High-Traffic Shopping Center
For Sale
Contact for pricing
550 FM 1959 RD, Houston, TX
Thriving shopping center off I-45 with multiple income streams.
Property Size9,110 SF
Lot Size0.84 Acres
Price / SF$214.04
Days on Market507
Property Features for 550 FM 1959 RD
General Information
Standard status
Active
Size
9,110 SF
Lot size
0.84 Acres
Property subtype
RETAIL
Lease Type
NNN
Properties For Sale
at 550 FM 1959 RD Contact us- Floor
- 1
- Size
- 1,035 SF
- Type
- RETAIL
- Lease Type
- NNN
- Availability
- AVAILABLE, Now
Great Retail Space
Great Spece ready for Business. It was used as a church Previously,
Can be used...
show more
Contact us
Listing Agency:
Ramos Realty Group
(713) 910-0636
Listed By:
Juan Ramos · License #TEXAS9016824
(713) 480-2440
Source:
Moodyscre
Added: Apr 17, 2025
Changed: Aug 16
Last Checked: Sep 4 at 6:24PM
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 Ramos Realty Group
Investment Insights
Based on property information with market context.
This shopping center, strategically positioned off I-45 and Galveston Rd, is surrounded by high-density apartment complexes and homes, offering constant drive-by visibility and heavy commuter traffic. The location is suitable for businesses that thrive on convenience and accessibility. The property features a gas station with four pumps and an on-site convenience store. A taco truck with a loyal following draws a lunch crowd and keeps the energy high from day to night. The property also includes an event center that hosts parties every weekend, providing ready-made foot traffic for every other tenant on-site. The property size is 9110 square feet. This income-producing asset is located in a prime location with built-in demand.
Key Highlights
- High‑traffic location off I‑45 and Galveston Rd, ensuring constant visibility and accessibility.
- Existing gas station with 4 pumps and convenience store provides steady income and customer draw.
- On‑site event center generates significant weekend foot traffic for all tenants.
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
$140,203
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
7.19%
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%
$2,804,060
$2.8M
Cap Rate 7%
$2,002,900
$2.0M
Cap Rate 9%
$1,557,811
$1.6M
Market Conditions
NOI Build-Up for 9,110 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
$196.8K $21.60/SF
− Vacancy
−$9.8K −$1.08/SF
EGI
$186.9K $20.52/SF
− OpEx
−$46.7K −$5.13/SF
NOI
$140.2K $15.39/SF
Area
Houston, TX
Vacancy
5.00%
Lease Rate
$21.60 /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%
$2,804,060
Cap Rate 7%
$2,002,900
Cap Rate 9%
$1,557,811
Alternative Uses
Best Use
Specialty Retail
$2.00M
$1.75M – $2.34M
NOI $140,203 @ 7.0% cap · market cap 7.19%
Second Best
Retail
$1.76M
$1.54M – $2.06M
NOI $123,528 @ 7.0% cap · market cap 6.34%
Theoretical Best
Office A
$2.34M
$2.05M – $2.73M
NOI $163,980 @ 7.0% cap · market cap 8.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
548
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Market
Vacancy Rate% for Retail in Houston, TX
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Ellington Park Plaza — 957 FM1959, Houston, TX 77034
Frequently Asked Questions
What type of property is this?
Shopping center - Thriving shopping center off I-45 with multiple income streams.
Where is this shopping center located?
The property is located at 550 FM 1959 RD Houston, TX.
What is the asking price?
The asking price for this property is $1,949,900.
What are key features of this property?
This property features: High‑traffic location off I‑45 and Galveston Rd, ensuring constant visibility and accessibility.; Existing gas station with **4 pumps and convenience store provides steady income and customer draw.**; On‑site event center generates significant weekend foot traffic for all tenants.
