Automotive Assemblage with Multiple
For Sale
Contact for pricing
5506 North W Street, Pensacola, FL 32505
Three connected parcels support vehicle display, storage, parking, and related commercial operations along two prominent avenues.
Property Size2,072 SF
Price / SF$313.71
Days on Market148
Property Features for 5506 North W Street
General Information
Standard status
Active
Size
2,072 SF
Property subtype
Retail
Zoning
HCLI / HDMU
Occupancy
100%
Investment Type
Owner/User
Site & Location
Road Access
Yes
Outdoor Storage
Yes
Amenities
commercial lighting
palm tree landscaping
large oak trees
multiple access drives
attractive site improvements
Building Details
Year Built
1956
Buildings
2
Listing Agency:
NAI Pensacola
(850) 433-0577
Listed By:
DeeDee Davis · License #FL 3037624
Source:
Crexi
Added: Apr 6
Changed: Aug 30
Last Checked: Aug 30 at 6:44AM
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 NAI Pensacola
Investment Insights
Based on property information with market context.
This automotive commercial assemblage combines three connected parcels at the intersection of North W Street and W. Michigan Avenue in Pensacola. The property includes a 1,460-square-foot building, a 674-square-foot building, vacant land, commercial lighting, palm landscaping, mature oak trees, and outdoor areas for vehicle display, fleet parking, customer parking, storage, or day-to-day operations. Access is available from both roadways, with approximately 75 feet, 150 feet, and 104 feet of W Street or Michigan Avenue frontage across the parcels, plus approximately 190.6 feet along W. Michigan Avenue on the largest parcel.
The site is zoned HC/LI and HDMU across the three parcels. W Street carries approximately 27,000 cars per day, while Michigan Avenue carries approximately 37,000 cars per day. The property is connected to Pensacola Boulevard’s automotive-oriented corridor and sits near automotive dealerships, service providers, commercial users, and destination retailers.
The site is zoned HC/LI and HDMU across the three parcels. W Street carries approximately 27,000 cars per day, while Michigan Avenue carries approximately 37,000 cars per day. The property is connected to Pensacola Boulevard’s automotive-oriented corridor and sits near automotive dealerships, service providers, commercial users, and destination retailers.
Key Highlights
- Three connected parcels totaling approximately 1.3418 acres
- Approximately 27,000 cars per day on W Street and 37,000 on Michigan Avenue
- 1,460 SF and 674 SF buildings with outdoor display, parking, and storage areas
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
$23,418
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
3.60%
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%
$468,360
$468.4K
Cap Rate 7%
$334,543
$334.5K
Cap Rate 9%
$260,200
$260.2K
Market Conditions
NOI Build-Up for 2,072 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
$37.3K $18.00/SF
− Vacancy
−$3.8K −$1.85/SF
EGI
$33.5K $16.15/SF
− OpEx
−$10.0K −$4.84/SF
NOI
$23.4K $11.30/SF
Area
Escambia County, FL
Vacancy
10.30%
Lease Rate
$18.00 /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%
$468,360
Cap Rate 7%
$334,543
Cap Rate 9%
$260,200
Alternative Uses
Best Use
Retail
$334.5K
$292.7K – $390.3K
NOI $23,418 @ 7.0% cap · market cap 3.60%
Second Best
Industrial
$166.9K
$146.0K – $194.7K
NOI $11,683 @ 7.0% cap · market cap 1.80%
Theoretical Best
Office A
$608.1K
$532.1K – $709.5K
NOI $42,567 @ 7.0% cap · market cap 6.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
375
Businesses Nearby
8k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Dollar General
Shops & Services
4,570 visits/mo
0.5 miles
Family Dollar
Shops & Services
3,205 visits/mo
0.5 miles
Demographics for 32505, FL
28,671
Population
12,278
Households
2.3
Avg Household Size
36
Median Age
14%
College-Educated
82%
High-School Grad
13.0 sq mi
ZIP Area
2,205
Density / Sq Mi
$41,039
Median Household Income
$27,950
Median Earnings
$1,053
Median Rent
$120,300
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?
Automotive property - Three connected parcels support vehicle display, storage, parking, and related commercial operations along two prominent avenues.
Where is this automotive property located?
The property is located at 5506 North W Street Pensacola, FL.
What is the asking price?
The asking price for this property is $650,000.
What are key features of this property?
This property features: Three connected parcels totaling approximately 1.3418 acres; Approximately 27,000 cars per day on W Street and 37,000 on Michigan Avenue; 1,460 SF and 674 SF buildings with outdoor display, parking, and storage areas
