Retail Strip on Gadsden
For Sale
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1879 Gadsden Hwy, Trussville, AL 35173
100% leased retail strip in Trussville area retail market.
Property Size10,500 SF
Price / SF$214.67
Days on Market167
Property Features for 1879 Gadsden Hwy
General Information
Standard status
Active
Size
10,500 SF
Property subtype
Retail
Building Details
Tenancy
Multi
Listing Agency:
Shannon Waltchack
(205) 209-9701
Listed By:
Len Shannon, SIOR, CCIM, CPM · License #AL 000030664
Source:
Crexi
Added: Feb 25
Changed: Aug 8
Last Checked: Aug 10 at 11:49AM
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 Shannon Waltchack
Investment Insights
Based on property information with market context.
This 10,500 square foot retail strip is 100% leased and anchored by a corporately guaranteed Mavis Tire. The property is located on high-traffic Gadsden Highway/Highway 11 in the main Trussville-area retail market. Neighboring tenants include Target, Home Depot, TJ Maxx, Hobby Lobby, and several other national retailers. The center is occupied by two national-credit tenants and one local credit tenant. The property has an 8.0% cap rate.
Key Highlights
- 8.0% Cap Rate
- Anchored by Corporately Guaranteed Mavis Tire
- 100% Leased Retail Strip
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
$146,635
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
6.51%
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%
$2,932,700
$2.9M
Cap Rate 7%
$2,094,786
$2.1M
Cap Rate 9%
$1,629,278
$1.6M
Market Conditions
NOI Build-Up for 10,500 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
$218.0K $20.76/SF
− Vacancy
−$8.5K −$0.81/SF
EGI
$209.5K $19.95/SF
− OpEx
−$62.8K −$5.99/SF
NOI
$146.6K $13.97/SF
Area
Jefferson County, AL
Vacancy
3.90%
Lease Rate
$20.76 /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%
$2,932,700
Cap Rate 7%
$2,094,786
Cap Rate 9%
$1,629,278
Alternative Uses
Best Use
Retail
$2.09M
$1.83M – $2.44M
NOI $146,635 @ 7.0% cap · market cap 6.51%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.61M
$3.16M – $4.21M
NOI $252,855 @ 7.0% cap · market cap 11.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
96
Businesses Nearby
Explore this area
Business Placement
Demographics for 35173, AL
31,413
Population
12,029
Households
2.6
Avg Household Size
40
Median Age
43%
College-Educated
95%
High-School Grad
64.5 sq mi
ZIP Area
487
Density / Sq Mi
$113,028
Median Household Income
$56,609
Median Earnings
$1,303
Median Rent
$327,500
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Strip mall - 100% leased retail strip in Trussville area retail market.
Where is this strip mall located?
The property is located at 1879 Gadsden Hwy Trussville, AL.
What is the asking price?
The asking price for this property is $2,254,000.
What are key features of this property?
This property features: 8.0% Cap Rate; Anchored by Corporately Guaranteed Mavis Tire; 100% Leased Retail Strip
