Automotive Shop with
For Sale
$550,000
5858 Jefferson Ave, Newport News, VA 23605
C-1-zoned property includes the building, business, and equipment.
Property Size2,000 SF
Price / SF$275
Days on Market35
Property Features for 5858 Jefferson Ave
General Information
Standard status
Active
Size
2,000 SF
Zoning
C-1
Additional Details
Business Included
Yes
Building Details
Year Built
1971
Buildings
1
Listing Agency:
Garrett Realty Partners
(757) 879-8599
Listed By:
Greg Garrett · License #0225071029
Source:
Horakrealtygroup
Added: Jul 28
Changed: Aug 30
Last Checked: Aug 30 at 1:22PM
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 Garrett Realty Partners
Investment Insights
Based on property information with market context.
This 2000 sqft commercial building has been used as an automotive shop and was built in 1971. The sale includes the building, business, and equipment, providing a combined automotive operation and physical asset package.
The property is located at 5858 Jefferson Ave in Newport News, VA 23605. C-1 zoning and the existing automotive-shop use are established components of the offering.
The property is located at 5858 Jefferson Ave in Newport News, VA 23605. C-1 zoning and the existing automotive-shop use are established components of the offering.
Key Highlights
- 2000 sqft building
- Currently used as an automotive shop
- Building, business, and equipment included
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
$16,837
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
3.06%
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%
$336,740
$336.7K
Cap Rate 7%
$240,529
$240.5K
Cap Rate 9%
$187,078
$187.1K
Market Conditions
NOI Build-Up for 2,000 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
$24.7K $12.36/SF
− Vacancy
−$667 −$0.33/SF
EGI
$24.1K $12.03/SF
− OpEx
−$7.2K −$3.61/SF
NOI
$16.8K $8.42/SF
Area
Newport News, VA
Vacancy
2.70%
Lease Rate
$12.36 /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%
$336,740
Cap Rate 7%
$240,529
Cap Rate 9%
$187,078
Alternative Uses
Best Use
Retail
$240.5K
$210.5K – $280.6K
NOI $16,837 @ 7.0% cap · market cap 3.06%
Second Best
Industrial
$188.5K
$164.9K – $219.9K
NOI $13,195 @ 7.0% cap · market cap 2.40%
Theoretical Best
Office A
$424.8K
$371.7K – $495.6K
NOI $29,733 @ 7.0% cap · market cap 5.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
284
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 23605, VA
14,053
Population
6,944
Households
2
Avg Household Size
37
Median Age
18%
College-Educated
91%
High-School Grad
3.7 sq mi
ZIP Area
3,798
Density / Sq Mi
$52,899
Median Household Income
$36,286
Median Earnings
$1,187
Median Rent
$178,400
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Pop's Towing & Recovery — 4709 Jefferson Ave #2123, Newport News, VA 23607
- Newport News Truck & Trailer Repair — 4813 Jefferson Ave, Newport News, VA 23607
- Alfonso's Auto Repair — 4610 Jefferson Ave, Newport News, VA 23607
- Lifetime Automotive Repair & Service — 5302 Jefferson Ave, Newport News, VA 23605
- M&J Car Solutions — 4915 Jefferson Ave, Newport News, VA 23607
Frequently Asked Questions
What type of property is this?
Auto shop - C-1-zoned property includes the building, business, and equipment.
Where is this auto shop located?
The property is located at 5858 Jefferson Ave Newport News, VA.
What is the asking price?
The asking price for this property is $550,000.
What are key features of this property?
This property features: 2000 sqft building; Currently used as an automotive shop; Building, business, and equipment included
