Renovated Auto
For Sale
$629,000
614 E Second St, Muscle Shoals, AL 35661
Commercial building with dedicated staff amenities, multiple HVAC units, and on-site parking for customers, equipment, or fleet vehicles.
Property Size3,366 SF
Price / SF$186.87
Days on Market17
Property Features for 614 E Second St
General Information
Standard status
Active
Size
3,366 SF
Property subtype
Commercial/Industrial
Taxes and HOA fees
Annual Taxes
$1,465
Amenities
six new mini-split HVAC units
two bathrooms
kitchen/break area
spacious parking lot
Building Details
Year Built
1991
Buildings
1
Listing Agency:
Modern Market Real Estate
(256) 394-2406
Listed By:
Emily Kelley · License #000170123
(256) 394-2406
Source:
Exitrealty
Added: Aug 15
Changed: Aug 31
Last Checked: Aug 31 at 12:52AM
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 Modern Market Real Estate
Investment Insights
Based on property information with market context.
This 3,366-square-foot commercial building, built in 1991, has undergone a complete renovation and is configured for automotive service or related commercial operations. Six newly installed mini-split HVAC units provide climate control throughout the building, while the interior includes two bathrooms and a dedicated kitchen and break area for staff.
The property at 614 East Second Street in Muscle Shoals, Alabama, includes a spacious parking lot with room for customers, equipment, and fleet vehicles. Its stated use options include an auto repair shop, detailing business, service center, or similar operation, making the layout suitable for an owner-user or investor seeking a functional commercial facility.
The property at 614 East Second Street in Muscle Shoals, Alabama, includes a spacious parking lot with room for customers, equipment, and fleet vehicles. Its stated use options include an auto repair shop, detailing business, service center, or similar operation, making the layout suitable for an owner-user or investor seeking a functional commercial facility.
Key Highlights
- 3,366‑square‑foot renovated commercial building
- Six new mini‑split HVAC units
- Two bathrooms and dedicated kitchen/break 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
$21,004
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
3.34%
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%
$420,080
$420.1K
Cap Rate 7%
$300,057
$300.1K
Cap Rate 9%
$233,378
$233.4K
Market Conditions
NOI Build-Up for 3,366 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
$33.5K $9.96/SF
− Vacancy
−$3.5K −$1.05/SF
EGI
$30.0K $8.91/SF
− OpEx
−$9.0K −$2.67/SF
NOI
$21.0K $6.24/SF
Area
Colbert County, AL
Vacancy
10.50%
Lease Rate
$9.96 /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%
$420,080
Cap Rate 7%
$300,057
Cap Rate 9%
$233,378
Alternative Uses
Best Use
Retail
$300.1K
$262.6K – $350.1K
NOI $21,004 @ 7.0% cap · market cap 3.34%
Second Best
Industrial
$191.5K
$167.5K – $223.4K
NOI $13,402 @ 7.0% cap · market cap 2.13%
Theoretical Best
Office A
$537.5K
$470.3K – $627.1K
NOI $37,626 @ 7.0% cap · market cap 5.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
307
Businesses Nearby
4k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Chevron
Shops & Services
3,877 visits/mo
0.5 miles
Demographics for 35661, AL
18,714
Population
8,911
Households
2.1
Avg Household Size
42
Median Age
24%
College-Educated
91%
High-School Grad
51.2 sq mi
ZIP Area
366
Density / Sq Mi
$66,726
Median Household Income
$43,826
Median Earnings
$917
Median Rent
$189,700
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.
Similar Off Market Nearby
- ROGERS AUTO REPAIR SHOP — 1302 W 11th St, Sheffield, AL 35660
- Tatum Oil Inc — 1507 SW 12th St, Sheffield, AL 35660
- Frederickson's Tire Pros & Appliance — 601 S Montgomery Ave, Sheffield, AL 35660
- Collison Center — 1800 w 16th st, sheffield, al 35660
- Gooch's Auto Repair — 205 E 1st St, Sheffield, AL 35660
Frequently Asked Questions
What type of property is this?
Auto shop - Commercial building with dedicated staff amenities, multiple HVAC units, and on-site parking for customers, equipment, or fleet vehicles.
Where is this auto shop located?
The property is located at 614 E Second St Muscle Shoals, AL.
What is the asking price?
The asking price for this property is $629,000.
What are key features of this property?
This property features: 3,366‑square‑foot renovated commercial building; Six new mini‑split HVAC units; Two bathrooms and dedicated kitchen/break area
