Office Building with Warehouse
For Sale
$4,750,000
2111 Parkway Office Circle, Hoover, AL 35244
Two-story office building with warehouse in Hoover, Alabama.
Property Size37,190 SF
Days on Market275
Property Features for 2111 Parkway Office Circle
General Information
Standard status
Active
Size
37,190 SF
Property subtype
Office
Building Details
Building Size
37,190 SF
Listing Agency:
(205) 871-7100
Listed By:
Sam Carroll, SIOR
Source:
Grahamcompany
Added: Nov 21, 2025
Changed: Aug 21
Last Checked: Aug 22 at 3:43AM
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 Sam Carroll, SIOR
Investment Insights
Based on property information with market context.
This multi-tenant, two-story office building includes 8,490 square feet of conditioned warehouse space and is situated on a 3.74-acre site with upper and lower entrances. Located in the City of Hoover, off Riverchase Parkway, it offers convenient access to US Hwy. 31 and I-65. The second story is fully occupied with existing tenants, encompassing 9,676 square feet and generating an NOI of $93,500. Up to 24,566 square feet is available, including the warehouse space. Parking is available at a ratio of 4 spaces per 1,000 square feet, totaling 129 spaces. There is no occupational tax. The property presents a great opportunity for a medical user due to its close proximity to Riverwalk Village, the City of Hoover’s 90-acre, mixed-use walkable community focusing on health and wellness.
Key Highlights
- Existing tenants on the 2nd story (9,676 SF) generating an NOI of $93,500.
- Up to 24,566 SF available, including 8,490 SF of conditioned warehouse space.
- Located in the City of Hoover with easy access to US Hwy. 31 & I‑65.
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
$415,580
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
8.75%
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%
$8,311,600
$8.3M
Cap Rate 7%
$5,936,857
$5.9M
Cap Rate 9%
$4,617,556
$4.6M
Market Conditions
NOI Build-Up for 37,190 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
$508.8K $13.68/SF
− Vacancy
−$19.8K −$0.53/SF
EGI
$488.9K $13.15/SF
− OpEx
−$73.3K −$1.97/SF
NOI
$415.6K $11.17/SF
Area
Jefferson County, AL
Vacancy
3.90%
Lease Rate
$13.68 /SF/Yr
Expense Ratio
15.00%
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%
$8,311,600
Cap Rate 7%
$5,936,857
Cap Rate 9%
$4,617,556
Alternative Uses
Best Use
Office B
$9.36M
$8.19M – $10.92M
NOI $655,382 @ 7.0% cap · market cap 13.80%
Second Best
Warehouse
$5.94M
$5.19M – $6.93M
NOI $415,580 @ 7.0% cap · market cap 8.75%
Theoretical Best
Office A
$12.79M
$11.19M – $14.93M
NOI $895,588 @ 7.0% cap · market cap 18.85%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
534
Businesses Nearby
Explore this area
Business Placement
Demographics for 35244, AL
37,448
Population
15,189
Households
2.5
Avg Household Size
39
Median Age
60%
College-Educated
97%
High-School Grad
23.9 sq mi
ZIP Area
1,567
Density / Sq Mi
$114,172
Median Household Income
$61,660
Median Earnings
$1,413
Median Rent
$390,900
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 - Two-story office building with warehouse in Hoover, Alabama.
Where is this office building located?
The property is located at 2111 Parkway Office Circle Hoover, AL.
What is the asking price?
The asking price for this property is $4,750,000.
What are key features of this property?
This property features: Existing tenants on the 2nd story (9,676 SF) generating an NOI of $93,500.; Up to **24,566 SF available**, including 8,490 SF of conditioned warehouse space.; Located in the City of Hoover with easy access to US Hwy. 31 & I‑65.
