Mixed-Use Building with Flexible
For Sale
$449,900
2601 McFarland BLVD, Tuscaloosa, AL 35405
Adaptable commercial space suited to retail, office, medical, and service-based operations.
Property Size2,061 SF
Lot Size0.25 Acres
Price / SF$218.29
Days on Market442
Property Features for 2601 McFarland BLVD
General Information
Standard status
Active
Size
2,061 SF
Lot size
0.25 Acres
Property subtype
Mixed Use
Additional Details
Traffic Count
48,860 vehicles/day
Taxes and HOA fees
Annual Taxes
$2,561
Amenities
3
70*156
Building Details
Buildings
1
Listing Agency:
(205) 310-8300
Listed By:
Keller Williams Tuscaloosa
(205) 310-8300
Source:
Xome
Added: Jun 17, 2025
Changed: Aug 31
Last Checked: Aug 31 at 1:24PM
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 Keller Williams Tuscaloosa
Investment Insights
Based on property information with market context.
This mixed-use property includes a 2,061-square-foot building on approximately 0.25 acres. The space is positioned for a range of commercial applications, including retail, office, medical, and service-based businesses. Its configuration also supports consideration by users seeking a compact commercial site or an investment property.
Located at 2601 McFarland Boulevard in Tuscaloosa, the property benefits from approximately 48,860 vehicles per day along the corridor. The site is minutes from the University of Alabama, major retailers, restaurants, and established neighborhoods, placing the building within a commercially active area with access to surrounding daily-use destinations.
Located at 2601 McFarland Boulevard in Tuscaloosa, the property benefits from approximately 48,860 vehicles per day along the corridor. The site is minutes from the University of Alabama, major retailers, restaurants, and established neighborhoods, placing the building within a commercially active area with access to surrounding daily-use destinations.
Key Highlights
- 2,061‑square‑foot building on approximately 0.25 acres
- Approximately 48,860 VPD along McFarland Boulevard
- Minutes from the University of Alabama
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
$24,481
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
5.44%
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%
$489,620
$489.6K
Cap Rate 7%
$349,729
$349.7K
Cap Rate 9%
$272,011
$272.0K
Market Conditions
NOI Build-Up for 2,061 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
$43.3K $21.00/SF
− Vacancy
−$4.1K −$2.00/SF
EGI
$39.2K $19.01/SF
− OpEx
−$14.7K −$7.13/SF
NOI
$24.5K $11.88/SF
Area
Tuscaloosa, AL
Vacancy
9.50%
Lease Rate
$21.00 /SF/Yr
Expense Ratio
37.50%
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%
$489,620
Cap Rate 7%
$349,729
Cap Rate 9%
$272,011
Alternative Uses
Best Use
Mixed Use
$349.7K
$306.0K – $408.0K
NOI $24,481 @ 7.0% cap · market cap 5.44%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$495.3K
$433.4K – $577.8K
NOI $34,669 @ 7.0% cap · market cap 7.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
48,860 VPD
Traffic count
Location Intelligence
Trade Area within ½ mile
564
Businesses Nearby
Explore this area
Business Placement
Demographics for 35405, AL
45,155
Population
22,260
Households
2
Avg Household Size
34
Median Age
31%
College-Educated
94%
High-School Grad
52.9 sq mi
ZIP Area
854
Density / Sq Mi
$61,371
Median Household Income
$39,077
Median Earnings
$1,057
Median Rent
$224,900
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Adaptable commercial space suited to retail, office, medical, and service-based operations.
Where is this mixed-use property located?
The property is located at 2601 McFarland BLVD Tuscaloosa, AL.
What is the asking price?
The asking price for this property is $449,900.
What are key features of this property?
This property features: 2,061‑square‑foot building on approximately 0.25 acres; Approximately 48,860 VPD along McFarland Boulevard; Minutes from the University of Alabama
