Florence, AL
Commercial Real Estate Market Trends & Data

$155 Avg asking sale price
$1,019 Avg asking lease rate
14,430 SF Avg unit lease size
21,902 SF Avg building size for sale
7.48% Average cap rate

Florence's Demographic Profile

Florence has 17,839 households and a median income of $39,541, providing context for rent absorption and tenant demand across retail and multifamily assets. A +5% five-year population trend is a key signal for evaluating long-term demand in this market.

Key Demographic Metric Value
Population 41,811
# Households 17,839
Median age 36
Median household income $39,541
Avg household size 2.0
Renter-occupied housing units 9,158
5-year population change +5%

{{marketTabHeadings[activeMarketTab]}} Market Metrics Near Florence, AL

↻ Updated Monthly

{{marketTabDescriptions[activeMarketTab]}}

Nearby Retail Markets Avg Cost/SF Typical Size
Florence $267 7,028 SF
Sheffield $164 10,332 SF
Muscle Shoals $164 11,436 SF
Killen $188 2,400 SF
Tuscumbia $61 9,685 SF
Nearby Multifamily Markets Avg Cost/SF Typical Size Cap Max
Florence $113 7,693 SF 16.50%
Russellville $95 5,941 SF 16.50%
Lawrenceburg $118 32,901 SF 6.04%
Decatur $131 12,738 SF 7.00%
Madison $206 13,184 SF 4.46%

Commercial Properties For Sale in Florence

The listings below reflect how current market pricing and building scale translate into active opportunities available today.
For Sale

AZ Self-Storage | 68 Units

Leoma, TN 38468

  • 11,600 SF Specialty
  • 7.22% Cap Rate
  • $550,000
For Sale

North American Title Loans | Sheffield, AL

Sheffield, AL 35660

  • 3,210 SF Retail Building
  • 6.50% Cap Rate
  • $612,850
For Sale

Sonic

Waynesboro, TN 38485

  • 1,273 SF Retail Building
  • 7.50% Cap Rate
  • $1,407,000
For Sale

Verizon Wireless

Florence, AL 35633

  • 2,926 SF Retail Building
  • 8.15% Cap Rate
  • $1,149,000
For Sale

Altius Property

Muscle Shoals, AL 35661

  • 3.40 AC Lot
  • 1 Commercial Lot
  • $300,000
For Sale

Prime Development Opportunity - AL 24

Moulton, AL 35650

  • 165 AC Lot
  • 1 Commercial Lot
  • $4,867,500

Average Price For Sale

↻ Updated Monthly

Average Price For Lease

↻ Updated Monthly

Number of Listings

↻ Updated Monthly

Cap Rate

↻ Updated Monthly

How Investors Evaluate Commercial Real Estate Markets

5 Key Questions About Note/Loan Sales, Answered
5 Key Questions About Note/Loan Sales, Answered
An Expert Broker Provides Guidance on Advantages, Disadvantages and Expected Returns
What is a Multifamily Home?
What is a Multifamily Home?
What is a multifamily home? Clear definition, types, how small assets differ from large for financing, metrics, plus basics of zoning, fair housing, and risks.
The Best Cities for Office Investing in 2026
The Best Cities for Office Investing in 2026
A data-driven ranking of 50 U.S. markets scored on yield, inventory, office employment trends, and building quality.
Understanding Your Property’s Walk Score
Understanding Your Property’s Walk Score
Learn about the Amenities, Data and Calculations Used to Generate Your Property’s Walk Score
Loan to Value
Loan to Value
Breaking down the loan to value concept, its calculations, and strategic financing options to enhance investment decisions in commercial real estate.
Internal Rate of Return
Internal Rate of Return
Clarifying IRR concepts, outlines calculation methods, and examining its application in commercial real estate to guide your investment decisions.
Operating Expenses in CRE
Operating Expenses in CRE
Learn how operating expenses affect net operating income and property value, how to benchmark your costs against market standards, and proven strategies to reduce expenses across different property types and lease structures.
Land Loans 101
Land Loans 101
Key Considerations When Applying for a Land Loan

Nearby Commercial Markets

Comparing nearby markets helps investors see whether Florence pricing and building scale sit above, below, or in line with surrounding areas.

Commercial Markets Avg Cost/SF Average Size
Florence $155 21,902 SF
Sheffield $145 12,513 SF
Muscle Shoals $124 42,684 SF
Killen $139 12,650 SF
Tuscumbia $98 9,221 SF

Regional Demographic Comparison

This comparison places Florence alongside nearby cities to show how population size, household counts, and income levels differ across the region. Viewing these markets side by side helps investors understand whether local demand and income characteristics are concentrated in Florence or distributed across surrounding areas.

City Population # Households Age Median Household Income Avg Household Size Renter Occupied Housing Units Five Yr Pop Growth %
Florence 41,811 17,839 36 $39,541 2 9,158 5%
Sheffield 9,740 4,371 40 $36,921 2 2,026 3%
Muscle Shoals 15,982 6,653 41 $61,613 2 1,971 2%
Killen 1,067 428 46 $74,711 2 90 4%
Tuscumbia 8,873 3,949 42 $46,822 2 1,595 2%

Disclaimer: The figures on this page reflect LoopNet's active commercial listings in Florence, AL and update as inventory changes. Averages can shift between periods or vary across property types depending on the mix of listings available at a given time, so individual metrics may not reflect broader market trends. These figures are best used as directional benchmarks for early market evaluation. For comprehensive commercial real estate data and analytics, subscribe to CoStar.

FAQs About Commercial Investing in Florence

View All Commercial Real Estate For Sale in Florence
Is Florence a good market for a first-time commercial real estate investor?

Florence offers commercial properties across a wide range of sizes and price points. By reviewing the market data and benchmarks on this page, first-time investors can better understand what a typical commercial property looks like before committing capital and narrowing in on specific listings.

How can this market data help me decide whether to buy commercial property for my business in Florence?

The pricing and size metrics on this page help business owners compare the cost of ownership against leasing in Florence. Typical building sizes and asking prices provide a starting point for evaluating space needs, budget fit, and long term occupancy costs before engaging lenders or brokers.

What should conservative investors focus on when evaluating commercial properties in Florence?

Conservative investors often prioritize manageable deal sizes, stable pricing ranges, and cap rate benchmarks shown for Florence. These metrics help assess whether current market conditions support steady income potential without relying on aggressive assumptions.

How does Florence compare to nearby commercial real estate markets?

Nearby market comparisons highlight differences in pricing, building scale, and cap rate ranges relative to Florence. Reviewing these side by side helps experienced investors identify relative value, pricing premiums, or alternative markets that may better align with return targets.

How can this page support early-stage deal screening for Florence acquisitions?

This page provides high-level benchmarks for pricing, deal size, and observed cap rates in Florence, which are useful for initial market filtering. Institutional and data-driven investors often use these signals to prioritize listings that meet size, pricing, and return thresholds before deeper underwriting.

Nearby Cities
Commercial Market Reports