Multi-Tenant Medical Retail
For Sale
$3,800,000
3777 Frontage Rd, Brownsville, TX 78520
Las Palmas Plaza is a 2017 multi-tenant center anchored by healthcare-oriented tenants on NNN lease structures.
Property Size10,563 SF
Lot Size1.08 Acres
Price / SF$359.75
Days on Market102
Property Features for 3777 Frontage Rd
General Information
Standard status
Active
Size
10,563 SF
Lot size
1.08 Acres
Property subtype
Shopping Strip
Occupancy
100%
Site & Location
Traffic Count
115,000 vehicles/day
Highway Access
Yes
Additional Details
Cap Rate
7.23%
Amenities
10,563-Square-Foot, Multi-Tenant Retail Center | Newer (2017) Construction
Fully Stabilized Asset | 100% Occupied | All Leases are Triple-Net
Durable, Medical-Weighted Tenant Mix | 71% Medical Tenancy
Prime Location in a Major Retail Trade Area Along North Expressway 83 | Extremely High Traffic Counts Exceeding 115,000 Vehicles Per Day
Building Details
Building Size
10,563 SF
Year Built
2017
Tenancy
Multi
Listing Agency:
Marcus & Millichap - Dallas
(972) 755-5225
Listed By:
Philip Levy · License #License(s): TX: 0522087-SA
(972) 755-5225
Source:
Marcusmillichap
Added: May 14
Changed: Aug 8
Last Checked: Aug 22 at 3:40AM
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 - Dallas
Investment Insights
Based on property information with market context.
Las Palmas Plaza is a newer (2017) multi-tenant retail center built on a 1.075-acre parcel with concrete parking. The property is 100% occupied and leased on triple-net (NNN) structures across all tenants. Approximately 71% of the GLA is occupied by medical users, with remaining space supporting complementary service and necessity-based uses.
Tenanting includes Northland Hearing Centers, Airrosti Rehab Center, Baaxten Imaging Center, and Raymond James. The center is positioned along North Expressway 83, one of Brownsville’s primary retail corridors.
Adjacent and nearby pad sites include Olive Garden, Verizon, Black Bear Diner, LongHorn Steakhouse, and Homewood Suites by Hilton. The Property is directly across from Sunrise Mall and surrounded by a dense concentration of national retailers, including Target, TJ Maxx, Burlington, and Best Buy.
Tenanting includes Northland Hearing Centers, Airrosti Rehab Center, Baaxten Imaging Center, and Raymond James. The center is positioned along North Expressway 83, one of Brownsville’s primary retail corridors.
Adjacent and nearby pad sites include Olive Garden, Verizon, Black Bear Diner, LongHorn Steakhouse, and Homewood Suites by Hilton. The Property is directly across from Sunrise Mall and surrounded by a dense concentration of national retailers, including Target, TJ Maxx, Burlington, and Best Buy.
Key Highlights
- 2017 multi‑tenant retail center, 100% occupied with healthcare‑oriented tenant mix
- Approximately 71% of GLA leased to medical users, including Northland Hearing Centers, Airrosti, Baaxten Imaging, and Raymond James
- NNN lease structures across all tenants with passive, expense‑reimbursed cash flow and limited landlord responsibilities
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
$127,314
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
3.35%
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%
$2,546,280
$2.5M
Cap Rate 7%
$1,818,771
$1.8M
Cap Rate 9%
$1,414,600
$1.4M
Market Conditions
NOI Build-Up for 10,563 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
$228.2K $21.60/SF
− Vacancy
−$16.0K −$1.51/SF
EGI
$212.2K $20.09/SF
− OpEx
−$84.9K −$8.04/SF
NOI
$127.3K $12.05/SF
Area
Brownsville, TX
Vacancy
7.00%
Lease Rate
$21.60 /SF/Yr
Expense Ratio
40.00%
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%
$2,546,280
Cap Rate 7%
$1,818,771
Cap Rate 9%
$1,414,600
Alternative Uses
Best Use
Healthcare Medical
$1.82M
$1.59M – $2.12M
NOI $127,314 @ 7.0% cap · market cap 3.35%
Second Best
Retail
$1.44M
$1.26M – $1.68M
NOI $100,512 @ 7.0% cap · market cap 2.65%
Theoretical Best
—
—
same as Best Use
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
115,000 VPD
Traffic count
100%
Occupancy
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,040
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 78520, TX
64,949
Population
22,543
Households
2.9
Avg Household Size
34
Median Age
23%
College-Educated
69%
High-School Grad
39.7 sq mi
ZIP Area
1,636
Density / Sq Mi
$47,331
Median Household Income
$27,529
Median Earnings
$842
Median Rent
$129,200
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Jcpenny hair salon — Brownsville, TX 78520
- Michael Chapala — 1443 E Jefferson St, Brownsville, TX 78520
- Tiendas — 1500 w university blvd, brownsville, tx 78520
- Sip And Shop Global LLC — 533 e 12th st, brownsville, tx 78520
- Central dollar — Brownsville, TX 78520
Frequently Asked Questions
What type of property is this?
Shopping center - Las Palmas Plaza is a 2017 multi-tenant center anchored by healthcare-oriented tenants on NNN lease structures.
Where is this shopping center located?
The property is located at 3777 Frontage Rd Brownsville, TX.
What is the asking price?
The asking price for this property is $3,800,000.
What are key features of this property?
This property features: 2017 multi‑tenant retail center, 100% occupied with healthcare‑oriented tenant mix; Approximately 71% of GLA leased to medical users, including Northland Hearing Centers, Airrosti, Baaxten Imaging, and Raymond James; NNN lease structures across all tenants with passive, expense‑reimbursed cash flow and limited landlord responsibilities
