Commercial Gas Station
For Sale
$399,000
5906 Highway 90, Theodore, AL 36582
Former gas station site along Highway 90 with commercial zoning and subdivision flexibility.
Property Size804 SF
Lot Size6.00 Acres
Days on Market166
Property Features for 5906 Highway 90
General Information
Standard status
Active
Size
804 SF
Lot size
6.00 Acres
Property subtype
Commercial
Zoning
commercial
Additional Details
Land Use
commercial
Building Details
Building Size
804 SF
Year Built
1986
Buildings
1
Stories
1
Listing Agency:
Sweet Willow Realty
(678) 315-4338
Listed By:
Katie Sondag · License #126964-1
(678) 315-4338
Source:
Kimwardrealty
Added: Mar 9
Changed: Aug 19
Last Checked: Aug 20 at 2:20PM
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 Sweet Willow Realty
Investment Insights
Based on property information with market context.
This 6-acre commercial property at 5906 Highway 90 previously operated as the Phillips Gas Station. The site is zoned for commercial development and is being offered in its existing condition, providing a basis for redevelopment or expansion subject to buyer due diligence.
Ownership is open to dividing the property into smaller parcels, allowing the offering to be considered as one tract or through a potential subdivision. The property is located in Theodore, Alabama, and carries a 1986 year-built designation. Buyer to verify zoning, physical conditions, subdivision feasibility, and other property information during due diligence.
Ownership is open to dividing the property into smaller parcels, allowing the offering to be considered as one tract or through a potential subdivision. The property is located in Theodore, Alabama, and carries a 1986 year-built designation. Buyer to verify zoning, physical conditions, subdivision feasibility, and other property information during due diligence.
Key Highlights
- 6‑acre commercial property at 5906 Highway 90
- Former Phillips Gas Station site
- Zoned for commercial development
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
$12,156
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
3.05%
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%
$243,120
$243.1K
Cap Rate 7%
$173,657
$173.7K
Cap Rate 9%
$135,067
$135.1K
Market Conditions
NOI Build-Up for 804 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
$16.9K $21.00/SF
− Vacancy
−$675 −$0.84/SF
EGI
$16.2K $20.16/SF
− OpEx
−$4.1K −$5.04/SF
NOI
$12.2K $15.12/SF
Area
Mobile, AL
Vacancy
4.00%
Lease Rate
$21.00 /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%
$243,120
Cap Rate 7%
$173,657
Cap Rate 9%
$135,067
Alternative Uses
Best Use
Specialty Retail
$173.7K
$152.0K – $202.6K
NOI $12,156 @ 7.0% cap · market cap 3.05%
Second Best
Retail
$152.0K
$133.0K – $177.4K
NOI $10,642 @ 7.0% cap · market cap 2.67%
Theoretical Best
Office A
$204.4K
$178.8K – $238.4K
NOI $14,305 @ 7.0% cap · market cap 3.59%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
7
Businesses Nearby
Explore this area
Business Placement
Demographics for 36582, AL
25,903
Population
10,409
Households
2.5
Avg Household Size
40
Median Age
20%
College-Educated
87%
High-School Grad
79.7 sq mi
ZIP Area
325
Density / Sq Mi
$61,498
Median Household Income
$37,043
Median Earnings
$916
Median Rent
$170,400
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Gas station - Former gas station site along Highway 90 with commercial zoning and subdivision flexibility.
Where is this gas station located?
The property is located at 5906 Highway 90 Theodore, AL.
What is the asking price?
The asking price for this property is $399,000.
What are key features of this property?
This property features: 6‑acre commercial property at 5906 Highway 90; Former Phillips Gas Station site; Zoned for commercial development
