Brick Office Building with Hardwood
For Sale
$215,000
308 Alabama Avenue SW, Fort Payne, AL 35967
Business Opportunity, Fort Payne, AL
Property Size1,709 SF
Lot Size0.22 Acres
Price / SF$125.80
Days on Market114
Property Features for 308 Alabama Avenue SW
General Information
Property type
Residential
Property subtype
Office
Zoning description
Commercial
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 2, Bathroom 1
Subdivision
City Addition
Directions
Across The Street From The Courthouse On Alabama Avenue Sw.
Standard status
Active
APN
2303074001023.000
Size
1,709 SF
Lot size
0.22 Acres
Utilities
Sewer type
Public Sewer
Water source
Public
Amenities
fireplace
mature landscaping
kitchenette
conference room
Building Details
Floors in Building
1
Flooring type
Wood
Listing Agency:
Southern Properties Agency Inc
(256) 845-6000
Listed By:
Kevin Burt · License #66758
(256) 996-0003
Added: May 14
Changed: Sep 3
Last Checked: Sep 4 at 4:06AM
MLS# 21882026
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Investment Insights
Based on property information with market context.
This 1,709-square-foot office building occupies a 0.22-acre parcel and presents a brick exterior with original wood flooring and plantation shutters. The interior includes six rooms, two restrooms, a kitchenette, a reception area with fireplace, and a dedicated conference room. A partial basement provides additional storage, while a detached single-car garage expands the property’s functional utility.
The property is located at 308 Alabama Avenue SW in Fort Payne, Alabama. Public water and public sewer serve the site. Mature landscaping contributes to the setting, and the office configuration offers a defined reception area, multiple enclosed rooms, meeting space, and support areas within a compact commercial footprint.
The property is located at 308 Alabama Avenue SW in Fort Payne, Alabama. Public water and public sewer serve the site. Mature landscaping contributes to the setting, and the office configuration offers a defined reception area, multiple enclosed rooms, meeting space, and support areas within a compact commercial footprint.
Key Highlights
- 1,709‑square‑foot office building on a 0.22‑acre parcel
- Brick exterior with original hardwood floors and plantation shutters
- Six‑room layout with two restrooms and a kitchenette
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
$11,397
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
5.30%
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%
$227,940
$227.9K
Cap Rate 7%
$162,814
$162.8K
Cap Rate 9%
$126,633
$126.6K
Market Conditions
NOI Build-Up for 1,709 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
$19.5K $11.40/SF
− Vacancy
−$4.3K −$2.51/SF
EGI
$15.2K $8.89/SF
− OpEx
−$3.8K −$2.22/SF
NOI
$11.4K $6.67/SF
Area
DeKalb County, AL
Vacancy
22.00%
Lease Rate
$11.40 /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%
$227,940
Cap Rate 7%
$162,814
Cap Rate 9%
$126,633
Alternative Uses
Best Use
Office B
$162.8K
$142.5K – $190.0K
NOI $11,397 @ 7.0% cap · market cap 5.30%
Second Best
—
—
no second resolved use
Theoretical Best
Healthcare Medical
$275.3K
$240.9K – $321.2K
NOI $19,272 @ 7.0% cap · market cap 8.96%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
616
Businesses Nearby
Explore this area
Business Placement
Demographics for 35967, AL
17,233
Population
7,825
Households
2.2
Avg Household Size
37
Median Age
16%
College-Educated
81%
High-School Grad
127.0 sq mi
ZIP Area
136
Density / Sq Mi
$48,125
Median Household Income
$32,051
Median Earnings
$678
Median Rent
$155,700
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Multi-room office layout with reception, conference, kitchenette, restroom, storage, and detached garage space.
Where is this office building located?
The property is located at 308 Alabama Avenue SW Fort Payne, AL.
What is the asking price?
The asking price for this property is $215,000.
What are key features of this property?
This property features: 1,709‑square‑foot office building on a 0.22‑acre parcel; Brick exterior with original hardwood floors and plantation shutters; Six‑room layout with two restrooms and a kitchenette
