Commercial Property with High
For Sale
$2,200,000
1825 4th St Sw, Cullman, AL 35055
Commercial property featuring showroom, office, and warehouse space.
Property Size10,000 SF
Lot Size1.00 Acre
Price / SF$220
Days on Market758
Property Features for 1825 4th St Sw
General Information
Standard status
Active
Size
10,000 SF
Lot size
1.00 Acre
Taxes and HOA fees
Annual Taxes
$5,989
Listing Agency:
Culpepper Real Estate Inc
(256) 338-5378
Listed By:
Clay Culpepper · License #101611
(256) 338-5378
Source:
Exprealty
Added: Jul 15, 2024
Changed: Aug 8
Last Checked: Aug 7 at 10:42AM
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 Culpepper Real Estate Inc
Investment Insights
Based on property information with market context.
This commercial property offers approximately 10,000 square feet of space. It benefits from high visibility and a high traffic count, situated just off Exit 308. Currently operating as a business, the property includes smoke rooms, coolers, freezers, warehouse storage, a showroom, displays, and extensive office space. The property presents a range of features suitable for various business operations.
Key Highlights
- High visibility and high traffic count location just off Exit 308
- Approximately 10,000 sq ft of commercial space
- Currently operating business with existing infrastructure
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
$79,380
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
3.61%
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%
$1,587,600
$1.6M
Cap Rate 7%
$1,134,000
$1.1M
Cap Rate 9%
$882,000
$882.0K
Market Conditions
NOI Build-Up for 10,000 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
$126.0K $12.60/SF
− Vacancy
−$20.2K −$2.02/SF
EGI
$105.8K $10.58/SF
− OpEx
−$26.5K −$2.65/SF
NOI
$79.4K $7.94/SF
Area
Cullman County, AL
Vacancy
16.00%
Lease Rate
$12.60 /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%
$1,587,600
Cap Rate 7%
$1,134,000
Cap Rate 9%
$882,000
Alternative Uses
Best Use
Office B
$1.13M
$992.3K – $1.32M
NOI $79,380 @ 7.0% cap · market cap 3.61%
Second Best
Retail
$1.03M
$897.8K – $1.20M
NOI $71,820 @ 7.0% cap · market cap 3.26%
Theoretical Best
Office A
$1.47M
$1.29M – $1.72M
NOI $103,200 @ 7.0% cap · market cap 4.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,228
Businesses Nearby
Explore this area
Business Placement
Demographics for 35055, AL
22,299
Population
10,664
Households
2.1
Avg Household Size
39
Median Age
26%
College-Educated
88%
High-School Grad
63.8 sq mi
ZIP Area
350
Density / Sq Mi
$58,488
Median Household Income
$40,079
Median Earnings
$934
Median Rent
$195,400
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Retail space - Commercial property featuring showroom, office, and warehouse space.
Where is this retail space located?
The property is located at 1825 4th St Sw Cullman, AL.
What is the asking price?
The asking price for this property is $2,200,000.
What are key features of this property?
This property features: High visibility and high traffic count location just off Exit 308; Approximately 10,000 sq ft of commercial space; Currently operating business with existing infrastructure
