3120 26th St N 9,085 SF Retail Building Birmingham, AL 35207 $2,243,482 CAD ($246.94 CAD/SF) 8.50% Cap Rate

Marcus & Millichap is pleased to exclusively present for sale this net-leased Family Dollar located at 3120 26th Street North in Birmingham, Alabama, less than three miles from Downtown Birmingham. The subject property features a 9,085-square-foot freestanding building situated on a ±1.20-acre parcel at the signalized intersection of 26th Street North and 31st Alley North. The property offers ample dedicated parking, excellent visibility and access, and more than 390 feet of combined street frontage.
Positioned along 26th Street North / U.S. Highway 31, a highly trafficked thoroughfare and one of North Birmingham’s primary commercial corridors, the property benefits from strong visibility, convenient access, and direct connectivity to some of the city’s densest employment and residential nodes. U.S. Highway 31 connects the North Birmingham trade area directly to Downtown Birmingham via Carraway Boulevard and the I-20/59 interchange, while Interstate 65 (Exit 266) and Finley Boulevard (SR-378) are located just minutes from the site. The surrounding corridor is supported by a dense, established residential base and limited competing discount retail, reinforcing the location’s strength as a high-frequency, needs-based destination.
The property is situated within a stable and recession-resistant market supported by healthcare, higher education, banking, and advanced manufacturing. Birmingham is the economic center of Alabama’s largest metropolitan area, with a population of approximately 1.1 million. The market is anchored by the University of Alabama at Birmingham (UAB), the state’s largest single employer, with more than 28,000 employees and an annual economic impact exceeding $12 billion. The metro is further supported by Regions Financial, a Fortune 500 company headquartered in Birmingham, along with St. Vincent’s and Grandview health systems and a robust industrial and manufacturing base, generating consistent year-round employment and consumer demand. The immediate trade area features a dense, value-oriented consumer base that aligns well with the dollar-store format and its emphasis on everyday, needs-based retail.
The subject property is leased on a double-net basis, with limited landlord responsibilities primarily confined to the roof and structure, and has approximately 3.6 years remaining on the current lease term through March 31, 2030. The lease features attractive 10 percent rent increases in each of the five remaining five-year renewal options. The options are automatic (self-exercising), providing the potential for continuous tenancy through March 31, 2055. Current annual rent is $138,386 and is backed by a corporate guarantee from Family Dollar Stores, Inc. The tenant has operated continuously at this location for more than 11 years since the property was originally built to suit in 2015, demonstrating an established operating history and long-term commitment to the site.
Founded in 1959, Family Dollar is one of the nation’s largest small-box discount retailers, operating more than 8,000 neighborhood stores across 48 states. The company serves millions of customers each week through a broad assortment of everyday essentials, including food and beverages, household goods, health and beauty products, apparel, and seasonal merchandise, offered at value-oriented price points. The company’s focus on essential, everyday merchandise has positioned Family Dollar as an internet-resistant and recession-resilient retailer serving communities throughout the country. In July 2025, Family Dollar was acquired from Dollar Tree, Inc. by affiliates of Brigade Capital Management and Macellum Capital Management, reestablishing the brand as an independent, privately held company headquartered in Chesapeake, Virginia.