Downtown Dexter Auto Shop For
For Sale
Contact for pricing
8260 Dexter Chelsea Rd, Dexter, MI 48130
Auto shop with storage in downtown Dexter, land contract available.
Property Size5,280 SF
Price / SF$169.51
Days on Market657
Property Features for 8260 Dexter Chelsea Rd
General Information
Standard status
Active
Size
5,280 SF
Total Parking Spaces
15
Property subtype
Industrial
Zoning
OI; Composite Commercial District (C-4)
Building Details
Year Built
1991
Buildings
1
Stories
1
Listing Agency:
Signature Associates Warren
(248) 799-3161
Listed By:
Drake Filippis · License #MI
Source:
Crexi
Added: Nov 2, 2024
Changed: Aug 16
Last Checked: Aug 19 at 4:45PM
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 Signature Associates Warren
Investment Insights
Based on property information with market context.
This property features an auto shop located in Downtown Dexter, Michigan. It comprises two buildings, with a 4,480-square-foot shop and an additional 800-square-foot storage space for parts. The property operates on well and septic systems. Land contract options are available.
Key Highlights
- 4,480 sq. ft. auto shop in Downtown Dexter
- Land contract available
- Additional 800 sq. ft. of storage space
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
$71,795
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
8.02%
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%
$1,435,900
$1.4M
Cap Rate 7%
$1,025,643
$1.0M
Cap Rate 9%
$797,722
$797.7K
Market Conditions
NOI Build-Up for 5,280 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
$110.9K $21.00/SF
− Vacancy
−$8.3K −$1.58/SF
EGI
$102.6K $19.43/SF
− OpEx
−$30.8K −$5.83/SF
NOI
$71.8K $13.60/SF
Area
Washtenaw County, MI
Vacancy
7.50%
Lease Rate
$21.00 /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%
$1,435,900
Cap Rate 7%
$1,025,643
Cap Rate 9%
$797,722
Alternative Uses
Best Use
Retail
$1.03M
$897.4K – $1.20M
NOI $71,795 @ 7.0% cap · market cap 8.02%
Second Best
Industrial
$700.1K
$612.6K – $816.8K
NOI $49,009 @ 7.0% cap · market cap 5.48%
Theoretical Best
Office A
$1.55M
$1.36M – $1.81M
NOI $108,599 @ 7.0% cap · market cap 12.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
387
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 48130, MI
16,469
Population
6,316
Households
2.6
Avg Household Size
43
Median Age
67%
College-Educated
98%
High-School Grad
64.0 sq mi
ZIP Area
257
Density / Sq Mi
$131,875
Median Household Income
$56,550
Median Earnings
$1,681
Median Rent
$453,100
Median Home Value
Market
Vacancy Rate% for Retail in Midwest region
Questions? Ask Rey
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Similar Off Market Nearby
- Haas Transmission Services — 8260 Dexter-Chelsea Rd, Dexter, MI 48130
- Marks Auto Service — 8256 Dexter-Chelsea Rd, Dexter, MI 48130
- Apueh Car Towings — 8140 Main St, Dexter, MI 48130
Frequently Asked Questions
What type of property is this?
Auto shop - Auto shop with storage in downtown Dexter, land contract available.
Where is this auto shop located?
The property is located at 8260 Dexter Chelsea Rd Dexter, MI.
What is the asking price?
The asking price for this property is $895,000.
What are key features of this property?
This property features: 4,480 sq. ft. auto shop in Downtown Dexter; Land contract available; Additional 800 sq. ft. of storage space
