Corner Office
For Sale
$1,100,000
2929 N Ware Road, McAllen, TX 78501
Commercial Sale, McAllen, TX
Property Size3,060 SF
Lot Size0.30 Acres
Price / SF$359.48
Days on Market264
Property Features for 2929 N Ware Road
General Information
Property type
Commercial Sale
Property subtype
Other
Parking
13
Accessibility
Accessible Approach with Ramp
Appliances
Electric Water Heater
Subdivision
Chelsea
Directions
Southwest Corner of Daffodil and Ware Rd.
Standard status
Active
APN
716915 & 716916
Size
3,060 SF
Lot size
0.30 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
5830
Utilities
Heating system
Central
Cooling system
Central Air
Building Details
Year built
1985
Floors in Building
1
Building materials
Brick, Stucco
Roof type
Metal
Listing Agency:
Keller Williams Realty RGV
(956) 928-1155
Listed By:
Jaime Lee Gonzalez · License #713189
(956) 599-8400
Added: Dec 23, 2025
Changed: Sep 4
Last Checked: Sep 13 at 6:06PM
MLS# 488476
Copyright © 2026 Greater McAllen Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 3,060-square-foot office unit is currently configured as a residence and includes brick and stucco construction, a metal roof, central heating, and central air conditioning. An accessible approach with ramp provides an additional functional feature for future occupancy planning. The property was built in 1985 and includes an electric water heater.
The site occupies 0.2986 acres at the corner of Daffodil St. and Ware Rd. in McAllen, placing the building along a high-traffic corridor with direct access to two named roads. Its existing residential layout and commercial corridor setting support consideration for professional office or other commercial use, subject to applicable approvals.
The site occupies 0.2986 acres at the corner of Daffodil St. and Ware Rd. in McAllen, placing the building along a high-traffic corridor with direct access to two named roads. Its existing residential layout and commercial corridor setting support consideration for professional office or other commercial use, subject to applicable approvals.
Key Highlights
- 3,060‑square‑foot building on a 0.2986‑acre site
- Corner location at Daffodil St. and Ware Rd. in McAllen
- Current residential configuration with potential for office conversion
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$40,966
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.72%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$819,320
$819.3K
Cap Rate 7%
$585,229
$585.2K
Cap Rate 9%
$455,178
$455.2K
Market Conditions
NOI Build-Up for 3,060 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$64.3K $21.00/SF
− Vacancy
−$9.6K −$3.15/SF
EGI
$54.6K $17.85/SF
− OpEx
−$13.7K −$4.46/SF
NOI
$41.0K $13.39/SF
Area
McAllen, TX
Vacancy
15.00%
Lease Rate
$21.00 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$819,320
Cap Rate 7%
$585,229
Cap Rate 9%
$455,178
Alternative Uses
Best Use
Office B
$585.2K
$512.1K – $682.8K
NOI $40,966 @ 7.0% cap · market cap 3.72%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$830.9K
$727.1K – $969.4K
NOI $58,164 @ 7.0% cap · market cap 5.29%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
292
Businesses Nearby
Explore this area
Business Placement
Demographics for 78501, TX
60,817
Population
24,807
Households
2.5
Avg Household Size
37
Median Age
27%
College-Educated
77%
High-School Grad
15.5 sq mi
ZIP Area
3,924
Density / Sq Mi
$49,451
Median Household Income
$29,092
Median Earnings
$943
Median Rent
$149,000
Median Home Value
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Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in South region
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Frequently Asked Questions
What type of property is this?
Office units - Existing residential configuration with central HVAC and ramp access supports flexible professional-office planning.
Where is this office units located?
The property is located at 2929 N Ware Road McAllen, TX.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: 3,060‑square‑foot building on a 0.2986‑acre site; Corner location at Daffodil St. and Ware Rd. in McAllen; Current residential configuration with potential for office conversion
