Mixed-Use Property in High
For Sale
$159,900
10187 Alabama Highway 40, Henagar, AL 35978
COMMERCIAL - Henagar, AL
Property Size1,200 SF
Lot Size0.98 Acres
Price / SF$133.25
Days on Market126
Property Features for 10187 Alabama Highway 40
General Information
Property type
Commercial Sale
Property subtype
Other
Subdivision
Metes And Bounds
Directions
10187 Alabama Highway 40, Henagar, Al
Standard status
Active
APN
0801020002004.001
Size
1,200 SF
Lot size
0.98 Acres
Utilities
Cooling system
Window Unit(s)
Water source
Public
Building Details
Floors in Building
1
Flooring type
Concrete, Carpet
Roof type
Metal
Listing Agency:
Southern Properties Agency Inc
(256) 845-6000
Listed By:
Pam Wheeler · License #066064
(256) 996-0687
Added: Apr 9
Changed: Aug 4
Last Checked: Aug 12 at 7:06AM
MLS# 21899033
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Investment Insights
Based on property information with market context.
This mixed-use property is situated in a high-traffic location. It includes an auto building suited for auto sales, repair, or detailing businesses, along with a residential home that could be used for owner occupancy or rental income. The property offers a blend of business and living opportunities. The structures require some maintenance, as they have not been occupied for several years. The lot size is 0.98 acres and the property size is 1,200 square feet. The property is located in Henagar, Alabama.
Key Highlights
- High traffic location ideal for business
- Mixed‑use property: commercial auto building and residential home
- Suitable for owner occupancy or rental income
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
$7,258
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
4.54%
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%
$145,160
$145.2K
Cap Rate 7%
$103,686
$103.7K
Cap Rate 9%
$80,644
$80.6K
Market Conditions
NOI Build-Up for 1,200 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
$11.5K $9.60/SF
− Vacancy
−$1.2K −$0.96/SF
EGI
$10.4K $8.64/SF
− OpEx
−$3.1K −$2.59/SF
NOI
$7.3K $6.05/SF
Area
DeKalb County, AL
Vacancy
10.00%
Lease Rate
$9.60 /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%
$145,160
Cap Rate 7%
$103,686
Cap Rate 9%
$80,644
Alternative Uses
Best Use
Retail
$103.7K
$90.7K – $121.0K
NOI $7,258 @ 7.0% cap · market cap 4.54%
Second Best
Apartment 5plus
$93.6K
$81.9K – $109.2K
NOI $6,551 @ 7.0% cap · market cap 4.10%
Theoretical Best
Healthcare Medical
$193.3K
$169.2K – $225.5K
NOI $13,532 @ 7.0% cap · market cap 8.46%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
9
Businesses Nearby
Explore this area
Business Placement
Demographics for 35978, AL
5,436
Population
2,305
Households
2.4
Avg Household Size
43
Median Age
9%
College-Educated
83%
High-School Grad
69.4 sq mi
ZIP Area
78
Density / Sq Mi
$52,545
Median Household Income
$35,914
Median Earnings
$747
Median Rent
$123,900
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - Mixed-use property with auto building and residential home.
Where is this mixed-use property located?
The property is located at 10187 Alabama Highway 40 Henagar, AL.
What is the asking price?
The asking price for this property is $159,900.
What are key features of this property?
This property features: High traffic location ideal for business; Mixed‑use property: commercial auto building and residential home; Suitable for owner occupancy or rental income
