NNN Medical Office
For Sale
$2,800,000
1088 9th Avenue SW, Bessemer, AL 35022
CommercialSale, Bessemer, AL
Property Size10,093 SF
Lot Size1.64 Acres
Price / SF$277.42
Days on Market494
Property Features for 1088 9th Avenue SW
General Information
Property type
Commercial Sale
Property subtype
Office
Directions
From BHM, 20/59 S to exit 110, proceed S on Splash Adventure Pkwy/US 11 to Site, approx. 1.1 miles From Tuscaloosa, 20/59N to exit 108, proceed N on Splash Adventure Pkwy/US 11 to Site, approx. 1.2 miles
Subdivision
(13) Jefferson County
Standard status
Active
APN
01-38-00-19-1-001-002.005
Size
10,093 SF
Lot size
1.64 Acres
Taxes and HOA fees
Tax Description
Metes and bounds. See photo. Source of Title at Instrument 2022081128
Tax Annual Amount
19950
Legal Description
Metes and bounds. See photo. Source of Title at Instrument 2022081128
Building Details
Year built
1990
Number of units
3
Listing Agency:
Butler Evans Real Estate, Inc.
(205) 310-3799
Listed By:
Denise Evans · License #AL67727
(205) 758-4949
Added: May 20, 2025
Changed: Sep 5
Last Checked: Sep 25 at 4:06AM
MLS# 168859
Copyright © 2026 West Alabama Multiple Listing Service. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
The property is a 10,093-square-foot medical office building constructed in 1990 and occupied by internal medicine, nephrology, and a hearing aid clinic. The facility includes 49 parking spaces plus 6 handicapped spaces and operates under NNN leases. One tenant representing 50% of the occupancy has a landlord option to cancel with six months' notice if the property is sold.
Recent work includes roof replacement in 2024, replacement of several HVAC units since purchase, reception flooring completed in 2025, and replacement of all outdoor lighting bulbs in 2024. The parking lot was restriped and the building pressure washed in 2026. The fire suppression system is current on inspections and repairs and is monitored by Hiller Fire. The property sits on 1.637 acres at 1088 9th Avenue SW in Bessemer, Alabama.
Recent work includes roof replacement in 2024, replacement of several HVAC units since purchase, reception flooring completed in 2025, and replacement of all outdoor lighting bulbs in 2024. The parking lot was restriped and the building pressure washed in 2026. The fire suppression system is current on inspections and repairs and is monitored by Hiller Fire. The property sits on 1.637 acres at 1088 9th Avenue SW in Bessemer, Alabama.
Key Highlights
- 10,093‑square‑foot medical office building on 1.637 acres
- 49 parking spaces plus 6 handicapped spaces
- NNN leases with internal medicine, nephrology, and hearing aid clinic occupants
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
$177,864
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
6.35%
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%
$3,557,280
$3.6M
Cap Rate 7%
$2,540,914
$2.5M
Cap Rate 9%
$1,976,267
$2.0M
Market Conditions
NOI Build-Up for 10,093 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
$267.7K $26.52/SF
− Vacancy
−$30.5K −$3.02/SF
EGI
$237.2K $23.50/SF
− OpEx
−$59.3K −$5.87/SF
NOI
$177.9K $17.62/SF
Area
Jefferson County, AL
Vacancy
11.40%
Lease Rate
$26.52 /SF/Yr
Expense Ratio
25.00%
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%
$3,557,280
Cap Rate 7%
$2,540,914
Cap Rate 9%
$1,976,267
Alternative Uses
Best Use
Office B
$2.54M
$2.22M – $2.96M
NOI $177,864 @ 7.0% cap · market cap 6.35%
Second Best
Healthcare Medical
$2.45M
$2.14M – $2.85M
NOI $171,265 @ 7.0% cap · market cap 6.12%
Theoretical Best
Office A
$3.47M
$3.04M – $4.05M
NOI $243,054 @ 7.0% cap · market cap 8.68%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Multi-tenant
Tenancy
Yes
Sprinkler system
Location Intelligence
Trade Area within ½ mile
414
Businesses Nearby
Explore this area
Business Placement
Demographics for 35022, AL
23,163
Population
10,538
Households
2.2
Avg Household Size
43
Median Age
34%
College-Educated
94%
High-School Grad
64.2 sq mi
ZIP Area
361
Density / Sq Mi
$79,084
Median Household Income
$48,078
Median Earnings
$991
Median Rent
$241,300
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in South region
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Frequently Asked Questions
What type of property is this?
NNN property - Medical office building with established healthcare occupants and recent roof, flooring, lighting, and parking improvements.
Where is this nnn property located?
The property is located at 1088 9th Avenue SW Bessemer, AL.
What is the asking price?
The asking price for this property is $2,800,000.
What are key features of this property?
This property features: 10,093‑square‑foot medical office building on 1.637 acres; 49 parking spaces plus 6 handicapped spaces; NNN leases with internal medicine, nephrology, and hearing aid clinic occupants
