Small-Bay Industrial Retail
For Sale
Contact for pricing
12430 HWY 3, Webster, TX 77598
Masonry small-bay industrial and retail property with many grade-level doors and multiple suites for flexible tenancy.
Property Size110,516 SF
Lot Size5.00 Acres
Price / SF$104.06
Days on Market68
Property Features for 12430 HWY 3
General Information
Standard status
Active
Size
110,516 SF
Class
C
Lot size
5.00 Acres
Property subtype
Industrial
Occupancy
40%
Lease Type
Gross
Additional Details
Drive-In Doors
87
Office Units
89
Building Details
Year Built
1980
Buildings
5
Stories
1
Units
89
Tenancy
Multi
Listing Agency:
Marcus & Millichap - Austin
(972) 755-5200
Listed By:
Tyler Ranft · License #TX 732964
Source:
Crexi
Added: Jun 3
Changed: Aug 8
Last Checked: Jun 6 at 4:12AM
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 Marcus & Millichap - Austin
Investment Insights
Based on property information with market context.
The property is a masonry small-bay industrial and retail asset totaling 110,516 square feet on five acres. It is configured with 89 suites, supported by 87 grade level doors for straightforward loading and tenant operations. A retail storefront is located in the front building, adding a distinct front-facing component to the overall mix.
The site provides practical outdoor space for everyday business needs, with ample parking and outdoor storage called out as part of the property’s overall design. This combination of warehousing access and on-site retail frontage supports a range of business uses within a single facility.
For tenants and investors, the suite-and-door configuration can accommodate a variety of industrial and retail requirements, particularly users that value grade-level access and the ability to operate from smaller spaces. The layout also supports flexible occupancy planning across the 89-suite structure, while the retail storefront offers an additional tenant type opportunity within the same property. The five-acre footprint supports both parking and outdoor staging, which can be advantageous for service-oriented businesses and distribution users seeking direct, functional site access.
The site provides practical outdoor space for everyday business needs, with ample parking and outdoor storage called out as part of the property’s overall design. This combination of warehousing access and on-site retail frontage supports a range of business uses within a single facility.
For tenants and investors, the suite-and-door configuration can accommodate a variety of industrial and retail requirements, particularly users that value grade-level access and the ability to operate from smaller spaces. The layout also supports flexible occupancy planning across the 89-suite structure, while the retail storefront offers an additional tenant type opportunity within the same property. The five-acre footprint supports both parking and outdoor staging, which can be advantageous for service-oriented businesses and distribution users seeking direct, functional site access.
Key Highlights
- 110,516 SF masonry small‑bay industrial and retail asset on 5 acres
- 89 suites with 87 grade‑level doors for loading and easy access
- Front building includes a retail storefront, adding flexibility for retail or mixed use 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
$947,644
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
8.24%
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%
$18,952,880
$19.0M
Cap Rate 7%
$13,537,771
$13.5M
Cap Rate 9%
$10,529,378
$10.5M
Market Conditions
NOI Build-Up for 110,516 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
$1.46M $13.20/SF
− Vacancy
−$105.0K −$0.95/SF
EGI
$1.35M $12.25/SF
− OpEx
−$406.1K −$3.67/SF
NOI
$947.6K $8.57/SF
Area
Harris County, TX
Vacancy
7.20%
Lease Rate
$13.20 /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%
$18,952,880
Cap Rate 7%
$13,537,771
Cap Rate 9%
$10,529,378
Alternative Uses
Best Use
Retail
$18.76M
$16.41M – $21.89M
NOI $1,313,129 @ 7.0% cap · market cap 11.42%
Second Best
Warehouse
$16.44M
$14.38M – $19.18M
NOI $1,150,710 @ 7.0% cap · market cap 10.01%
Theoretical Best
Office A
$30.18M
$26.40M – $35.21M
NOI $2,112,359 @ 7.0% cap · market cap 18.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
87
Drive-in doors
89
Office units
Location Intelligence
Trade Area within ½ mile
375
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 77598, TX
25,620
Population
13,337
Households
1.9
Avg Household Size
32
Median Age
30%
College-Educated
91%
High-School Grad
12.2 sq mi
ZIP Area
2,100
Density / Sq Mi
$59,758
Median Household Income
$45,190
Median Earnings
$1,279
Median Rent
$228,700
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Masonry small-bay industrial and retail property with many grade-level doors and multiple suites for flexible tenancy.
Where is this flex space located?
The property is located at 12430 HWY 3 Webster, TX.
What is the asking price?
The asking price for this property is $11,500,000.
What are key features of this property?
This property features: 110,516 SF masonry small‑bay industrial and retail asset on 5 acres; 89 suites with 87 grade‑level doors for loading and easy access; Front building includes a retail storefront, adding flexibility for retail or mixed use tenants
