Triplex Income
For Sale
$449,000
Pending
6614 Cahaba Valley Road, Birmingham, AL 35242
Three-unit triplex with two currently leased units; basement unit needs finishing before it can be leased.
Property Size2,727 SF
Days on Market119
Property Features for 6614 Cahaba Valley Road
General Information
Standard status
Pending
Size
2,727 SF
Property subtype
Multi Family
Occupancy
67%
Additional Details
Multifamily Units
3
Building Details
Year Built
1953
Tenancy
Multi
Listing Agency:
ARC Realty Vestavia
(205) 902-4320
Listed By:
Christian Kelly · License #116513
(205) 902-4320
Source:
Exitrealty
Added: Apr 15
Changed: Aug 8
Last Checked: Jul 23 at 7:51AM
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 ARC Realty Vestavia
Investment Insights
Based on property information with market context.
This triplex at 6614 Cahaba Valley Road is set up as three separate rental units. The basement unit will need to be finished out in order to lease, while the other units are currently generating rental income. A 2-bedroom unit is currently leased for $1,810, and a 1-bedroom unit is currently leased for $1,440.
The property is conveniently located near shopping, dining, and major roadways, supporting easy access to everyday amenities for residents.
For investors or owner-operators looking for a multifamily asset, the existing leases provide a starting point for income, while the unfinished basement unit represents an operational step that must be completed before it can be marketed to tenants. It’s also a straightforward option for buyers expanding into residential income property or adding another triplex to a portfolio, given the functional, rental-oriented layout described for each unit.
The property is conveniently located near shopping, dining, and major roadways, supporting easy access to everyday amenities for residents.
For investors or owner-operators looking for a multifamily asset, the existing leases provide a starting point for income, while the unfinished basement unit represents an operational step that must be completed before it can be marketed to tenants. It’s also a straightforward option for buyers expanding into residential income property or adding another triplex to a portfolio, given the functional, rental-oriented layout described for each unit.
Key Highlights
- 1953‑built three‑unit triplex at 6614 Cahaba Valley Rd, Birmingham, AL 35242
- Two units currently leased: 2BR for $1,810/month and 1BR for $1,440/month
- Basement unit needs to be finished out before it can be leased
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
$21,005
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
4.68%
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%
$420,100
$420.1K
Cap Rate 7%
$300,071
$300.1K
Cap Rate 9%
$233,389
$233.4K
Market Conditions
NOI Build-Up for 2,727 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
$33.1K $12.12/SF
− Vacancy
−$3.0K −$1.12/SF
EGI
$30.0K $11.00/SF
− OpEx
−$9.0K −$3.30/SF
NOI
$21.0K $7.70/SF
Area
Birmingham, AL
Vacancy
9.21%
Lease Rate
$12.12 /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%
$420,100
Cap Rate 7%
$300,071
Cap Rate 9%
$233,389
Alternative Uses
Best Use
Multifamily LT 5
$300.1K
$262.6K – $350.1K
NOI $21,005 @ 7.0% cap · market cap 4.68%
Second Best
Apartment 5plus
$280.9K
$245.8K – $327.8K
NOI $19,665 @ 7.0% cap · market cap 4.38%
Theoretical Best
Office A
$640.1K
$560.1K – $746.8K
NOI $44,806 @ 7.0% cap · market cap 9.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
66.7%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
190
Businesses Nearby
Explore this area
Business Placement
Demographics for 35242, AL
57,008
Population
25,247
Households
2.3
Avg Household Size
42
Median Age
65%
College-Educated
97%
High-School Grad
52.4 sq mi
ZIP Area
1,088
Density / Sq Mi
$116,053
Median Household Income
$59,731
Median Earnings
$1,430
Median Rent
$452,300
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Triplex - Three-unit triplex with two currently leased units; basement unit needs finishing before it can be leased.
Where is this triplex located?
The property is located at 6614 Cahaba Valley Road Birmingham, AL.
What is the asking price?
The asking price for this property is $449,000.
What are key features of this property?
This property features: 1953‑built three‑unit triplex at 6614 Cahaba Valley Rd, Birmingham, AL 35242; Two units currently leased: 2BR for $1,810/month and 1BR for $1,440/month; Basement unit needs to be finished out before it can be leased
