Retail
For Sale
Contact for pricing
12895 Gulf Freeway, Houston, TX 77034
Retail space located on Gulf Freeway in Houston.
Property Size8,500 SF
Price / SF$282.35
Days on Market118
Property Features for 12895 Gulf Freeway
General Information
Standard status
Active
Size
8,500 SF
Total Parking Spaces
250
Property subtype
Retail
Listing Agency:
JLL
Listed By:
Mark Raines · License #581332
(713) 888-4037
Source:
Crexi
Added: May 9
Changed: Aug 31
Last Checked: Aug 31 at 12:00AM
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 JLL
Investment Insights
Based on property information with market context.
This retail property encompasses 8,500 square feet and is located at 12895 Gulf Freeway in Houston, Texas 77034. The asset is identified as retail space and is offered for sale.
Key Highlights
- 8,500 square feet of retail space
- Located at 12895 Gulf Freeway, Houston, TX 77034
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
$115,257
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
4.80%
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%
$2,305,140
$2.3M
Cap Rate 7%
$1,646,529
$1.6M
Cap Rate 9%
$1,280,633
$1.3M
Market Conditions
NOI Build-Up for 8,500 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
$174.4K $20.52/SF
− Vacancy
−$9.8K −$1.15/SF
EGI
$164.7K $19.37/SF
− OpEx
−$49.4K −$5.81/SF
NOI
$115.3K $13.56/SF
Area
Houston, TX
Vacancy
5.60%
Lease Rate
$20.52 /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%
$2,305,140
Cap Rate 7%
$1,646,529
Cap Rate 9%
$1,280,633
Alternative Uses
Best Use
Retail
$1.65M
$1.44M – $1.92M
NOI $115,257 @ 7.0% cap · market cap 4.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.19M
$1.91M – $2.55M
NOI $153,000 @ 7.0% cap · market cap 6.38%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,060
Businesses Nearby
5k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 91%
Home Improvements & Furnishings 9%
Valero Energy
Shops & Services
4,798 visits/mo
0.3 miles
Daltile Sales Service Center
Home Improvements & Furnishings
474 visits/mo
0.5 miles
Demographics for 77034, TX
38,186
Population
14,188
Households
2.7
Avg Household Size
31
Median Age
13%
College-Educated
70%
High-School Grad
14.2 sq mi
ZIP Area
2,689
Density / Sq Mi
$59,516
Median Household Income
$35,127
Median Earnings
$1,178
Median Rent
$178,100
Median Home Value
Market
Vacancy Rate% for Retail in Houston, TX
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Retail space located on Gulf Freeway in Houston.
Where is this retail space located?
The property is located at 12895 Gulf Freeway Houston, TX.
What is the asking price?
The asking price for this property is $2,400,000.
What are key features of this property?
This property features: 8,500 square feet of retail space; Located at 12895 Gulf Freeway, Houston, TX 77034
