Remodeled Flex
For Sale
$299,000
15391 Highway 431, Gadsden, AL 35905
Open commercial layout includes two restrooms, a kitchenette, storage, and unfinished basement space.
Property Size1,260 SF
Price / SF$237.30
Days on Market14
Property Features for 15391 Highway 431
General Information
Standard status
Active
Size
1,260 SF
Site & Location
Highway Access
Yes
Road Access
Yes
Amenities
public restroom
kitchenette
private restroom
Building Details
Year Built
1960
Listing Agency:
KW Realty Group
(256) 419-3983
Listed By:
Taylor McAllister · License #140544
Source:
Alrealtorgroup
Added: Aug 17
Changed: Aug 29
Last Checked: Aug 29 at 6:56PM
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 KW Realty Group
Investment Insights
Based on property information with market context.
This 1,260-square-foot flex property was built in 1960 and has undergone a full remodel. The interior provides an open main area supported by a public restroom, private restroom, kitchenette, storage room, and unfinished basement. The layout can accommodate retail, office, or service-oriented operations, with room for future customization.
The property is positioned along Highway 431 at 15391 Highway 431 in Gadsden, Alabama. Highway 431 functions as a north-south corridor with estimated traffic of more than 18,000 vehicles per day, providing a prominent setting for commercial activity. The configuration is suited to an owner-user or investor seeking a remodeled commercial building with multiple functional areas.
The property is positioned along Highway 431 at 15391 Highway 431 in Gadsden, Alabama. Highway 431 functions as a north-south corridor with estimated traffic of more than 18,000 vehicles per day, providing a prominent setting for commercial activity. The configuration is suited to an owner-user or investor seeking a remodeled commercial building with multiple functional areas.
Key Highlights
- 1,260 SF flex property along Highway 431
- Estimated traffic counts exceed 18,000 vehicles per day
- Fully remodeled commercial building originally built in 1960
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
$11,642
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
3.89%
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%
$232,840
$232.8K
Cap Rate 7%
$166,314
$166.3K
Cap Rate 9%
$129,356
$129.4K
Market Conditions
NOI Build-Up for 1,260 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
$18.9K $15.00/SF
− Vacancy
−$2.3K −$1.80/SF
EGI
$16.6K $13.20/SF
− OpEx
−$5.0K −$3.96/SF
NOI
$11.6K $9.24/SF
Area
Etowah County, AL
Vacancy
12.00%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
30.00%
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%
$232,840
Cap Rate 7%
$166,314
Cap Rate 9%
$129,356
Alternative Uses
Best Use
Retail
$166.3K
$145.5K – $194.0K
NOI $11,642 @ 7.0% cap · market cap 3.89%
Second Best
Flex RnD
$148.2K
$129.7K – $172.9K
NOI $10,375 @ 7.0% cap · market cap 3.47%
Theoretical Best
Specialty Retail
$206.0K
$180.3K – $240.4K
NOI $14,421 @ 7.0% cap · market cap 4.82%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
21
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 35905, AL
6,706
Population
2,862
Households
2.3
Avg Household Size
46
Median Age
20%
College-Educated
93%
High-School Grad
41.8 sq mi
ZIP Area
160
Density / Sq Mi
$65,505
Median Household Income
$38,315
Median Earnings
$715
Median Rent
$188,600
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 - Open commercial layout includes two restrooms, a kitchenette, storage, and unfinished basement space.
Where is this flex space located?
The property is located at 15391 Highway 431 Gadsden, AL.
What is the asking price?
The asking price for this property is $299,000.
What are key features of this property?
This property features: 1,260 SF flex property along Highway 431; Estimated traffic counts exceed 18,000 vehicles per day; Fully remodeled commercial building originally built in 1960
