Flex Space with Commercial
New
For Sale
$175,000
5305 1st Ave, Birmingham, AL 35212
Versatile commercial building with open floor area, offices, coolers, compliant access, and MU-M zoning.
Property Size2,315 SF
Price / SF$75.59
Days on Market3
Property Features for 5305 1st Ave
General Information
Standard status
Active
Size
2,315 SF
Zoning
MU-M
Additional Details
Highway Access
Yes
Cold Storage
Yes
Amenities
3 door cooler
2 walk-in coolers
2 half baths
covered rear area
handicap compliant
Building Details
Year Built
1984
Buildings
2
Listing Agency:
Keller Williams Homewood
Listed By:
Frances Knox · License #30859
(205) 936-8062
Source:
Soldbystratford
Added: Sep 9
Changed: Sep 10
Last Checked: Sep 10 at 2:37PM
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 Homewood
Investment Insights
Based on property information with market context.
This 1984 flex-space building provides a 2,315-square-foot layout with a broad front area, a rear office, two half baths, and substantial cold-storage infrastructure. The property includes one three-door cooler and two walk-in coolers measuring approximately 15' x 10' and 14' x 15'. A covered rear area of approximately 20' x 15' extends the functional space, while the entry and restrooms meet handicap-compliance requirements. The roof and gutters were replaced in 2021, according to the owner.
The building is in Birmingham’s Woodlawn area with access to Hwy 280, I-20, and Hwy 78. It is near the Woodlawn Post Office, two blocks from a bus stop, and four blocks from the Woodlawn East Transit Center. MU-M zoning is identified by the Birmingham Zoning Office. The property is being sold as-is and is offered together with 5303 1st Avenue N.
The building is in Birmingham’s Woodlawn area with access to Hwy 280, I-20, and Hwy 78. It is near the Woodlawn Post Office, two blocks from a bus stop, and four blocks from the Woodlawn East Transit Center. MU-M zoning is identified by the Birmingham Zoning Office. The property is being sold as-is and is offered together with 5303 1st Avenue N.
Key Highlights
- 2,315‑square‑foot flex‑space building constructed in 1984
- One three‑door cooler plus two walk‑in coolers measuring approximately 15' x 10' and 14' x 15'
- Open front area, rear office, two half baths, and approximately 20' x 15' covered rear area
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
$10,641
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
6.08%
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%
$212,820
$212.8K
Cap Rate 7%
$152,014
$152.0K
Cap Rate 9%
$118,233
$118.2K
Market Conditions
NOI Build-Up for 2,315 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
$16.7K $7.20/SF
− Vacancy
−$1.5K −$0.63/SF
EGI
$15.2K $6.57/SF
− OpEx
−$4.6K −$1.97/SF
NOI
$10.6K $4.60/SF
Area
Birmingham, AL
Vacancy
8.80%
Lease Rate
$7.20 /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%
$212,820
Cap Rate 7%
$152,014
Cap Rate 9%
$118,233
Alternative Uses
Best Use
Retail
$323.2K
$282.8K – $377.1K
NOI $22,625 @ 7.0% cap · market cap 12.93%
Second Best
Flex RnD
$321.4K
$281.2K – $375.0K
NOI $22,499 @ 7.0% cap · market cap 12.86%
Theoretical Best
Office A
$543.4K
$475.5K – $633.9K
NOI $38,036 @ 7.0% cap · market cap 21.73%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
580
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 35212, AL
11,240
Population
5,537
Households
2
Avg Household Size
34
Median Age
33%
College-Educated
87%
High-School Grad
6.2 sq mi
ZIP Area
1,813
Density / Sq Mi
$34,565
Median Household Income
$37,264
Median Earnings
$754
Median Rent
$210,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
View Realmo Analytics
Market
Vacancy Rate% for Industrial in Birmingham, AL
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Similar Off Market Nearby
- Much up catering — 6001 1st Ave N, Birmingham, AL 35212
Frequently Asked Questions
What type of property is this?
Flex space - Versatile commercial building with open floor area, offices, coolers, compliant access, and MU-M zoning.
Where is this flex space located?
The property is located at 5305 1st Ave Birmingham, AL.
What is the asking price?
The asking price for this property is $175,000.
What are key features of this property?
This property features: 2,315‑square‑foot flex‑space building constructed in 1984; One three‑door cooler plus two walk‑in coolers measuring approximately 15' x 10' and 14' x 15'; Open front area, rear office, two half baths, and approximately 20' x 15' covered rear area
