Automotive Repair
For Sale
$949,000
5431 5419 & 5420 E Davison Street E, Detroit, MI 48212
Operating repair and parts facility with service equipment, fenced yards, and included business assets.
Property Size11,456 SF
Lot Size0.56 Acres
Price / SF$82.84
Days on Market310
Property Features for 5431 5419 & 5420 E Davison Street E
General Information
Standard status
Active
Size
11,456 SF
Lot size
0.56 Acres
Property subtype
Business Opportunity
Zoning
Commercial, Heavy Industry, Light Indust
Lease Term
Cash, Conventional, Owner May Carry
Site & Location
Fenced Yard
Yes
Outdoor Storage
Yes
Warehouse & Industrial
Clear Height
16 ft
Warehouse Space
11,456 SF
Drive-In Doors
3
Power
600 amps
Voltage
240 V
Three-Phase Power
Yes
Additional Details
Business Included
Yes
Service Bays
3
Taxes and HOA fees
Annual Taxes
$3,339
Amenities
3 overhead doors
radiant heat
600 AMP electrical service
240V
3-phase power
14-16 ft clear ceiling heights
2 fenced yards
Building Details
Building Size
11,456 SF
Year Built
1977
Buildings
1
Stories
1
Listing Agency:
Epique Realty
(248) 568-5958
Listed By:
David Elwood
(248) 568-5958
Source:
Sabudarealty
Added: Oct 1, 2025
Changed: Aug 2
Last Checked: Aug 6 at 12:14PM
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 Epique Realty
Investment Insights
Based on property information with market context.
This automotive repair and parts facility includes a combined three-unit building totaling 11,456 square feet on a 0.48-acre lot, plus a separate 0.08-acre fenced yard across E Davison Street. The property has three grade-level overhead doors, three auto lifts, radiant heat, and 14'-16' clear heights. A 9-year-old roof supports the existing industrial configuration.
Electrical service includes 600 AMP capacity, 240V, and 3-phase power, with expansion capacity noted. The doors measure 12x12 feet, 12x12 feet, and 14x14 feet, with access from the front, side, and rear. The sale includes the operating business, salvage and auto repair licenses, city use certificates, inventory, and FF&E. The facility has operated as a BMW repair business and machine shop under the same ownership for over 25 years.
Electrical service includes 600 AMP capacity, 240V, and 3-phase power, with expansion capacity noted. The doors measure 12x12 feet, 12x12 feet, and 14x14 feet, with access from the front, side, and rear. The sale includes the operating business, salvage and auto repair licenses, city use certificates, inventory, and FF&E. The facility has operated as a BMW repair business and machine shop under the same ownership for over 25 years.
Key Highlights
- 11,456‑square‑foot combined three‑unit building on a 0.48‑acre lot
- Additional 0.08‑acre secure fenced yard at 5420 E. Davison
- Three grade‑level doors: two 12x12 feet and one 14x14 feet
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
$81,633
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
8.60%
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%
$1,632,660
$1.6M
Cap Rate 7%
$1,166,186
$1.2M
Cap Rate 9%
$907,033
$907.0K
Market Conditions
NOI Build-Up for 11,456 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
$100.4K $8.76/SF
− Vacancy
−$4.3K −$0.38/SF
EGI
$96.0K $8.38/SF
− OpEx
−$14.4K −$1.26/SF
NOI
$81.6K $7.13/SF
Area
Detroit, MI
Vacancy
4.30%
Lease Rate
$8.76 /SF/Yr
Expense Ratio
15.00%
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%
$1,632,660
Cap Rate 7%
$1,166,186
Cap Rate 9%
$907,033
Alternative Uses
Best Use
Retail
$2.02M
$1.76M – $2.35M
NOI $141,103 @ 7.0% cap · market cap 14.87%
Second Best
Warehouse
$1.17M
$1.02M – $1.36M
NOI $81,633 @ 7.0% cap · market cap 8.60%
Theoretical Best
Office A
$2.53M
$2.21M – $2.95M
NOI $176,907 @ 7.0% cap · market cap 18.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
16 ft
Clear height
3
Drive-in doors
3
Service bays
Turnkey business
Opportunity
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
300
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 48212, MI
43,192
Population
14,739
Households
2.9
Avg Household Size
29
Median Age
16%
College-Educated
68%
High-School Grad
5.3 sq mi
ZIP Area
8,149
Density / Sq Mi
$37,293
Median Household Income
$28,894
Median Earnings
$935
Median Rent
$98,200
Median Home Value
Market
Vacancy Rate% for Industrial 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 - Operating repair and parts facility with service equipment, fenced yards, and included business assets.
Where is this auto shop located?
The property is located at 5431 5419 & 5420 E Davison Street E Detroit, MI.
What is the asking price?
The asking price for this property is $949,000.
What are key features of this property?
This property features: 11,456‑square‑foot combined three‑unit building on a 0.48‑acre lot; Additional 0.08‑acre secure fenced yard at 5420 E. Davison; Three grade‑level doors: two 12x12 feet and one 14x14 feet
