Flex Space with
For Sale
$3,900,000
Pending
5225 E Cesar Chavez St, Austin, TX 78702
Warehouse, shop, and office components occupy a 1.16-acre East Austin commercial site near the US-183 corridor.
Property Size8,000 SF
Lot Size1.16 Acres
Days on Market213
Property Features for 5225 E Cesar Chavez St
General Information
Standard status
Pending
Size
8,000 SF
Lot size
1.16 Acres
Property subtype
Commercial
Zoning
Light Industrial / Commercial
Warehouse & Industrial
Warehouse Space
6,500 SF
Office Build-Out
1,500 SF
Additional Details
Highway Access
Yes
Building Details
Year Built
1975
Building Size
8,000 SF
Listing Agency:
Austin Home Source
(512) 472-4663
Listed By:
John C Sheppard (512) 472-4663 · License #448360
Source:
Louis.magnoliarealtytemplebelton
Added: Jan 30
Changed: Aug 30
Last Checked: Aug 30 at 9:14AM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Austin Home Source
Investment Insights
Based on property information with market context.
This flex property combines approximately 6,500 SF of warehouse and shop area with approximately 1,500 SF of office space on a 1.16-acre parcel. The improvements date to 1975, and the site has supported an automotive operation for over 50 years. The existing configuration provides a mix of service, storage, and administrative space within one commercial property.
The property is located at 5225 E Cesar Chavez St in Austin, near the US-183 corridor and the Borden Milk Plant. Its position places the site approximately halfway between Austin-Bergstrom International Airport and Downtown Austin and the State Capitol. The property is identified as light industrial/commercial zoning; zoning, permitted uses, utilities, setbacks, parking requirements, overlays, development standards, and suitability should be independently verified with the City of Austin.
The property is located at 5225 E Cesar Chavez St in Austin, near the US-183 corridor and the Borden Milk Plant. Its position places the site approximately halfway between Austin-Bergstrom International Airport and Downtown Austin and the State Capitol. The property is identified as light industrial/commercial zoning; zoning, permitted uses, utilities, setbacks, parking requirements, overlays, development standards, and suitability should be independently verified with the City of Austin.
Key Highlights
- Approximately 6,500 SF of warehouse/shop space
- Approximately 1,500 SF of office area
- 1.16‑acre site at 5225 E Cesar Chavez St, Austin, TX 78702
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
$114,079
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
2.93%
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%
$2,281,580
$2.3M
Cap Rate 7%
$1,629,700
$1.6M
Cap Rate 9%
$1,267,544
$1.3M
Market Conditions
NOI Build-Up for 10,500 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
$156.2K $14.88/SF
− Vacancy
−$22.0K −$2.10/SF
EGI
$134.2K $12.78/SF
− OpEx
−$20.1K −$1.92/SF
NOI
$114.1K $10.86/SF
Area
Austin, TX
Vacancy
14.10%
Lease Rate
$14.88 /SF/Yr
Expense Ratio
15.00%
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%
$2,281,580
Cap Rate 7%
$1,629,700
Cap Rate 9%
$1,267,544
Alternative Uses
Best Use
Warehouse
$1.63M
$1.43M – $1.90M
NOI $114,079 @ 7.0% cap · market cap 2.93%
Second Best
Industrial
$1.34M
$1.17M – $1.57M
NOI $93,947 @ 7.0% cap · market cap 2.41%
Theoretical Best
Office A
$4.11M
$3.60M – $4.80M
NOI $288,022 @ 7.0% cap · market cap 7.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
597
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 78702, TX
25,910
Population
14,573
Households
1.8
Avg Household Size
34
Median Age
59%
College-Educated
91%
High-School Grad
5.0 sq mi
ZIP Area
5,182
Density / Sq Mi
$101,304
Median Household Income
$65,876
Median Earnings
$1,966
Median Rent
$644,200
Median Home Value
Market
Vacancy Rate% for Industrial in Austin, TX
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Flex space - Warehouse, shop, and office components occupy a 1.16-acre East Austin commercial site near the US-183 corridor.
Where is this flex space located?
The property is located at 5225 E Cesar Chavez St Austin, TX.
What is the asking price?
The asking price for this property is $3,900,000.
What are key features of this property?
This property features: Approximately 6,500 SF of warehouse/shop space; Approximately 1,500 SF of office area; 1.16‑acre site at 5225 E Cesar Chavez St, Austin, TX 78702
