6-Unit Strip Mall with Rear
For Sale
$489,999
10877 Park Road 37, Lakehills, TX 78063
Multi-suite center with individual meters, shared restrooms, and additional parking behind the building.
Property Size2,150 SF
Price / SF$227.91
Days on Market41
Property Features for 10877 Park Road 37
General Information
Standard status
Active
Size
2,150 SF
Property subtype
Commercial
Occupancy
50%
Additional Details
Utilities to Site
Yes
Amenities
shared restrooms
Building Details
Year Built
1995
Tenancy
Multi
Listing Agency:
Fresco Properties, LLC
(210) 496-4949
Listed By:
Homecity Real Estate · License #610659
(210) 496-4949
Source:
Homecity
Added: Jul 21
Changed: Aug 29
Last Checked: Aug 26 at 12:40PM
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 Fresco Properties, LLC
Investment Insights
Based on property information with market context.
This strip mall in Lakehills, Texas, contains six rental units, with three currently occupied. The suites are leased on a month-to-month basis and each has a separate meter, supplemented by a house meter. Shared restrooms serve the center.
Parking is limited along Park Road 37, while additional parking is available behind the building. The rear area also includes seven dividers that appear to have supported landscape-material sales and could accommodate RV or boat parking rental spaces. Water is provided by a well, and wastewater service is handled through a septic system.
Parking is limited along Park Road 37, while additional parking is available behind the building. The rear area also includes seven dividers that appear to have supported landscape-material sales and could accommodate RV or boat parking rental spaces. Water is provided by a well, and wastewater service is handled through a septic system.
Key Highlights
- Six rental units with three currently occupied
- Month‑to‑month tenant leases
- Separate meter for each unit plus a house meter
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
$28,780
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
5.87%
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%
$575,600
$575.6K
Cap Rate 7%
$411,143
$411.1K
Cap Rate 9%
$319,778
$319.8K
Market Conditions
NOI Build-Up for 2,150 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
$42.8K $19.92/SF
− Vacancy
−$1.7K −$0.80/SF
EGI
$41.1K $19.12/SF
− OpEx
−$12.3K −$5.74/SF
NOI
$28.8K $13.39/SF
Area
Bandera County, TX
Vacancy
4.00%
Lease Rate
$19.92 /SF/Yr
Expense Ratio
30.00%
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%
$575,600
Cap Rate 7%
$411,143
Cap Rate 9%
$319,778
Alternative Uses
Best Use
Retail
$411.1K
$359.8K – $479.7K
NOI $28,780 @ 7.0% cap · market cap 5.87%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$548.4K
$479.9K – $639.8K
NOI $38,390 @ 7.0% cap · market cap 7.83%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
50%
Occupancy
Multi-tenant
Tenancy
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
51
Businesses Nearby
Explore this area
Business Placement
Demographics for 78063, TX
9,302
Population
4,947
Households
1.9
Avg Household Size
52
Median Age
28%
College-Educated
93%
High-School Grad
119.3 sq mi
ZIP Area
78
Density / Sq Mi
$79,066
Median Household Income
$38,340
Median Earnings
$964
Median Rent
$265,400
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Strip mall - Multi-suite center with individual meters, shared restrooms, and additional parking behind the building.
Where is this strip mall located?
The property is located at 10877 Park Road 37 Lakehills, TX.
What is the asking price?
The asking price for this property is $489,999.
What are key features of this property?
This property features: Six rental units with three currently occupied; Month‑to‑month tenant leases; Separate meter for each unit plus a house meter
