Turn-Key Auto Repair and Towing
For Sale
$1,300,000
640 Fawn River Road, Sturgis, MI 49091
COMMERCIAL - Sturgis, MI
Property Size5,500 SF
Lot Size1.39 Acres
Price / SF$236.36
Days on Market1884
Property Features for 640 Fawn River Road
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Industrial
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 1, Bathroom 2
Interior features
Broadband
Elementary school district
Sturgis
Middle school district
Sturgis
High school district
Sturgis
Directions
From Centerville & Fawn River go east on Fawn River 1/8 mile on the right.
Subdivision
St. Joseph County - J
Standard status
Active
APN
7505277726010
Size
5,500 SF
Lot size
1.39 Acres
Taxes and HOA fees
Tax Year
2020
Tax Description
Lengthy on File.
Tax Annual Amount
3890
Legal Description
Lengthy on File.
Utilities
Utilities
Cable Available
Heating system
Forced Air
Amenities
loft storage
offices
outbuilding
overhead doors
Building Details
Year built
1950
Floors in Building
1
Number of units
2
Building materials
Aluminum Siding
Roof type
Rubber
Listing Agency:
RE/MAX Elite Group
(269) 651-2776
Listed By:
David C Clark · License #6506043540
(269) 808-0265
Added: Jun 25, 2021
Changed: Aug 4
Last Checked: Aug 21 at 12:06AM
MLS# 21024638
Copyright © 2026 Michigan Regional Information Center, LLC. 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 turn-key auto repair and towing shop is set up for active operations, with equipment and building improvements already in place. The facility includes multiple tow assets, a large fenced area to the rear, and support equipment such as forklift units, a 10-ton equipment trailer, and a semi tractor. Interior work bays include six hoists and eight overhead doors, with two of the doors featuring automatic openers. There is also loft storage, eight bays, and four offices. Additional improvements include two 30-by-40 outbuilding bays and a 30-by-40 outbuilding.
The property is located at 640 Fawn River Road in Sturgis, Michigan, in St. Joseph County. The site sits on 1.39 acres and is zoned industrial, allowing other uses in addition to auto and towing services.
The current layout offers both vehicle service and dispatch/handling space, supported by the fenced rear yard and the overhead door bay configuration.
The property is located at 640 Fawn River Road in Sturgis, Michigan, in St. Joseph County. The site sits on 1.39 acres and is zoned industrial, allowing other uses in addition to auto and towing services.
The current layout offers both vehicle service and dispatch/handling space, supported by the fenced rear yard and the overhead door bay configuration.
Key Highlights
- Turn‑key auto repair and towing business with established police towing rotation in two counties.
- Extensive towing fleet included: 7 tow trucks (2 heavies, 1 medium, 2 flat beds, 1 light, motorcycle trailer).
- Zoned industrial, offering diverse usage possibilities beyond the existing business.
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
$82,263
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
6.33%
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%
$1,645,260
$1.6M
Cap Rate 7%
$1,175,186
$1.2M
Cap Rate 9%
$914,033
$914.0K
Market Conditions
NOI Build-Up for 5,500 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
$120.8K $21.96/SF
− Vacancy
−$3.3K −$0.59/SF
EGI
$117.5K $21.37/SF
− OpEx
−$35.3K −$6.41/SF
NOI
$82.3K $14.96/SF
Area
St. Joseph County, MI
Vacancy
2.70%
Lease Rate
$21.96 /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%
$1,645,260
Cap Rate 7%
$1,175,186
Cap Rate 9%
$914,033
Alternative Uses
Best Use
Industrial
$1.18M
$1.03M – $1.37M
NOI $82,263 @ 7.0% cap · market cap 6.33%
Second Best
Retail
$815.6K
$713.7K – $951.6K
NOI $57,095 @ 7.0% cap · market cap 4.39%
Theoretical Best
Multifamily LT 5
$68.53M
$59.97M – $79.95M
NOI $4,797,203 @ 7.0% cap · market cap 369.02%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
8
Service bays
Turnkey business
Opportunity
Yes
Fenced yard
Location Intelligence
Trade Area within ½ mile
258
Businesses Nearby
94k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Superstores 72%
Shops & Services 12%
Dining 7%
Apparel 6%
Walmart
Superstores
67,321 visits/mo
0.1 miles
Marathon
Shops & Services
9,425 visits/mo
0.1 miles
BIGGBY COFFEE
Dining
6,973 visits/mo
0.1 miles
maurices
Apparel
5,377 visits/mo
0.2 miles
GameStop
Electronics
2,808 visits/mo
0.2 miles
Demographics for 49091, MI
19,901
Population
8,732
Households
2.3
Avg Household Size
38
Median Age
20%
College-Educated
84%
High-School Grad
87.3 sq mi
ZIP Area
228
Density / Sq Mi
$65,000
Median Household Income
$39,399
Median Earnings
$817
Median Rent
$173,800
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
- Sturgis Towing and Recovery — 70528 S Centerville Rd, Sturgis, MI 49091
- Walmart Auto Care Centers — 1500 S Centerville Rd, Sturgis, MI 49091
- 512 Lube Center — 512 S Centerville Rd, Sturgis, MI 49091
- Windshield Repair Today of Cato — 1301 Cato Ln, Sturgis, MI 49091
- Chuck’s Auto Service — 640 Fawn River Rd, Sturgis, MI 49091
Frequently Asked Questions
What type of property is this?
Auto shop - Turn-key auto repair and towing facility with eight overhead doors, multiple hoists, and a large fenced back lot.
Where is this auto shop located?
The property is located at 640 Fawn River Road Sturgis, MI.
What is the asking price?
The asking price for this property is $1,300,000.
What are key features of this property?
This property features: Turn‑key auto repair and towing business with established police towing rotation in two counties.; Extensive towing fleet included: 7 tow trucks (2 heavies, 1 medium, 2 flat beds, 1 light, motorcycle trailer).; Zoned industrial, offering diverse usage possibilities beyond the existing business.
