Restaurant Building with
For Sale
$400,000
Pending
117 University Avenue, Lubbock, TX 79415
COMMERCIAL - Lubbock, TX
Property Size2,130 SF
Lot Size0.97 Acres
Days on Market320
Property Features for 117 University Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Rooms
Basement
Parking features
Parking Lot
Security features
Security System
Lot features
City Lot, Paved
Elementary school district
Lubbock ISD
Middle school district
Lubbock ISD
High school district
Lubbock ISD
Directions
GPS Will get you there
Subdivision
1
Standard status
Pending
APN
R25052
Size
2,130 SF
Lot size
0.97 Acres
Taxes and HOA fees
Tax Description
EDWARDS J L BLK 1 L 8 THRU 14
Legal Description
EDWARDS J L BLK 1 L 8 THRU 14
Utilities
Sewer type
Public Sewer
Heating system
Central
Cooling system
Central Air
Water source
Public
Building Details
Year built
1966
Floors in Building
2
Listing Agency:
Exit Realty of Lubbock
(806) 771-3900
Listed By:
Shelley Woodbridge · License #0696579
(806) 200-3205
Added: Oct 8, 2025
Changed: Aug 4
Last Checked: Aug 23 at 4:06PM
MLS# 202561578
Copyright © 2026 Lubbock 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 conventional restaurant property includes a 2,130-square-foot building on a 0.97-acre site. Constructed in 1966, the building has a basement, central heating, central air conditioning, and a dedicated parking lot. Public water and public sewer serve the property.
Located at 117 University Avenue in Lubbock, the site is near Texas Tech and Jones AT&T Stadium. The combination of an established restaurant building, on-site parking, and a nearly one-acre parcel provides a defined commercial footprint for restaurant use.
Located at 117 University Avenue in Lubbock, the site is near Texas Tech and Jones AT&T Stadium. The combination of an established restaurant building, on-site parking, and a nearly one-acre parcel provides a defined commercial footprint for restaurant use.
Key Highlights
- 2,130‑square‑foot restaurant building on a 0.97‑acre parcel
- Near Texas Tech and Jones AT&T Stadium
- Parking lot included on site
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
$24,068
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
6.02%
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%
$481,360
$481.4K
Cap Rate 7%
$343,829
$343.8K
Cap Rate 9%
$267,422
$267.4K
Market Conditions
NOI Build-Up for 2,130 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
$34.5K $16.20/SF
− Vacancy
−$2.4K −$1.13/SF
EGI
$32.1K $15.07/SF
− OpEx
−$8.0K −$3.77/SF
NOI
$24.1K $11.30/SF
Area
Lubbock, TX
Vacancy
7.00%
Lease Rate
$16.20 /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%
$481,360
Cap Rate 7%
$343,829
Cap Rate 9%
$267,422
Alternative Uses
Best Use
Specialty Retail
$343.8K
$300.9K – $401.1K
NOI $24,068 @ 7.0% cap · market cap 6.02%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$537.0K
$469.9K – $626.5K
NOI $37,589 @ 7.0% cap · market cap 9.40%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
445
Businesses Nearby
245k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 61%
Shops & Services 20%
Groceries 16%
Hotels & Casinos 3%
Chick-fil-A
Dining
50,980 visits/mo
0.3 miles
Amigos
Groceries
38,826 visits/mo
0.2 miles
McDonald's
Dining
31,146 visits/mo
0.1 miles
United Express Fuel
Shops & Services
19,514 visits/mo
0.1 miles
SONIC Drive In
Dining
19,363 visits/mo
0.0 miles
Demographics for 79415, TX
17,499
Population
7,225
Households
2.4
Avg Household Size
30
Median Age
26%
College-Educated
77%
High-School Grad
67.8 sq mi
ZIP Area
258
Density / Sq Mi
$37,101
Median Household Income
$25,506
Median Earnings
$956
Median Rent
$94,000
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Conventional restaurant - The property includes central heating, central air, and public water and sewer service.
Where is this conventional restaurant located?
The property is located at 117 University Avenue Lubbock, TX.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: 2,130‑square‑foot restaurant building on a 0.97‑acre parcel; Near Texas Tech and Jones AT&T Stadium; Parking lot included on site
