1855 Spring Hill AveMobile, AL 36607

  • Healthcare properties
  • 8,722 SF
For Sale
$1,550,000 View listing

Property Details for 1855 Spring Hill Ave

Year built
1975
Lot size
0.63 AC
Property size (Sq ft)
8,722 SF
Property type
Healthcare properties
Property subtype
Medical offices
APN
29 07 24 0 001 171.XXX
APU
2907240001171XXX

Description

This 11,407-square-foot Class B medical office building in Mobile, Alabama, presents a compelling investment opportunity. Located at 1855 SpringHill Ave, the property boasts a 100% occupancy rate with a stabilized, single-tenant lease to Cardio-Thoracic & Vascular Surgical Associates, P.C., a well-established practice performing over 2,000 major procedures annually. The lease, commencing April 1, 2024, and expiring November 1, 2027, includes two three-year renewal options and features 2% annual rent bumps. The asking price is $1,550,000, representing a price per square foot of $135.88 and a 9.42% cap rate based on a current Net Operating Income (NOI) of $146,000. Built in 1975 and renovated in 2018, the property sits on a 0.63-acre lot. The lease is personally guaranteed by the physicians, mitigating risk. The property's location within Mobile's medical district, serving a population exceeding 190,000 within a five-mile radius, ensures strong long-term prospects. This fee-simple ownership offers a secure investment with significant upside potential due to below-market rent and a strong tenant. The property's APN is 2907240004137XXX, 2907240001172XXX, and 2907240001171XXX.

Valuation
by Paperhouses methods

Valuation date:
Dec 11, 2024
  • CAP approach

    CAP return
    Valuation
    6%
    $1,181,261
    6.5%
    $1,090,395
    7%
    $1,012,509
  • Comparable approach

    Method
    Valuation
    Relative Method
    $590,322
    Geo Method
    $620,047
  • Alternative Use

    Use
    Valuation
    Residential
    $1,352,089
    Hospitality
    $1,238,507
    Educational
    $1,030,423
    Medical
    $1,065,861
    Retail
    $1,602,880
1855 Spring Hill Ave, Mobile, Alabama

Location Insight

City
Mobile
County
Mobile
State
Alabama
Latitude
30.6913
Longitude
-88.0854
CBSA code
33660
CBSA name
MOBILE, AL METROPOLITAN STATISTICAL AREA

Property Tax & Assessments

Tax date
Tax Amount
Assessed Land Value
Assessed Improvement Value
Total Assessed Value
Applied Tax Rate
Land Market Value
Improvement Market Value
Total Market Value
2023
$10,185
$27,400
$130,820
$158,220
-
$137,000
$654,100
$791,100

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