company | South Bend
(574) 220-8636
Listed By:
Greg Pink · License #RB14048578
(574) 220-8636
Source:
Moodyscre
Added: Jul 14
Changed: Jul 28
Last Checked: Jul 28 at 3:00AM
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 Bradley Company | South Bend
Investment Insights
Based on property information with market context.
This property includes a 2,880 SF former automotive shop with secured storage located behind the building. The offering also includes deeded access to the river, which may support potential for a boat slip. The site’s configuration can accommodate automotive service and sales, as well as small fabrication or transportation-related uses.
The property is positioned on the west side of Elkhart, centrally between Elkhart and Mishawaka. Access is available to the US 20 Bypass and Indiana Toll Road (80|90) via State Road 19, supporting convenient regional connectivity.
In addition to the building and secured storage, the property is listed with potential for a U-Haul franchisee, with referenced historical income of $5,000 to $10,000 per year.
The property is positioned on the west side of Elkhart, centrally between Elkhart and Mishawaka. Access is available to the US 20 Bypass and Indiana Toll Road (80|90) via State Road 19, supporting convenient regional connectivity.
In addition to the building and secured storage, the property is listed with potential for a U-Haul franchisee, with referenced historical income of $5,000 to $10,000 per year.
Key Highlights
- 2,880 SF former automotive shop
- Over 1 acre of secured storage behind the building
- Deeded access to the river with potential for boat slip use
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
$17,258
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
4.94%
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%
$345,160
$345.2K
Cap Rate 7%
$246,543
$246.5K
Cap Rate 9%
$191,756
$191.8K
Market Conditions
NOI Build-Up for 2,880 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
$27.3K $9.48/SF
− Vacancy
−$2.6K −$0.92/SF
EGI
$24.7K $8.56/SF
− OpEx
−$7.4K −$2.57/SF
NOI
$17.3K $5.99/SF
Area
Elkhart County, IN
Vacancy
9.70%
Lease Rate
$9.48 /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%
$345,160
Cap Rate 7%
$246,543
Cap Rate 9%
$191,756
Alternative Uses
Best Use
Retail
$528.1K
$462.1K – $616.1K
NOI $36,965 @ 7.0% cap · market cap 10.59%
Second Best
Industrial
$246.5K
$215.7K – $287.6K
NOI $17,258 @ 7.0% cap · market cap 4.94%
Theoretical Best
Specialty Retail
$533.2K
$466.6K – $622.1K
NOI $37,325 @ 7.0% cap · market cap 10.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Fenced yard
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
755
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 46514, IN
42,048
Population
17,987
Households
2.3
Avg Household Size
39
Median Age
21%
College-Educated
86%
High-School Grad
38.7 sq mi
ZIP Area
1,087
Density / Sq Mi
$61,784
Median Household Income
$40,909
Median Earnings
$1,084
Median Rent
$170,900
Median Home Value
Market
Vacancy Rate% for Industrial in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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- J&S Tire Shop — 1615 W Lexington Ave, Elkhart, IN 46514
Frequently Asked Questions
What type of property is this?
Auto shop - Former automotive shop with secured storage behind the building and deeded river access for potential boat slip use.
Where is this auto shop located?
The property is located at 2501 W Lexington Ave Elkhart, IN.
What is the asking price?
The asking price for this property is $349,000.
What are key features of this property?
This property features: 2,880 SF former automotive shop; Over 1 acre of secured storage behind the building; Deeded access to the river with potential for boat slip use
