Building Details

Year Built 1995

Buildings 1

Building Size 10,320 SF

Listing Agency: United Country - Strategic Cli m***@gmail.com Show Phone

Listed By: Mike Jones · License #0339614

Source: Divinerealtygrp

Added: May 25, 2024 Changed: Aug 27 Last Checked: Aug 28 at 12:21PM

Report an Issue

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 United Country - Strategic Cli

Investment Insights

Based on property information with market context.

The property includes a 10,320-square-foot building with 12,000 square feet under roof on a 3-acre site. Constructed in 1995, the facility was previously operated as a day care center and offers a commercial building format that can accommodate other documented uses.

Permitted examples identified for the property include appliance, furniture and home furnishings retail; an art gallery; a library; automobile parts and sales; a beauty salon; a barbershop; a laundromat; and medical, dental, or professional clinic operations. The site is positioned along US Hwy 175 in Crandall, Texas.

Key Highlights

• 10,320‑square‑foot building on 3 acres
• 12,000 square feet under roof
• Former day care center use

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

$172,197

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

7.83%

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%

$3,443,940 $3.4M

Cap Rate 7%

$2,459,957 $2.5M

Cap Rate 9%

$1,913,300 $1.9M

Market Conditions

NOI Build-Up for 10,320 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

$257.6K $24.96/SF

− Vacancy

−$11.6K −$1.12/SF

EGI

$246.0K $23.84/SF

− OpEx

−$73.8K −$7.15/SF

NOI

$172.2K $16.69/SF

Area

Kaufman County, TX

Vacancy

4.50%

Lease Rate

$24.96 /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%

$3,443,940

Cap Rate 7%

$2,459,957

Cap Rate 9%

$1,913,300

Alternative Uses

Best Use

Retail

$2.46M

$2.15M – $2.87M (±1% cap)

NOI $172,197 @ 7.0% cap · market cap 7.83%

Second Best

—

—

no second resolved use

Theoretical Best

Multifamily LT 5

$129.88M

$113.65M – $151.53M (±1% cap)

NOI $9,091,729 @ 7.0% cap · market cap 413.26%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Current Use

Day care centers

Suggested Use

Top Pick Auto Repair Shop HVAC Service Auto Parts Store Home Appliance Store Gym & Fitness Center Discount Store

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

Yes

Highway access

Location Intelligence

Trade Area within ½ mile

10

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 75114, TX

6,347

Population

2,416

Households

2.6

Avg Household Size

34

Median Age

16%

College-Educated

84%

High-School Grad

43.0 sq mi

ZIP Area

148

Density / Sq Mi

$88,839

Median Household Income

$46,000

Median Earnings

$1,652

Median Rent

$275,100

Median Home Value

Market

Vacancy Rate% for Retail in South region

7% 2020

6.2% 2021

5.1% 2022

4.8% 2023

4.9% 2024

5.4% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this day care centers located? What is the asking price? Find similar properties ... What are key features of this property?

Ask Rey about this property ...

Similar For Sale Nearby

Office Building with Open Parking

11663 W Hwy 175, Crandall, TX 75114

$2,200,000

10,320 SF

View details

Office-Warehouse Flex Property

308 E Trunk Street, Crandall, TX 75114

Contact for pricing

View details

Frequently Asked Questions

What type of property is this?

Day care center - Commercial facility with a prior childcare use and adaptable space for several documented retail, service, and professional applications.

Where is this day care center located?

The property is located at 11663 W Hwy 175 Crandall, TX.

What is the asking price?

The asking price for this property is $2,200,000.

What are key features of this property?

This property features: 10,320‑square‑foot building on 3 acres; 12,000 square feet under roof; Former day care center use