Tunnel Car Wash
For Sale
$997,600
3417 Franklin Street, Michigan City, IN 46360
Commercial Sale, Michigan City, IN
Property Size4,702 SF
Lot Size0.79 Acres
Price / SF$212.17
Days on Market179
Property Features for 3417 Franklin Street
General Information
Property type
Commercial Sale
Property subtype
Other
Parking
10
Parking features
Off Street
Subdivision
Brinckmanns 2nd Sub
Elementary school district
Michigan City
Middle school district
Michigan City
High school district
Michigan City
Directions
From Hwy 20 and Franklin St, turn north on Franklin St to the property on the west side of the street.
Standard status
Active
APN
460505277029000009
Size
4,702 SF
Lot size
0.79 Acres
Taxes and HOA fees
Tax Year
2024
Tax Description
13-05-05-277-029 BRINCKMANN'S 2ND LTS 4 5 10 & 11 BLK 4 & VAC ALLEY BTW
Tax Annual Amount
8567
Legal Description
13-05-05-277-029 BRINCKMANN'S 2ND LTS 4 5 10 & 11 BLK 4 & VAC ALLEY BTW
Utilities
Sewer type
Public Sewer
Water source
Public
Amenities
waiting area
reception/office space
Building Details
Year built
1959
Listing Agency:
RE/MAX Lifestyles · RE/MAX International
(219) 462-2121
Listed By:
Matt Evans · License #RB14034485
(219) 241-8401
Added: Apr 1
Changed: Sep 23
Last Checked: Sep 26 at 6:06PM
MLS# 836463
Copyright © 2026 Greater Northwest Indiana Association of REALTORS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 4,702-square-foot tunnel car wash property sits on 0.793 acres and includes a waiting area, reception and office space, plus equipment supporting vacuum service and interior and exterior detailing. The improvements use block and metal construction and were built in 1959. Wash equipment has been updated over time, and the current layout includes an estimated 14+ parking spaces.
The property is located at 3417 Franklin Street in Michigan City, adjacent to McDonald's and Biggby Coffee. The site records an average daily traffic count of over 19,340 VPD (2025), providing substantial exposure along the commercial corridor. Public water and public sewer serve the property. B-2 General Commercial zoning allows consideration of retail, office, restaurant, medical, and service-oriented concepts, with all proposed uses subject to verification by the City of Michigan City.
The property is located at 3417 Franklin Street in Michigan City, adjacent to McDonald's and Biggby Coffee. The site records an average daily traffic count of over 19,340 VPD (2025), providing substantial exposure along the commercial corridor. Public water and public sewer serve the property. B-2 General Commercial zoning allows consideration of retail, office, restaurant, medical, and service-oriented concepts, with all proposed uses subject to verification by the City of Michigan City.
Key Highlights
- 4,702 SF tunnel car wash on 0.793 acres
- Average daily traffic of over 19,340 VPD (2025)
- B‑2 (General Commercial) zoning
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
$91,502
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
9.17%
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%
$1,830,040
$1.8M
Cap Rate 7%
$1,307,171
$1.3M
Cap Rate 9%
$1,016,689
$1.0M
Market Conditions
NOI Build-Up for 4,702 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
$127.0K $27.00/SF
− Vacancy
−$5.0K −$1.05/SF
EGI
$122.0K $25.95/SF
− OpEx
−$30.5K −$6.49/SF
NOI
$91.5K $19.46/SF
Area
LaPorte County, IN
Vacancy
3.90%
Lease Rate
$27.00 /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%
$1,830,040
Cap Rate 7%
$1,307,171
Cap Rate 9%
$1,016,689
Alternative Uses
Best Use
Specialty Retail
$1.31M
$1.14M – $1.53M
NOI $91,502 @ 7.0% cap · market cap 9.17%
Second Best
Retail
$632.6K
$553.5K – $738.0K
NOI $44,282 @ 7.0% cap · market cap 4.44%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
19,340 VPD
Traffic count
Location Intelligence
Trade Area within ½ mile
255
Businesses Nearby
Explore this area
Business Placement
Demographics for 46360, IN
44,209
Population
21,652
Households
2
Avg Household Size
42
Median Age
23%
College-Educated
90%
High-School Grad
76.6 sq mi
ZIP Area
577
Density / Sq Mi
$59,641
Median Household Income
$36,738
Median Earnings
$924
Median Rent
$155,900
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Car wash - B-2 commercial site with existing wash infrastructure, customer service areas, and flexibility for other commercial uses subject to municipal approval.
Where is this car wash located?
The property is located at 3417 Franklin Street Michigan City, IN.
What is the asking price?
The asking price for this property is $997,600.
What are key features of this property?
This property features: 4,702 SF tunnel car wash on 0.793 acres; Average daily traffic of over 19,340 VPD (2025); B‑2 (General Commercial) zoning
