Turnkey Auto Repair and Tow
For Sale
$1,300,000
640 Fawn River Road Sturgis, Sturgis, MI 49091
Industrial-zoned facility with multiple bays, hoists, overhead doors, and towing assets, plus a large fenced rear yard.
Property Size5,500 SF
Days on Market65
Property Features for 640 Fawn River Road Sturgis
General Information
Standard status
Active
Size
5,500 SF
Zoning
Industrial
Taxes and HOA fees
Annual Taxes
$3,890
Amenities
Yes
2
1
No
Broadband
Real Estate,Inventory,Equipment
1.39
Irregular
Paved
5500.0
Building Details
Building Size
5,500 SF
Year Built
1950
Buildings
2
Listed By:
Brad Houser
(269) 399-5881
Source:
Remax-executive
Added: Jul 10
Changed: Sep 11
Last Checked: Sep 11 at 5:02AM
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 Brad Houser
Investment Insights
Based on property information with market context.
This turn-key auto repair and towing facility is set up for heavy automotive work, with eight bays and six hoists. The shop includes four offices and loft storage, along with eight overhead doors (two with automatic openers). Additional improvements include a 30-by-40 outbuilding with two bays and a very large fenced area in the back of the building. Equipment includes three fork lifts, a 10-ton equipment trailer, and a semi tractor.
The property also operates as a towing business with seven tow trucks (including two heavies, one medium, two flat beds, one light, and a motorcycle trailer), and it notes police rotation for towing in two counties. Used car inventory is described as negotiable.
Zoned industrial, the site supports an auto or towing use and also allows for other uses consistent with industrial zoning. The configuration and equipment included make it well-suited for an operator seeking a ready-to-run setup.
The property also operates as a towing business with seven tow trucks (including two heavies, one medium, two flat beds, one light, and a motorcycle trailer), and it notes police rotation for towing in two counties. Used car inventory is described as negotiable.
Zoned industrial, the site supports an auto or towing use and also allows for other uses consistent with industrial zoning. The configuration and equipment included make it well-suited for an operator seeking a ready-to-run setup.
Key Highlights
- Industrial‑zoned auto repair and towing facility with 2 buildings and a 1.39‑acre lot
- Building totals 5,500 SF with 8 bays, 4 offices, 8 overhead doors (2 with automatic openers), and loft storage
- Includes towing assets: 7 tow trucks (2 heavies, 1 medium, 2 flat beds, 1 light) plus a motorcycle trailer
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
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Open Analytics
Current Use
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
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in Midwest region
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Similar Off Market Nearby
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- Walmart Auto Care Centers — 1500 S Centerville Rd, Sturgis, MI 49091
- Windshield Repair Today of Cato — 1301 Cato Ln, Sturgis, MI 49091
- 512 Lube Center — 512 S Centerville Rd, Sturgis, MI 49091
Frequently Asked Questions
What type of property is this?
Auto shop - Industrial-zoned facility with multiple bays, hoists, overhead doors, and towing assets, plus a large fenced rear yard.
Where is this auto shop located?
The property is located at 640 Fawn River Road Sturgis 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: Industrial‑zoned auto repair and towing facility with 2 buildings and a 1.39‑acre lot; Building totals 5,500 SF with 8 bays, 4 offices, 8 overhead doors (2 with automatic openers), and loft storage; Includes towing assets: 7 tow trucks (2 heavies, 1 medium, 2 flat beds, 1 light) plus a motorcycle trailer
