714-618-3223
601 Tuscaloosa Ave, Gadsden, AL for Rent

$4.20 USD /SF/yr

Industrial - For Rent
1/35
408,000 SF | 1 Space

601 Tuscaloosa Ave
Gadsden, AL 35901


HIGHLIGHTS

  • Scale Creates Advantage; Control the Supply Chain; Stable Exchange Candidate ; Built-In Expansion Capacity
  • Landmark-Level Visibility; Strategic Location and Elevation.
  • It is located less than 2 miles from Interstate 59, distance translates into time. Time translates into cost efficiency.
  • The combination of scale, dock capacity, expansion land, landmarks visibility, and
  • Hightway proximity makes this asset structure UNIQUE within the regional market.
  • It may offer substantial long-term branding or signage potential assets subject to local approval.

OVERVIEW

STRATEGIC INDUSTRIAL INVESTMENT OPPORTUNITY GADSDEN, ALABAMA INVESTOR HIGHLIGHTS • Large-Scale Industrial FacilityApproximately 408,000 square feet of warehouse and logistics space. • Attractive Acquisition Price Asking price $19,990,000. (approximately $49 per square foot) • Strong Income Yield Current rental structure reflects an approximate 8.6% Cap Rate. • Seller Financing Available Owner is willing to provide seller financing at preferential interest rates, offering flexible acquisition terms for qualified investors. • Below Replacement Cost Insurance underwriting estimates the replacement value at over $27.8 million. • Significant Recent Improvements More than $3 million invested between 2024 and 2026 in structural and operational upgrades. PROPERTY OVERVIEW The property represents a rare opportunity to acquire a large-scale industrial logistics facility at a price level significantly below current replacement cost. With approximately 408,000 square feet of warehouse space and strong transportation access, the facility is well suited for regional distribution, industrial operations, and logistics supply chain activities. Large industrial facilities of this scale remain limited in many secondary markets, which enhances the long-term value potential of the asset. INVESTMENT PRICING ASKING PRICE $19,990,000. Approximately $49 per square foot, which compares favorably with many industrial properties currently available in the U.S. market. Based on the current rental structure of approximately $4.20 per square foot annually, the investment reflects an approximate 8.6% capitalization rate. This pricing allows investors to acquire a stabilized industrial asset with strong income potential while maintaining a substantial margin relative to replacement value. SELLER FINANCING ADVANTAGE To facilitate a smooth transaction and enhance investor returns, the owner is willing to provide seller financing at a preferential interest rate, subject to mutually agreed terms. Seller financing can significantly reduce transaction timelines while providing qualified buyers with flexible financing conditions that may be more favorable than traditional bank lending. RENTAL INCOME PROFILE Building Size Approx. 408,000 Square Feet Rental Rate $0.35 per square foot per month ($4.20 per square foot annually) Estimated Annual Rental Income $1,713,600. Estimated Monthly Income $142,800. ILLUSTRATIVE FINANCIAL SCENARIO Example financing structure for investor evaluation: Purchase Price $19,990,000 Equity Investment (30%) $5,997,000. Financing (70%) $13,993,000. Assumed Interest Rate 6.5% Loan Term 25 Years Estimated Monthly Debt Service Approx. $94,700. CASH FLOW POTENTIAL Monthly Rental Income $142,800. Estimated Monthly Debt Service $94,700. Estimated Monthly Positive Cash Flow Approx. $48,100. Estimated Annual Cash Flow Approx. $577,200. INVESTOR RETURN Investor Equity Investment $5,997,000. Estimated Annual Cash Flow $577,200. Approximate Cash-on-Cash Return About 9.6% annually Additional investment benefits include: • Annual principal reduction through loan amortization • Long-term industrial property appreciation • Strategic logistics location value WHY THIS CAP RATE IS SECURE Several factors support the long-term stability of this income profile: • Established Industrial Use History The facility supported operations for over 40 years under a major global manufacturer. • Strategic Transportation Location Located less than two miles from Interstate 59, providing efficient regional logistics access. • Proven Corporate Interest Multiple international companies have evaluated the facility for operational use, demonstrating strong industrial relevance. STRATEGIC MARKET ADVANTAGE The property benefits from access to a large regional market within a practical logistics distribution radius. Within approximately a 350-mile transportation range, the facility can serve major population centers throughout the southeastern United States. This regional coverage allows logistics operators to efficiently distribute goods across multiple states while operating from a centralized facility. CORPORATE VALIDATION The property’s industrial capability has been validated through historical operations or evaluation by major international companies, including: • Goodyear Tire & Rubber Company – Long-term industrial operations for over 40 years • TS Tech Co., Ltd. – Automotive supply chain supplier within the Honda network • DHL – Global logistics company that conducted detailed due diligence • Thyssenkrupp – International industrial manufacturing group • Lockheed Martin – Aerospace and defense technology company • Takkion – Renewable energy logistics operator currently utilizing the facility FACILITY FEATURES Loading Infrastructure • 31 Dock-High Loading Docks • 1 Drive-In Door Building Structure • Column spacing approximately 40 × 60 feet • Suitable for modern warehouse and logistics layouts • Supports high-density storage operations LAND AREA AND EXPANSION POTENTIAL The facility sits on approximately 17 acres, offering operational flexibility and potential expansion opportunities. The north side of the property also includes 16 rail dock positions (subject to approval by relevant rail authorities). SAFETY AND BUILDING MAINTENANCE The building’s fire protection systems are professionally maintained by Total Fire Protection of Alabama, a recognized regional fire safety service provider. Regular inspections ensure that the fire protection systems remain fully operational. 1031 EXCHANGE OPPORTUNITY This property may qualify as a replacement asset for investors seeking to complete a Section 1031 Exchange, offering both tax deferral opportunities and long-term income potential. CONFIDENTIAL DISCUSSIONS Qualified investors and operating companies are welcome to explore this opportunity through confidential discussions. Seeking a long-term lease agreement of 5-10 years.

RENTAL DETAILS

SPACE AVAILABLE

408,000 SF

# OF SPACES

1

RENT/MONTH

$142,800 USD /mo

RENT RATE (MO)

$0.35 USD /SF/mo

RENT RATE (YR)

$4.20 USD /SF/yr

LEASE TYPE

Modified Gross

LEASE LENGTH

3-10 Years

AVAILABLE

Now

BUILDING DETAILS

PROPERTY TYPE

Industrial

PROPERTY SUBTYPE

Warehouse

TOTAL BUILDING SIZE

408,000 SF

YEAR BUILT

1952

UTILITIES

Gas, Water, Sewer, Heating

CLEAR CEILING HT

14 Ft

DOCKS

31

DRIVE INS

1

PARKING SPACES

70

LAND DETAILS

LAND ACRES

17 AC

LAND SF

740,520 SF

ZONING

Industrial

ASK ABOUT THIS PROPERTY

Shu LiSiares Property LLCMore Info
714-618-3223

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Shu LiSiares Property LLCMore Info
714-618-3223

By clicking the button, you agree to Showcase's Terms of Use and Privacy Notice.