Freestanding Restaurant
For Sale
$525,000
1254 US Highway 431, Boaz, AL 35957
Business Opportunity, Boaz, AL
Property Size2,610 SF
Lot Size0.52 Acres
Price / SF$201.15
Days on Market66
Property Features for 1254 US Highway 431
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Business, Commercial
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 1, Bathroom 2
Parking features
Parking Lot
Interior features
Compressor
Subdivision
Metes And Bounds
Lot features
High Visibility
Directions
Located On 431 N In Boaz Next To Chevrolet Of Boaz
Standard status
Active
APN
1809314001044.000
Size
2,610 SF
Lot size
0.52 Acres
Utilities
Sewer type
Public Sewer
Heating system
Central
Cooling system
Central Air
Water source
Public
Building Details
Floors in Building
1
Flooring type
Tile, Concrete
Listing Agency:
Impact Realty, LLC
(256) 459-4001
Listed By:
Hollie Bobo · License #124569
(256) 302-4557
Added: Jul 7
Changed: Sep 3
Last Checked: Sep 10 at 7:06AM
MLS# 21899667
Copyright © 2026 ValleyMLS.Com,Inc. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 2,610-square-foot restaurant property sits on 0.5244 acres and includes two bathrooms, concrete and tile flooring, and a compressor. Central heating and central air serve the building, while public water and public sewer are available. A parking lot provides on-site parking.
The property is located at 1254 US Highway 431 in Boaz, Alabama, with a 35957 ZIP Code. Its prior restaurant operation and existing physical features support continued food-service use, subject to applicable requirements and approvals.
The property is located at 1254 US Highway 431 in Boaz, Alabama, with a 35957 ZIP Code. Its prior restaurant operation and existing physical features support continued food-service use, subject to applicable requirements and approvals.
Key Highlights
- 2,610‑square‑foot restaurant building on 0.5244 acres
- Located at 1254 US Highway 431, Boaz, AL 35957
- Compressor included with the property
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
$28,247
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
5.38%
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%
$564,940
$564.9K
Cap Rate 7%
$403,529
$403.5K
Cap Rate 9%
$313,856
$313.9K
Market Conditions
NOI Build-Up for 2,610 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
$40.7K $15.60/SF
− Vacancy
−$3.1K −$1.17/SF
EGI
$37.7K $14.43/SF
− OpEx
−$9.4K −$3.61/SF
NOI
$28.2K $10.82/SF
Area
Marshall County, AL
Vacancy
7.50%
Lease Rate
$15.60 /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%
$564,940
Cap Rate 7%
$403,529
Cap Rate 9%
$313,856
Alternative Uses
Best Use
Specialty Retail
$403.5K
$353.1K – $470.8K
NOI $28,247 @ 7.0% cap · market cap 5.38%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$563.3K
$492.9K – $657.2K
NOI $39,433 @ 7.0% cap · market cap 7.51%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Location Intelligence
Trade Area within ½ mile
388
Businesses Nearby
18k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 100%
Taco Bell
Dining
17,880 visits/mo
0.2 miles
Demographics for 35957, AL
16,849
Population
6,755
Households
2.5
Avg Household Size
36
Median Age
13%
College-Educated
85%
High-School Grad
78.3 sq mi
ZIP Area
215
Density / Sq Mi
$53,859
Median Household Income
$35,277
Median Earnings
$679
Median Rent
$142,500
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Similar Off Market Nearby
- China Buffet — 2044 US-431, Boaz, AL 35957
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Food-service building with kitchen-related equipment, central HVAC, and an on-site parking lot.
Where is this conventional restaurant located?
The property is located at 1254 US Highway 431 Boaz, AL.
What is the asking price?
The asking price for this property is $525,000.
What are key features of this property?
This property features: 2,610‑square‑foot restaurant building on 0.5244 acres; Located at 1254 US Highway 431, Boaz, AL 35957; Compressor included with the property
