Two-Building Office
For Sale
$1,095,000
7595 West Highway 72 West, Madison, AL 35758
COMMERCIAL - Madison, AL
Property Size3,500 SF
Price / SF$312.86
Days on Market28
Property Features for 7595 West Highway 72 West
General Information
Property type
Commercial Sale
Property subtype
Other
Standard status
Active
Listing Agency:
NextHome Kel Mitchell
(256) 503-0534
Listed By:
Kelvin Mitchell · License #89312
(256) 503-0534
Added: Jul 16
Changed: Aug 4
Last Checked: Aug 12 at 7:06PM
MLS# 21917229
Copyright © 2026 NextHome, Inc. 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.
This offering includes two commercial buildings along West Highway 72 in Madison. The primary improvement at 7595 West Highway 72 contains 2,500 SF of designer-finished office space and extends along more than 100 feet of highway frontage. A separate 1,000 SF building at 7605 West Highway 72 provides additional commercial space with direct highway access and strong roadside exposure. The smaller building was previously used as an automobile dealership. The property also includes an active cell tower lease, creating an additional income component alongside the physical improvements. Both buildings are situated on the Highway 72 corridor and are addressed within the Madison, Alabama market.
Key Highlights
- 2,500 SF designer‑finished office building at 7595 West Highway 72
- More than 100 feet of frontage on Highway 72
- Separate 1,000 SF commercial building at 7605 West Highway 72
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
$44,714
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
4.08%
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%
$894,280
$894.3K
Cap Rate 7%
$638,771
$638.8K
Cap Rate 9%
$496,822
$496.8K
Market Conditions
NOI Build-Up for 3,500 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
$70.1K $20.04/SF
− Vacancy
−$10.5K −$3.01/SF
EGI
$59.6K $17.03/SF
− OpEx
−$14.9K −$4.26/SF
NOI
$44.7K $12.78/SF
Area
Madison County, AL
Vacancy
15.00%
Lease Rate
$20.04 /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%
$894,280
Cap Rate 7%
$638,771
Cap Rate 9%
$496,822
Alternative Uses
Best Use
Office B
$638.8K
$558.9K – $745.2K
NOI $44,714 @ 7.0% cap · market cap 4.08%
Second Best
Retail
$611.1K
$534.7K – $713.0K
NOI $42,777 @ 7.0% cap · market cap 3.91%
Theoretical Best
Office A
$911.4K
$797.5K – $1.06M
NOI $63,798 @ 7.0% cap · market cap 5.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
67
Businesses Nearby
Explore this area
Business Placement
Demographics for 35758, AL
48,192
Population
20,322
Households
2.4
Avg Household Size
38
Median Age
64%
College-Educated
98%
High-School Grad
27.2 sq mi
ZIP Area
1,772
Density / Sq Mi
$115,780
Median Household Income
$61,321
Median Earnings
$1,375
Median Rent
$336,700
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 - Includes a finished office structure, highway frontage, and a separate commercial building with direct roadway access.
Where is this office building located?
The property is located at 7595 West Highway 72 West Madison, AL.
What is the asking price?
The asking price for this property is $1,095,000.
What are key features of this property?
This property features: 2,500 SF designer‑finished office building at 7595 West Highway 72; More than 100 feet of frontage on Highway 72; Separate 1,000 SF commercial building at 7605 West Highway 72
