O'Reilly Auto Parts
For Sale
Contact for pricing
Pending
507 W State St, Black Mountain, NC 28711
Single-tenant net lease with creditworthy tenant in Black Mountain, NC.
Property Size6,300 SF
Lot Size1.08 Acres
Days on Market175
Property Features for 507 W State St
General Information
Standard status
Pending
Size
6,300 SF
Class
A
Lot size
1.08 Acres
Property subtype
Retail
Occupancy
100%
Lease Type
NN
Investment Type
Net Lease
Net Operating Income
$61,056
Building Details
Units
1
Tenancy
Single
Listing Agency:
Silber Investment Properties Ltd
Listed By:
Nicolas Anzalone · License #NY 10401344313
Source:
Crexi
Added: Feb 17
Changed: Aug 8
Last Checked: Aug 9 at 12:27PM
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 Silber Investment Properties Ltd
Investment Insights
Based on property information with market context.
This single-tenant net lease investment opportunity features an O'Reilly Auto Parts location at 507 W State St, Black Mountain, NC 28711. The property is priced at $975,000 with a 6.25% CAP rate, generating $61,056 in annual rent under a long-term NN lease where the tenant is responsible for roof, structure, and parking lot maintenance. The current lease expires in May 2030 and includes three five-year renewal options with 6% rent increases every five years. The 6,300 square foot building is situated on a 1.08-acre lot with visibility and high traffic counts of approximately 8,253 vehicles per day along West State Street (US 70 corridor). The property is surrounded by national retailers such as CVS, Ingles, Tractor Supply, and Dollar General. Capital improvements include a new roof installed in 2023 and a recently resealed parking lot. O'Reilly Auto Parts has an investment-grade credit profile, including a Moody's Baa1 rating. This corporate-guaranteed lease offers passive income with minimal management, making it suitable for 1031 exchange buyers, private investors, or those seeking portfolio diversification in the automotive aftermarket sector.
Key Highlights
- Creditworthy tenant: O'Reilly Auto Parts (NASDAQ: ORLY) with investment‑grade Moody's Baa1 rating.
- Long‑term NN lease with corporate guarantee, providing passive income and minimal management.
- Attractive 6.25% CAP rate and $61,056 annual rent.
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
$73,869
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
7.99%
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%
$1,477,380
$1.5M
Cap Rate 7%
$1,055,271
$1.1M
Cap Rate 9%
$820,767
$820.8K
Market Conditions
NOI Build-Up for 6,300 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
$107.4K $17.04/SF
− Vacancy
−$1.8K −$0.29/SF
EGI
$105.5K $16.75/SF
− OpEx
−$31.7K −$5.03/SF
NOI
$73.9K $11.73/SF
Area
Buncombe County, NC
Vacancy
1.70%
Lease Rate
$17.04 /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%
$1,477,380
Cap Rate 7%
$1,055,271
Cap Rate 9%
$820,767
Alternative Uses
Best Use
Retail
$1.06M
$923.4K – $1.23M
NOI $73,869 @ 7.0% cap · market cap 7.99%
Second Best
Industrial
$627.2K
$548.8K – $731.7K
NOI $43,902 @ 7.0% cap · market cap 4.75%
Theoretical Best
Office A
$1.99M
$1.74M – $2.32M
NOI $139,450 @ 7.0% cap · market cap 15.08%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
697
Businesses Nearby
8k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 51%
Dining 22%
Hotels & Casinos 17%
Home Improvements & Furnishings 11%
State Employees Credit Union
Shops & Services
3,790 visits/mo
0.4 miles
Thai Basil
Dining
1,870 visits/mo
0.5 miles
Hampton Inn by Hilton Black Mountain
Hotels & Casinos
1,384 visits/mo
0.5 miles
Sherwin-Williams Paint Store
Home Improvements & Furnishings
892 visits/mo
0.5 miles
Napa Auto Parts
Shops & Services
446 visits/mo
0.3 miles
Demographics for 28711, NC
14,047
Population
7,563
Households
1.9
Avg Household Size
49
Median Age
54%
College-Educated
92%
High-School Grad
103.9 sq mi
ZIP Area
135
Density / Sq Mi
$69,177
Median Household Income
$38,677
Median Earnings
$1,319
Median Rent
$358,400
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Similar Off Market Nearby
- Shifty's Transmissions — 410 Blue Ridge Rd, Black Mountain, NC 28711
- Clements Automotive — 561 Blue Ridge Rd, Black Mountain, NC 28711
- Hall's Towing & Recovery — 410 Blue Ridge Rd, Black Mountain, NC 28711
- Koppinger Euro Service — 1196 Old US Hwy 70, Black Mountain, NC 28711
- German Motor Performance — 8 Julian Dr, Black Mountain, NC 28711
Frequently Asked Questions
What type of property is this?
Auto shop - Single-tenant net lease with creditworthy tenant in Black Mountain, NC.
Where is this auto shop located?
The property is located at 507 W State St Black Mountain, NC.
What is the asking price?
The asking price for this property is $925,000.
What are key features of this property?
This property features: Creditworthy tenant: O'Reilly Auto Parts (NASDAQ: ORLY) with investment‑grade Moody's Baa1 rating.; Long‑term NN lease with corporate guarantee, providing passive income and minimal management.; Attractive 6.25% CAP rate and $61,056 annual rent.
