New Jersey Car Wash For Sale, #2

BUSINESS OVERVIEW
Established in the 1950s. Current owner purchased the car wash in 1997. The entire car wash was completely renovated with major improvements added up to the present. Property size 20,685 SF (.475 acres). Car wash building 5,240 SF; Oil/Lube building 3,550 SF. 135’ tunnel. Well water, City water, reclaim system. Gas heated. State-of-the-art computers. Second floor: offices, bathroom and storage; should be converted into a Nail Salon, which is sorely needed in the area. Annual volume of cars washed: 80,000 to 120,000; Average range of car wash ticket: $12 to $17; Annual volume of oil changes: 10,000; Average oil change ticket $61.

SERVICES

  • Espresso Bar with full time server-coffee, espresso, soup, hot dogs, chili and cold slushies…can be expanded
  • Detailing and Shampooing
  • 10 minute oil/lube
  • Tire rotation
  • Fuel injection service
  • Transmission flush
  • Radiator flush
  • Emission service
  • Differential service
  • Brake service and replacement
  • Light mechanical
  • Spectacular Full Service Car Wash

PERSONNEL
The Company currently employs 6 to 19 persons in the car wash depending upon day of week and weather. The Company employs 4 persons in the oil/lube service.

ASSETS

  • 135’ tunnel
  • New state-of-the-art blower system installed 11/1/11
  • Outside vac installed 2 years ago
  • Conveyor system 4 years old
  • Coffee/Espresso Bar recently installed
  • 3 oil/lube lifts
  • Compressors
  • Oil guns
  • 500 gallon above ground tank for waste oil
  • Two 1,000 gallon above ground tanks for fresh oil
  • Brand new inner wall in tunnel installed 10/28/11
  • Various other items

EXPANSION OPPORTUNITIES

  • The business is run absentee. The owner lives in Florida. He employs two extra managers which would not be needed if the business were run by an owner/operator, thus saving in excess of $160,000, not to mention the improved hands-on operation which should significantly add to revenues and profits.
  • Currently a bay is being rented to a window tinting business at $30,000 a year. The new owner should take over that service and benefit from sales and profits far in excess of the rental income.
  • Expand hours of operation up to as much as 24/7. The location is perfect for such an operation. There’s a company UBC that owns 20 car washes operating 24/7.
  • Build another lube bay. The Company is currently running at capacity and is turning away customers at peak times.
  • Add Lottery; the Espresso Bar beckons for this.
  • Build a Nail Salon on the second floor. The area, including many nearby office buildings, is in need of such services. It would also cross sell with all the other service offerings.
  • Use waste oil for heating the buildings.
  • The owner has had off and on conversations with the adjacent property owner about a joint venture to develop a multi-story office building. Zoning permits up to 40 stories. This certainly would be an incredible project for the future.

DEMOGRAPHICS

  • City population 273,000 people
  • Households 91,000
  • Density 11,500 persons per square mile
  • An established middle income urban community with a defined commercial district
  • Excellent highways and transportation network making it an attractive place to reside and work
  • The city has undergone significant redevelopment in recent years. Major new office, commercial and residential construction has been taking place to a tremendous degree. Existing buildings that were once vacant and unwanted are being renovated and leased up. Investors have been buying vacant or other buildings in poor condition especially in the downtown area, upgrading them to compete for corporate clients, and achieving superior income.
  • There have been numerous projects over the last few years aimed at making the City an entertainment destination. Many of these projects are in close proximity to the Car Wash and have had a significant influence on property values in the surrounding areas. The neighborhood is within walking distance of the densely developed downtown commercial district. The area is home to municipal, county and federal government services as well as four universities, twenty-eight elementary schools, two police precincts, four fire houses, and a library. Commercial office and retail development is extensive in the area surrounding the Car Wash. The Car Wash is considered to be in the heart of the City’s downtown retail district.

FINANCIAL HIGHLIGHTS

  • Revenues…….1,861,500
  • Cost of Sales….300,950
  • Gross Profit….1,560,550
  • Expenses…….509,832
  • Profit…….1,050,718

Footnote: the above financial highlights assumes the purchase of the property. If the buyer elects to lease the property, then a rent factor needs to be imputed.

ASKING PRICE

  • Business and Equipment……$3,400,000
  • Inventory..approx………………..58,000
  • Land and Buildings…………..5,200,000
  • If buyer prefers to lease land and building, owner will offer a long term lease with an option to buy the land and buildings
  • Seller financing available to qualified buyer
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