Class A Office
For Sale
Contact for pricing
4904 Research Dr NW, Huntsville, AL 35805
Fully leased office space in Cummings Research Park.
Property Size44,285 SF
Price / SF$190.81
Days on Market195
Property Features for 4904 Research Dr NW
General Information
Standard status
Active
Size
44,285 SF
Class
B
Property subtype
Industrial, Office
Zoning
RP
Occupancy
100%
Lease Type
Modified Gross
Investment Type
Stabilized
Net Operating Income
$653,574
Building Details
Year Built
2011
Year Renovated
2022
Buildings
2
Tenancy
Single
Listing Agency:
Colliers - Kansas City, Missouri
(256) 533-0035
Listed By:
Drew Quinn · License #BR00046201
Source:
Crexi
Added: Jan 28
Changed: Aug 7
Last Checked: Aug 8 at 9:02AM
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 Colliers - Kansas City, Missouri
Investment Insights
Based on property information with market context.
4904 Research Drive is a fully leased, Class A office asset located in Cummings Research Park, a leading hub for technology, defense, and innovation. The property features approximately 37,285 square feet of high-quality office space, along with 7,000 square feet of specialized integration area, suitable for advanced industrial and technology users. Situated minutes from Redstone Arsenal and the expanding MidCity District, the asset offers immediate income security and long-term value potential. The property's location provides access to key federal and commercial demand drivers in one of the southeast’s fastest-growing markets. The total property size is 44,285 square feet.
Key Highlights
- Fully leased Class A office asset providing immediate income security.
- Prime location within Cummings Research Park, a leading technology and defense hub.
- Strategic location minutes from Redstone Arsenal and MidCity District.
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
$565,763
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
6.70%
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%
$11,315,260
$11.3M
Cap Rate 7%
$8,082,329
$8.1M
Cap Rate 9%
$6,286,256
$6.3M
Market Conditions
NOI Build-Up for 44,285 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
$887.5K $20.04/SF
− Vacancy
−$133.1K −$3.01/SF
EGI
$754.4K $17.03/SF
− OpEx
−$188.6K −$4.26/SF
NOI
$565.8K $12.78/SF
Area
Huntsville, AL
Vacancy
15.00%
Lease Rate
$20.04 /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%
$11,315,260
Cap Rate 7%
$8,082,329
Cap Rate 9%
$6,286,256
Alternative Uses
Best Use
Office B
$8.08M
$7.07M – $9.43M
NOI $565,763 @ 7.0% cap · market cap 6.70%
Second Best
Flex RnD
$6.81M
$5.96M – $7.94M
NOI $476,684 @ 7.0% cap · market cap 5.64%
Theoretical Best
Office A
$11.53M
$10.09M – $13.45M
NOI $807,227 @ 7.0% cap · market cap 9.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
692
Businesses Nearby
Explore this area
Business Placement
Demographics for 35805, AL
23,189
Population
10,618
Households
2.2
Avg Household Size
31
Median Age
18%
College-Educated
78%
High-School Grad
9.2 sq mi
ZIP Area
2,521
Density / Sq Mi
$31,247
Median Household Income
$26,824
Median Earnings
$800
Median Rent
$108,200
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 - Fully leased office space in Cummings Research Park.
Where is this office building located?
The property is located at 4904 Research Dr NW Huntsville, AL.
What is the asking price?
The asking price for this property is $8,450,000.
What are key features of this property?
This property features: Fully leased Class A office asset providing immediate income security.; Prime location within Cummings Research Park, a leading technology and defense hub.; Strategic location minutes from Redstone Arsenal and MidCity District.
