Mike Sheath buys two more gas stations

When Mike Sheath bought the hotel that is now Best Western some 10 years ago, probably few people thought it would be the beginning of an empire. OK, so empire might be a little of an exaggeration, but Mike has accumulated an impressive portfolio of property.

His latest acquisitions are Pit Stop East on Sparta Highway by the hospital, and Pump N Pay on Smithville Highway as you’re leaving town. Mike bought the gas stations from Sid Stanton and the deal was finalized on tax day, April 15.

‘The stores we have are doing well and that’s because I have good employees,’ said Mike. ‘I work hard and they work hard.’

He also owns One Stop Market in Centertown, which was Hillis Market for years and years. And he owns Sparta Street Smoke Shop.

Mike says his immediate goal is to clean up and renovate both gas stations. At Pit Stop East, the plan is to expand the facility and add a restaurant, most likely a Subway or a Quiznos. With Motlow College, the hospital and Oster nearby, he believes the area can easily support it.

‘That part will take a little while,’ said Mike. ‘Because there is a lot of red tape when you’re dealing with a franchise. You have to build it exactly to their franchise guidelines. It’s their way or the highway.’

Mike also purchased 1.2 acres directly behind Pit Stop East and says he could develop that property in the future.

As for Pump N Pay, one of the first improvements will be to install new pumps so customers can pay at the pump by credit card. He is also going to install two types of diesel pumps ‘ regular diesel and what he calls red diesel.

‘The red diesel costs about 40 to 60 percent less than regular diesel,’ said Mike. ‘But it’s only meant for farm equipment, tractors and bulldozers and things like that, not regular vehicles.’

As for the soaring cost of gasoline, with Mike being a gas station owner I had to ask him about that. He said the profits are going into his wallet.

‘I’d say 80 to 90 percent of the time, what we pay for gas is what we sell it for,’ said Mike.

As for future plans, you know Mike always has something on the back burner. He has purchased land on the corner by Bridgestone across from Country Club Market and says that could very well be the site of a new gas station. He says he was on the brink of building there when this deal came up.

‘I had the plans worked up and was about three days away from starting,’ said Mike. ‘Sid came to me and said he was interested in selling so we put that on hold.’

I’m sure this isn’t the last time we’ll see Mike in Business Pulse. He’s a smart businessman.