The intermediate valence compound YbAl 3 exhibits a broad magnetic excitation in the inelastic neutron scattering spectrum with characteristic energy E 1 ª 50 meV, equal to the Kondo energy (T K ~ 600-700 K). In the low temperature (T < T coh ~ 40 K) Fermi liquid state, however, a new peak in the scattering occurs at E 2 ≈ 33 meV, which lies in the hybridization gap that exists in this compound. We show, using inelastic neutron scattering on a single-crystal sample, that while the scattering at energies near E 1 has the momentum (Q-) dependence expected for interband scattering across the indirect gap, the scattering near E 2 is independent of Q over a large fraction of the Brillouin zone. A possible explanation is that the peak at E 2 arises from a spatially-localized excitation in the hybridization gap.61.12. Ex, 71.28.+d, 75.20.Hr