Turn-Key Auto Repair
For Sale
$2,200,000
Dearborn Heights, MI 48125, Dearborn Heights, MI 48125
Fully-equipped auto repair building with high visibility and ample parking.
Property Size7,555 SF
Price / SF$291.20
Days on Market205
Property Features
General Information
Standard status
Active
Size
7,555 SF
Property subtype
Retail
Building Details
Building Size
7,555 SF
Year Built
1960
Listing Agency:
Signature Associates
(248) 882-0506
Listed By:
Anatola Sesi · License #6501386692
(248) 882-0506
Source:
Tcnworldwide
Added: Jan 27
Changed: Aug 8
Last Checked: Aug 20 at 4:54AM
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
Investment Insights
Based on property information with market context.
This commercial property in Dearborn Heights is a turn-key service and auto repair facility. The property features a fully-equipped auto repair building with service bays, lifts, a frame machine, a body shop, and office space. Ample parking is available. The property is located on S. Telegraph Road, offering high visibility and strong traffic flow. It is situated in proximity to I-94 and surrounded by local and national retailers. The property is ready for immediate operation and has a size of 7555 square feet. This property is suitable for auto shops, automotive properties, retail properties and spaces.
Key Highlights
- Fully‑equipped, turn‑key auto repair facility ready for immediate operation.
- Prime commercial location on high‑traffic S. Telegraph Road.
- Includes service bays, lifts, frame machine, and body shop.
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
$71,585
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
3.25%
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%
$1,431,700
$1.4M
Cap Rate 7%
$1,022,643
$1.0M
Cap Rate 9%
$795,389
$795.4K
Market Conditions
NOI Build-Up for 7,555 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
$108.8K $14.40/SF
− Vacancy
−$6.5K −$0.86/SF
EGI
$102.3K $13.54/SF
− OpEx
−$30.7K −$4.06/SF
NOI
$71.6K $9.48/SF
Area
Wayne County, MI
Vacancy
6.00%
Lease Rate
$14.40 /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%
$1,431,700
Cap Rate 7%
$1,022,643
Cap Rate 9%
$795,389
Alternative Uses
Best Use
Retail
$1.02M
$894.8K – $1.19M
NOI $71,585 @ 7.0% cap · market cap 3.25%
Second Best
Industrial
$558.8K
$488.9K – $651.9K
NOI $39,113 @ 7.0% cap · market cap 1.78%
Theoretical Best
Specialty Retail
$1.40M
$1.22M – $1.63M
NOI $97,913 @ 7.0% cap · market cap 4.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
368
Businesses Nearby
169k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 65%
Shops & Services 19%
Groceries 14%
Home Improvements & Furnishings 2%
McDonald's
Dining
32,268 visits/mo
0.4 miles
Aldi
Groceries
23,991 visits/mo
0.4 miles
Taco Bell
Dining
20,804 visits/mo
0.2 miles
Wendy's
Dining
17,729 visits/mo
0.3 miles
Burger King
Dining
13,339 visits/mo
0.4 miles
Demographics for 48125, MI
22,070
Population
8,791
Households
2.5
Avg Household Size
38
Median Age
16%
College-Educated
87%
High-School Grad
4.0 sq mi
ZIP Area
5,518
Density / Sq Mi
$59,534
Median Household Income
$38,241
Median Earnings
$1,298
Median Rent
$119,300
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
- Airbag Fix — 5855 Tulane St, Taylor, MI 48180
- GNR AUTOMAX — 25111 Van Born Rd, Taylor, MI 48180
- Used Transmission and Engine Depot — 24614 Van Born Rd, Dearborn Heights, MI 48125, United States
- K&A CUSTOMS — 5317 S Telegraph Rd, Dearborn Heights, MI 48125
- Dearborn Total Automotive I — 23416 Van Born Rd, Dearborn Heights, MI 48125
Frequently Asked Questions
What type of property is this?
Auto shop - Fully-equipped auto repair building with high visibility and ample parking.
Where is this auto shop located?
The property is located at Dearborn Heights, MI.
What is the asking price?
The asking price for this property is $2,200,000.
What are key features of this property?
This property features: Fully‑equipped, turn‑key auto repair facility ready for immediate operation.; Prime commercial location on high‑traffic S. Telegraph Road.; Includes service bays, lifts, frame machine, and body shop.
