Flex Showroom and Warehouse
For Sale
$1,950,000
105 W Avalon Ave, Muscle Shoals, AL 35661
Includes retail showroom, warehouse, and loft storage, with detached warehouse, covered shed, and secured outdoor storage.
Property Size42,039 SF
Lot Size3.49 Acres
Price / SF$46.39
Days on Market109
Property Features for 105 W Avalon Ave
General Information
Standard status
Active
Size
42,039 SF
Lot size
3.49 Acres
Property subtype
Commercial/Industrial
Site & Location
Road Access
Yes
Fenced Yard
Yes
Outdoor Storage
Yes
Taxes and HOA fees
Annual Taxes
$9,057
Building Details
Year Built
1971
Listing Agency:
Pounders & Associates, Inc.
(256) 766-0998
Listed By:
Justin M Bishop · License #000086299
Source:
Exitrealty
Added: May 8
Changed: Aug 23
Last Checked: Aug 24 at 3:57AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Pounders & Associates, Inc.
Investment Insights
Based on property information with market context.
Located at a high-visibility intersection on Avalon Avenue and Cox Boulevard in Muscle Shoals, Alabama, the “Economy Carpets” building offers a versatile combination of showroom, warehouse, and storage space. The main building totals 42,039 square feet and includes 10,023 square feet of retail showroom, 19,961 square feet of warehouse space, and a 12,055 square foot loft storage area.
In addition to the main building, the property features a 2,000 square foot detached warehouse, a 10,000 square foot covered shed, a large paved parking lot, and a secure, fenced outdoor storage yard. Rear access from Billy Bowling Drive supports day-to-day operations across the 3.49-acre site.
In addition to the main building, the property features a 2,000 square foot detached warehouse, a 10,000 square foot covered shed, a large paved parking lot, and a secure, fenced outdoor storage yard. Rear access from Billy Bowling Drive supports day-to-day operations across the 3.49-acre site.
Key Highlights
- High‑visibility commercial property known as the “Economy Carpets” building at Avalon Ave and Cox Blvd in Muscle Shoals, AL
- Main building totals 42,039 SF with 10,023 SF retail showroom, 19,961 SF warehouse, and 12,055 SF loft storage
- Additional outbuildings include a 2,000 SF detached warehouse and a 10,000 SF covered shed
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
$167,382
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
8.58%
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%
$3,347,640
$3.3M
Cap Rate 7%
$2,391,171
$2.4M
Cap Rate 9%
$1,859,800
$1.9M
Market Conditions
NOI Build-Up for 42,039 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
$252.2K $6.00/SF
− Vacancy
−$13.1K −$0.31/SF
EGI
$239.1K $5.69/SF
− OpEx
−$71.7K −$1.71/SF
NOI
$167.4K $3.98/SF
Area
Colbert County, AL
Vacancy
5.20%
Lease Rate
$6.00 /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%
$3,347,640
Cap Rate 7%
$2,391,171
Cap Rate 9%
$1,859,800
Alternative Uses
Best Use
Retail
$3.75M
$3.28M – $4.37M
NOI $262,321 @ 7.0% cap · market cap 13.45%
Second Best
Flex RnD
$3.23M
$2.83M – $3.77M
NOI $226,254 @ 7.0% cap · market cap 11.60%
Theoretical Best
Office A
$6.71M
$5.87M – $7.83M
NOI $469,922 @ 7.0% cap · market cap 24.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Fenced yard
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
776
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 35661, AL
18,714
Population
8,911
Households
2.1
Avg Household Size
42
Median Age
24%
College-Educated
91%
High-School Grad
51.2 sq mi
ZIP Area
366
Density / Sq Mi
$66,726
Median Household Income
$43,826
Median Earnings
$917
Median Rent
$189,700
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Includes retail showroom, warehouse, and loft storage, with detached warehouse, covered shed, and secured outdoor storage.
Where is this flex space located?
The property is located at 105 W Avalon Ave Muscle Shoals, AL.
What is the asking price?
The asking price for this property is $1,950,000.
What are key features of this property?
This property features: High‑visibility commercial property known as the “Economy Carpets” building at Avalon Ave and Cox Blvd in Muscle Shoals, AL; Main building totals 42,039 SF with 10,023 SF retail showroom, 19,961 SF warehouse, and 12,055 SF loft storage; Additional outbuildings include a 2,000 SF detached warehouse and a 10,000 SF covered shed
