Building Details

Year Built 1977

Listing Agency: ACRE Real Estate Partners m***@marcscholl.com Show Phone

Listed By: Marc Scholl · License #AL 0000073755-0

Source: Crexi

Added: Jun 16 Changed: Jul 10 Last Checked: Aug 5 at 8:50AM

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Investment Insights

Based on property information with market context.

This flex building totals 6,100+/- square feet and is currently configured and operating as a daycare facility. The property includes the improvements necessary for the day-to-day use as a childcare center, and the existing tenant is in place. The tenant has indicated willingness to renew the current lease.

The building is located on Highway 11 in Coaling, Alabama. It is within 10 miles of Mercedes in Vance, providing a practical geographic relationship for businesses and services serving the area.

For buyers or investors seeking a property with operational continuity, this daycare-used flex building offers an immediate tenant situation, with renewal interest already expressed by the current occupant. For owner-users, the existing improvements support continued use as a childcare facility, while the flex designation may also appeal to buyers looking for a property that can accommodate business uses beyond the current operation, subject to applicable requirements.

Key Highlights

• 6100+/- SF flex building on Hwy 11 in Coaling
• Built in 1977
• Currently operating as a daycare facility

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

$20,023

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

7.28%

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%

$400,460 $400.5K

Cap Rate 7%

$286,043 $286.0K

Cap Rate 9%

$222,478 $222.5K

Market Conditions

NOI Build-Up for 4,160 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

$30.0K $7.20/SF

− Vacancy

−$1.3K −$0.32/SF

EGI

$28.6K $6.88/SF

− OpEx

−$8.6K −$2.06/SF

NOI

$20.0K $4.81/SF

Area

Tuscaloosa County, AL

Vacancy

4.50%

Lease Rate

$7.20 /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%

$400,460

Cap Rate 7%

$286,043

Cap Rate 9%

$222,478

Alternative Uses

Best Use

Flex RnD

$460.0K

$402.5K – $536.6K (±1% cap)

NOI $32,197 @ 7.0% cap · market cap 11.71%

Second Best

Industrial

$286.0K

$250.3K – $333.7K (±1% cap)

NOI $20,023 @ 7.0% cap · market cap 7.28%

Theoretical Best

Office A

$999.7K

$874.7K – $1.17M (±1% cap)

NOI $69,978 @ 7.0% cap · market cap 25.45%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Flex space

Suggested Use

Top Pick HVAC Service Furniture & Home Goods Grocery & Convenience Store (Bike/Boat/Book/etc) Store Storage Facility Restaurant

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

Yes

Highway access

Location Intelligence

Trade Area within ½ mile

24

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 35453, AL

12,682

Population

5,215

Households

2.4

Avg Household Size

38

Median Age

16%

College-Educated

89%

High-School Grad

90.4 sq mi

ZIP Area

140

Density / Sq Mi

$70,162

Median Household Income

$39,306

Median Earnings

$969

Median Rent

$190,300

Median Home Value

Market

Vacancy Rate% for Industrial in South region

6% 2019

6.5% 2020

4% 2021

3.5% 2022

6% 2023

7.6% 2024

7.9% 2025

Questions? Ask Rey

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What type of property is this? Where is this flex space located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Flex space - Flex building currently operating as a daycare, with an in-place tenant willing to renew the lease.

Where is this flex space located?

The property is located at 10719 Landmark Lane Coaling, AL.

What is the asking price?

The asking price for this property is $275,000.

What are key features of this property?

This property features: 6100+/- SF flex building on Hwy 11 in Coaling; Built in 1977; Currently operating as a daycare facility