Fenced Self-Storage
For Sale
$13,300,000
8484 Us Highway 98, Fairhope, AL 36532
Multiple buildings provide a substantial storage operation with on-site septic service and internet access.
Property Size108,000 SF
Price / SF$123.15
Days on Market170
Property Features for 8484 Us Highway 98
General Information
Standard status
Active
Size
108,000 SF
Property subtype
Commercial
Building Details
Year Built
2017
Listing Agency:
Wise Living Real Estate, LLC
Listed By:
Kiel G. Rubio PHONE
Source:
Gulfcoasthomesalabama
Added: Apr 18
Changed: Oct 1
Last Checked: Oct 4 at 10:03AM
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 Wise Living Real Estate, LLC
Investment Insights
Based on property information with market context.
This self-storage property in Fairhope comprises multiple buildings totaling approximately 108,000 square feet. Built in 2017, the structures feature wood construction, metal roofs, and aluminum and wood siding. Unity Fiber provides internet service to the facility.
Site infrastructure includes three 1,000-gallon septic tanks connected to ten 80-foot field lines, along with two retention ponds. The property is fully fenced and includes a 12-by-12-foot gazebo overlooking one of the ponds.
Site infrastructure includes three 1,000-gallon septic tanks connected to ten 80-foot field lines, along with two retention ponds. The property is fully fenced and includes a 12-by-12-foot gazebo overlooking one of the ponds.
Key Highlights
- Approximately 108,000 square feet across multiple buildings
- Built in 2017 with wood construction, metal roofs, and aluminum and wood siding
- Three 1,000‑gallon septic tanks and ten 80‑foot field lines serve the property
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
$928,066
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
6.98%
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%
$18,561,320
$18.6M
Cap Rate 7%
$13,258,086
$13.3M
Cap Rate 9%
$10,311,844
$10.3M
Market Conditions
NOI Build-Up for 108,000 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
$1.43M $13.20/SF
− Vacancy
−$99.8K −$0.92/SF
EGI
$1.33M $12.28/SF
− OpEx
−$397.7K −$3.68/SF
NOI
$928.1K $8.59/SF
Area
Baldwin County, AL
Vacancy
7.00%
Lease Rate
$13.20 /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%
$18,561,320
Cap Rate 7%
$13,258,086
Cap Rate 9%
$10,311,844
Alternative Uses
Best Use
Self Storage
$13.26M
$11.60M – $15.47M
NOI $928,066 @ 7.0% cap · market cap 6.98%
Second Best
Warehouse
$9.74M
$8.52M – $11.36M
NOI $681,670 @ 7.0% cap · market cap 5.13%
Theoretical Best
Office A
$25.97M
$22.73M – $30.30M
NOI $1,818,029 @ 7.0% cap · market cap 13.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
41
Businesses Nearby
Explore this area
Business Placement
Demographics for 36532, AL
36,918
Population
17,502
Households
2.1
Avg Household Size
48
Median Age
50%
College-Educated
94%
High-School Grad
73.2 sq mi
ZIP Area
504
Density / Sq Mi
$86,026
Median Household Income
$46,129
Median Earnings
$1,374
Median Rent
$395,300
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Industrial in South region
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Frequently Asked Questions
What type of property is this?
Self storage facility - Multiple buildings provide a substantial storage operation with on-site septic service and internet access.
Where is this self storage facility located?
The property is located at 8484 Us Highway 98 Fairhope, AL.
What is the asking price?
The asking price for this property is $13,300,000.
What are key features of this property?
This property features: Approximately 108,000 square feet across multiple buildings; Built in 2017 with wood construction, metal roofs, and aluminum and wood siding; Three 1,000‑gallon septic tanks and ten 80‑foot field lines serve the property
