Hanceville Mixed-Use Commercial
For Sale
$199,900
304 Bangor Ave, Hanceville, AL 35077
2,160 SF mixed-use building in Hanceville's Central Business District.
Property Size2,160 SF
Price / SF$92.55
Days on Market99
Property Features for 304 Bangor Ave
General Information
Standard status
Active
Size
2,160 SF
Property subtype
Commercial/Industrial
Taxes and HOA fees
Annual Taxes
$837
Building Details
Year Built
1987
Listing Agency:
The Journey Home Realty Group
(256) 347-8226
Listed By:
Stacey Long · License #126786
(256) 347-8226
Source:
Exitrealty
Added: May 19
Changed: Aug 25
Last Checked: Aug 25 at 6:04AM
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 The Journey Home Realty Group
Investment Insights
Based on property information with market context.
This versatile 2,160 SF mixed-use commercial building is located in the Central Business District of Hanceville, Alabama. Situated one block off Highway 31, it offers excellent accessibility and high traffic exposure. The property's flexible layout is suitable for a variety of uses, including retail, professional office, salon/spa, boutique, wellness, or other service-based businesses. Previously operated as a beauty salon and office space, the building presents an opportunity for an owner-user to occupy part of the space while leasing additional space for supplemental income. It is well-suited for both investors and business owners seeking adaptable commercial space in a convenient downtown location.
Key Highlights
- Prime Central Business District location with high traffic exposure.
- Versatile 2,100 SF mixed‑use building suitable for various businesses.
- Flexible layout ideal for retail, office, salon/spa, or service‑based businesses.
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
$9,266
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
4.64%
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%
$185,320
$185.3K
Cap Rate 7%
$132,371
$132.4K
Cap Rate 9%
$102,956
$103.0K
Market Conditions
NOI Build-Up for 2,160 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
$16.8K $7.80/SF
− Vacancy
−$2.0K −$0.94/SF
EGI
$14.8K $6.86/SF
− OpEx
−$5.6K −$2.57/SF
NOI
$9.3K $4.29/SF
Area
Cullman County, AL
Vacancy
12.00%
Lease Rate
$7.80 /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%
$185,320
Cap Rate 7%
$132,371
Cap Rate 9%
$102,956
Alternative Uses
Best Use
Mixed Use
$132.4K
$115.8K – $154.4K
NOI $9,266 @ 7.0% cap · market cap 4.64%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$318.4K
$278.6K – $371.5K
NOI $22,291 @ 7.0% cap · market cap 11.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
215
Businesses Nearby
Explore this area
Business Placement
Demographics for 35077, AL
13,813
Population
6,045
Households
2.3
Avg Household Size
42
Median Age
14%
College-Educated
79%
High-School Grad
150.2 sq mi
ZIP Area
92
Density / Sq Mi
$47,720
Median Household Income
$29,221
Median Earnings
$822
Median Rent
$157,000
Median Home Value
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - 2,160 SF mixed-use building in Hanceville's Central Business District.
Where is this mixed-use property located?
The property is located at 304 Bangor Ave Hanceville, AL.
What is the asking price?
The asking price for this property is $199,900.
What are key features of this property?
This property features: Prime Central Business District location with high traffic exposure.; Versatile 2,100 SF mixed‑use building suitable for various businesses.; Flexible layout ideal for retail, office, salon/spa, or service‑based businesses.
