East Dearborn Mechanic Shop
For Sale
$1,950,000
4181 Schaefer Road, Dearborn, MI 48126
Automotive repair facility in the heart of East Dearborn.
Property Size10,710 SF
Lot Size0.75 Acres
Price / SF$182.24
Days on Market123
Property Features for 4181 Schaefer Road
General Information
Standard status
Active
Size
10,710 SF
Lot size
0.75 Acres
Property subtype
Commercial
Zoning
Commercial
Taxes and HOA fees
Annual Taxes
$21,523
Building Details
Building Size
10,710 SF
Year Built
1950
Listing Agency:
Century 21 Curran & Oberski
(313) 274-7200
Listed By:
Ali T Charara · License #6501340600
Source:
Eliterealtymi
Added: Apr 24
Changed: Aug 23
Last Checked: Aug 23 at 6:15AM
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 Century 21 Curran & Oberski
Investment Insights
Based on property information with market context.
This automotive repair facility is located in East Dearborn, just south of Michigan Avenue. The property features over 10,700 square feet of industrial/mechanical space situated on approximately three-quarters of an acre. It offers a large, fully fenced parking lot with ample on-site paved parking, suitable for vehicle storage, operations, or expansion. The location provides excellent visibility and accessibility in a high-demand automotive corridor. The property is ideal for owner-users, investors, or automotive-related businesses seeking a strategic Dearborn location. The bike score is 51, indicating it is bikeable, and the walk score is 85, indicating it is very walkable.
Key Highlights
- Over 10,700 SF of industrial/mechanical space.
- Located in the heart of East Dearborn, just south of Michigan Avenue.
- Large, fully fenced parking lot with ample on‑site paved parking.
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
$131,791
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
6.76%
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%
$2,635,820
$2.6M
Cap Rate 7%
$1,882,729
$1.9M
Cap Rate 9%
$1,464,344
$1.5M
Market Conditions
NOI Build-Up for 10,700 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
$199.0K $18.60/SF
− Vacancy
−$10.7K −$1.00/SF
EGI
$188.3K $17.60/SF
− OpEx
−$56.5K −$5.28/SF
NOI
$131.8K $12.32/SF
Area
Dearborn, 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%
$2,635,820
Cap Rate 7%
$1,882,729
Cap Rate 9%
$1,464,344
Alternative Uses
Best Use
Retail
$1.88M
$1.65M – $2.20M
NOI $131,791 @ 7.0% cap · market cap 6.76%
Second Best
Industrial
$897.0K
$784.9K – $1.05M
NOI $62,791 @ 7.0% cap · market cap 3.22%
Theoretical Best
Office A
$2.36M
$2.07M – $2.75M
NOI $165,232 @ 7.0% cap · market cap 8.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,110
Businesses Nearby
52k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 69%
Groceries 25%
Home Improvements & Furnishings 3%
Apparel 2%
Bank of America
Shops & Services
12,984 visits/mo
0.5 miles
Restaurant Depot
Groceries
12,839 visits/mo
0.4 miles
Shell
Shops & Services
6,083 visits/mo
0.2 miles
Marathon
Shops & Services
4,635 visits/mo
0.3 miles
O'Reilly Auto Parts
Shops & Services
4,269 visits/mo
0.4 miles
Demographics for 48126, MI
55,863
Population
16,919
Households
3.3
Avg Household Size
28
Median Age
24%
College-Educated
74%
High-School Grad
8.4 sq mi
ZIP Area
6,650
Density / Sq Mi
$42,353
Median Household Income
$27,724
Median Earnings
$1,222
Median Rent
$200,600
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Jack Demmer Collision Center — 14641 Prospect St, Dearborn, MI 48126
- Ground Effects Ltd — 13750 Rotunda Dr, Dearborn, MI 48120
- Elite tire — 15141 Michigan Ave, Dearborn, MI 48126
- FAIRLANE FUEL, INC. — 14921 Michigan Ave, Dearborn, MI 48126
- Ford DTP Body Shop — Dearborn, MI 48126
Frequently Asked Questions
What type of property is this?
Auto shop - Automotive repair facility in the heart of East Dearborn.
Where is this auto shop located?
The property is located at 4181 Schaefer Road Dearborn, MI.
What is the asking price?
The asking price for this property is $1,950,000.
What are key features of this property?
This property features: Over 10,700 SF of industrial/mechanical space.; Located in the heart of East Dearborn, just south of Michigan Avenue.; Large, fully fenced parking lot with ample on‑site paved parking.
