Freestanding Office
New
For Sale
$350,000
363 Canyon Park Dr, Pelham, AL 35124
Move-in-ready professional office with masonry construction, a single-tenant layout, and surface parking.
Property Size2,693 SF
Days on Market3
Property Features for 363 Canyon Park Dr
General Information
Standard status
Active
Size
2,693 SF
Class
B
Property subtype
Office
Building Details
Building Size
2,693 SF
Year Built
1996
Listed By:
Giuliana Russo · License #AL #128104
(205) 721-0077
Source:
Chasecommercial
Added: Sep 1
Last Checked: Sep 2 at 2:55PM
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 Giuliana Russo
Investment Insights
Based on property information with market context.
This freestanding office building contains approximately 2,693 SF in a single-tenant configuration. The move-in-ready professional office is built with masonry construction and sits on an approximately 0.21-acre site. Four surface parking spaces are included, supporting an owner-user configuration.
The property is located at 363 Canyon Park Dr in Pelham, Alabama, near Pelham Parkway and First Alabama Bank Road NE. Nearby Pelham Parkway carries approximately 35,996 VPD, and the property offers access within the Pelham/Birmingham market.
The property is located at 363 Canyon Park Dr in Pelham, Alabama, near Pelham Parkway and First Alabama Bank Road NE. Nearby Pelham Parkway carries approximately 35,996 VPD, and the property offers access within the Pelham/Birmingham market.
Key Highlights
- Approximately 2,693 SF freestanding office building
- Single‑tenant configuration suited to an owner‑user
- Approximately 0.21‑acre site with four surface parking spaces
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
$28,357
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
8.10%
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%
$567,140
$567.1K
Cap Rate 7%
$405,100
$405.1K
Cap Rate 9%
$315,078
$315.1K
Market Conditions
NOI Build-Up for 2,693 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
$48.5K $18.00/SF
− Vacancy
−$10.7K −$3.96/SF
EGI
$37.8K $14.04/SF
− OpEx
−$9.5K −$3.51/SF
NOI
$28.4K $10.53/SF
Area
Shelby County, AL
Vacancy
22.00%
Lease Rate
$18.00 /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%
$567,140
Cap Rate 7%
$405,100
Cap Rate 9%
$315,078
Alternative Uses
Best Use
Office B
$405.1K
$354.5K – $472.6K
NOI $28,357 @ 7.0% cap · market cap 8.10%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$632.1K
$553.1K – $737.5K
NOI $44,247 @ 7.0% cap · market cap 12.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
525
Businesses Nearby
Explore this area
Business Placement
Demographics for 35124, AL
25,667
Population
10,207
Households
2.5
Avg Household Size
40
Median Age
50%
College-Educated
95%
High-School Grad
42.6 sq mi
ZIP Area
603
Density / Sq Mi
$91,513
Median Household Income
$50,970
Median Earnings
$1,575
Median Rent
$282,600
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 - Move-in-ready professional office with masonry construction, a single-tenant layout, and surface parking.
Where is this office building located?
The property is located at 363 Canyon Park Dr Pelham, AL.
What is the asking price?
The asking price for this property is $350,000.
What are key features of this property?
This property features: Approximately 2,693 SF freestanding office building; Single‑tenant configuration suited to an owner‑user; Approximately 0.21‑acre site with four surface parking spaces
