Office Building with Dedicated
For Sale
$1,649,000
3400 Northland Drive, Austin, TX 78731
Office property with prominent visibility, direct access to two major thoroughfares, and 11 dedicated parking spaces.
Property Size2,788 SF
Price / SF$591.46
Days on Market1238
Property Features for 3400 Northland Drive
General Information
Standard status
Active
Size
2,788 SF
Total Parking Spaces
4
Property subtype
Commercial Sale / Mixed Use
Zoning
Neighborhood Office
Site & Location
Highway Access
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$14,800
Building Details
Year Built
1960
Buildings
2
Listing Agency:
Moreland Properties
Listed By:
Benjamin Savrick · License #0737081
(512) 673-2024
Source:
Compass
Added: Apr 20, 2023
Changed: Sep 8
Last Checked: Sep 8 at 7:52AM
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 Moreland Properties
Investment Insights
Based on property information with market context.
3400 Northland Drive is a 2,788-square-foot office property in Austin’s Highland Hills area. The space is positioned for daytime traffic exposure and provides prominent visibility with direct access to two major Austin thoroughfares.
The property is zoned Neighborhood Office and includes 11 dedicated parking spaces, supporting day-to-day customer and employee access. Based on the stated fit, it is well suited for creative office, professional services, or studio users seeking a highly accessible Central Austin location.
The offering is presented as a for-sale office property with a configuration intended to accommodate a range of professional and creative workspaces.
The property is zoned Neighborhood Office and includes 11 dedicated parking spaces, supporting day-to-day customer and employee access. Based on the stated fit, it is well suited for creative office, professional services, or studio users seeking a highly accessible Central Austin location.
The offering is presented as a for-sale office property with a configuration intended to accommodate a range of professional and creative workspaces.
Key Highlights
- 2,788 SF office property in Austin’s Highland Hills area
- Neighborhood Office zoning
- Direct access to two major Austin thoroughfares
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
$56,794
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
3.44%
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%
$1,135,880
$1.1M
Cap Rate 7%
$811,343
$811.3K
Cap Rate 9%
$631,044
$631.0K
Market Conditions
NOI Build-Up for 2,788 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
$100.0K $35.88/SF
− Vacancy
−$24.3K −$8.72/SF
EGI
$75.7K $27.16/SF
− OpEx
−$18.9K −$6.79/SF
NOI
$56.8K $20.37/SF
Area
Austin, TX
Vacancy
24.30%
Lease Rate
$35.88 /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%
$1,135,880
Cap Rate 7%
$811,343
Cap Rate 9%
$631,044
Alternative Uses
Best Use
Office B
$811.3K
$709.9K – $946.6K
NOI $56,794 @ 7.0% cap · market cap 3.44%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.09M
$956.0K – $1.27M
NOI $76,477 @ 7.0% cap · market cap 4.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
1,973
Businesses Nearby
Explore this area
Business Placement
Demographics for 78731, TX
27,240
Population
14,939
Households
1.8
Avg Household Size
40
Median Age
78%
College-Educated
99%
High-School Grad
8.7 sq mi
ZIP Area
3,131
Density / Sq Mi
$102,886
Median Household Income
$69,232
Median Earnings
$1,673
Median Rent
$839,500
Median Home Value
Market
Vacancy Rate% for Office in Austin, TX
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Office property with prominent visibility, direct access to two major thoroughfares, and 11 dedicated parking spaces.
Where is this office building located?
The property is located at 3400 Northland Drive Austin, TX.
What is the asking price?
The asking price for this property is $1,649,000.
What are key features of this property?
This property features: 2,788 SF office property in Austin’s Highland Hills area; Neighborhood Office zoning; Direct access to two major Austin thoroughfares
