Rail-Served Industrial Logistics
For Sale
$15,100,000
12068 Upper Hull Road, Tuscaloosa, AL 35474
For sale 200+ acre rail-served site with 186,000 SF improvements, including a fenced yard and grade-level loading.
Property Size186,000 SF
Lot Size201.00 Acres
Price / SF$81.18
Days on Market105
Property Features for 12068 Upper Hull Road
General Information
Standard status
Active
Size
186,000 SF
Lot size
201.00 Acres
Property subtype
Industrial
Site & Location
Highway Access
Yes
Fenced Yard
Yes
Outdoor Storage
Yes
Warehouse & Industrial
Clear Height
36 ft
Sprinkler System
Yes
Building Details
Building Size
186,000 SF
Listing Agency:
JH Berry
(205) 873-5943
Listed By:
Jake Bottcher
Source:
Jhberry
Added: May 14
Changed: Aug 22
Last Checked: Aug 26 at 6:57AM
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 JH Berry
Investment Insights
Based on property information with market context.
For sale at 12068 Upper Hull Road, Tuscaloosa, AL 35474, this large industrial property includes 186,000 SF of improvements: 136,000 SF warehouse space and a 50,000 SF contiguous metal shed. The site offers extensive outdoor area with 135 acres fully fenced and stabilized, and it is fully graded, compacted, and graveled for heavy industrial use. Rail service is provided via a Norfolk Southern spur with an active switch.
The available facilities are supported by building specs including 28'–36' ceiling heights, a 12" reinforced concrete slab for heavy-load capacity, LED lighting, and sprinkler infrastructure in place. Grade level loading is provided, with 85' x 25' column spacing.
The property was previously configured as an FTZ site, and it may be suited for industrial outdoor storage, transload, or logistics operations based on the existing yard and rail access. The location is described as being near the Mercedes-Benz plant and along the I-20/59 corridor.
The available facilities are supported by building specs including 28'–36' ceiling heights, a 12" reinforced concrete slab for heavy-load capacity, LED lighting, and sprinkler infrastructure in place. Grade level loading is provided, with 85' x 25' column spacing.
The property was previously configured as an FTZ site, and it may be suited for industrial outdoor storage, transload, or logistics operations based on the existing yard and rail access. The location is described as being near the Mercedes-Benz plant and along the I-20/59 corridor.
Key Highlights
- 200+ acre rail‑served industrial site with 186,000 SF total improvements and a fully fenced, stabilized yard
- Norfolk Southern spur with an active switch for rail‑served operations
- 136,000 SF warehouse plus 50,000 SF contiguous metal shed
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
$1,126,861
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
7.46%
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%
$22,537,220
$22.5M
Cap Rate 7%
$16,098,014
$16.1M
Cap Rate 9%
$12,520,678
$12.5M
Market Conditions
NOI Build-Up for 186,000 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
$1.38M $7.44/SF
− Vacancy
−$58.1K −$0.31/SF
EGI
$1.33M $7.13/SF
− OpEx
−$198.9K −$1.07/SF
NOI
$1.13M $6.06/SF
Area
Tuscaloosa, AL
Vacancy
4.20%
Lease Rate
$7.44 /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%
$22,537,220
Cap Rate 7%
$16,098,014
Cap Rate 9%
$12,520,678
Alternative Uses
Best Use
Flex RnD
$20.57M
$17.99M – $23.99M
NOI $1,439,556 @ 7.0% cap · market cap 9.53%
Second Best
Warehouse
$16.10M
$14.09M – $18.78M
NOI $1,126,861 @ 7.0% cap · market cap 7.46%
Theoretical Best
Office A
$44.70M
$39.11M – $52.15M
NOI $3,128,818 @ 7.0% cap · market cap 20.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
36 ft
Clear height
Yes
Sprinkler system
Yes
Fenced yard
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
18
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 35474, AL
7,829
Population
3,005
Households
2.6
Avg Household Size
38
Median Age
27%
College-Educated
87%
High-School Grad
207.3 sq mi
ZIP Area
38
Density / Sq Mi
$80,406
Median Household Income
$45,760
Median Earnings
$861
Median Rent
$187,700
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - For sale 200+ acre rail-served site with 186,000 SF improvements, including a fenced yard and grade-level loading.
Where is this flex space located?
The property is located at 12068 Upper Hull Road Tuscaloosa, AL.
What is the asking price?
The asking price for this property is $15,100,000.
What are key features of this property?
This property features: 200+ acre rail‑served industrial site with 186,000 SF total improvements and a fully fenced, stabilized yard; Norfolk Southern spur with an active switch for rail‑served operations; 136,000 SF warehouse plus 50,000 SF contiguous metal shed
