Fairhope Retail Building &
For Sale
$499,000
6470 County Rd 32, Fairhope, AL 36532
1,612 SF Retail Building For Sale 6470 County Road 32 B2
Property Size1,612 SF
Lot Size1.03 Acres
Price / SF$309.55
Days on Market571
Property Features for 6470 County Rd 32
General Information
Standard status
Active
Property type
Other retail properties, Individual retail properties, Other mixed-use properties, Retail properties & Spaces, Mixed-use properties
Size
1,612 SF
Elevators
N/A
Lot size
1.03 Acres
Building Details
Year Built
1920
Buildings
1
Stories
2
Listing Agency:
(850) 564-0120
Listed By:
Paul
(850) 564-0120
Added: Feb 6, 2025
Changed: Mar 16
Investment Insights
Based on property information with market context.
This property features a retail building and land in Fairhope, Alabama. The offering includes two adjoining commercially zoned B2 parcels totaling approximately one acre. Located in the heart of Point Clear, Alabama, the property is a short walk from Mobile Bay. The site includes a 1,612 square foot cottage, relocated to the site 44 years ago. The combination of two separate tax parcels and the existing cottage presents development possibilities. The property's B2 zoning is highly sought after in this area. The listing also includes PPIN #9034.
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
$17,346
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
3.48%
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%
$346,920
$346.9K
Cap Rate 7%
$247,800
$247.8K
Cap Rate 9%
$192,733
$192.7K
Market Conditions
NOI Build-Up for 1,612 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
$27.1K $16.80/SF
− Vacancy
−$2.3K −$1.43/SF
EGI
$24.8K $15.37/SF
− OpEx
−$7.4K −$4.61/SF
NOI
$17.3K $10.76/SF
Area
Baldwin County, AL
Vacancy
8.50%
Lease Rate
$16.80 /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%
$346,920
Cap Rate 7%
$247,800
Cap Rate 9%
$192,733
Alternative Uses
Best Use
Retail
$247.8K
$216.8K – $289.1K
NOI $17,346 @ 7.0% cap · market cap 3.48%
Second Best
Mixed Use
$213.3K
$186.7K – $248.9K
NOI $14,934 @ 7.0% cap · market cap 2.99%
Theoretical Best
Office A
$387.7K
$339.2K – $452.3K
NOI $27,136 @ 7.0% cap · market cap 5.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
31
Businesses Nearby
Explore this area
Business Placement
Demographics for 36532, AL
36,918
Population
17,502
Households
2.1
Avg Household Size
48
Median Age
50%
College-Educated
94%
High-School Grad
73.2 sq mi
ZIP Area
504
Density / Sq Mi
$86,026
Median Household Income
$46,129
Median Earnings
$1,374
Median Rent
$395,300
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Other retail property - 1,612 SF Retail Building For Sale 6470 County Road 32 B2
Where is this other retail property located?
The property is located at 6470 County Rd 32 Fairhope, AL.
What is the asking price?
The asking price for this property is $499,000.
