Drive-Through Restaurant
For Sale
$395,000
1298 N BAILEY STREET, Electra, TX 76360
COMMERCIAL - Electra, TX
Property Size1,417 SF
Price / SF$278.76
Days on Market55
Property Features for 1298 N BAILEY STREET
General Information
Property type
Commercial Sale
Property subtype
Other
Parking features
Parking Lot
Subdivision
32 Electra
Standard status
Active
Size
1,417 SF
Listing Agency:
DOMAIN REAL ESTATE SERVICES INC
(940) 767-5060
Listed By:
TYLER METHVIN · License #0713824
(940) 357-0291
Added: Jun 15
Changed: Aug 4
Last Checked: Aug 8 at 10:06PM
MLS# 183770
Copyright © 2026 Wichita Falls Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 1,417-square-foot commercial property in Electra, Texas, is configured as a former Sonic Drive-In location with existing drive-thru infrastructure and a parking lot. The improvements support the site's established restaurant format while providing a basis for other commercial uses identified in the listing, including retail and service operations.
Located at 1298 N Bailey Street, the property offers access on and off Hwy 287. Its position along the highway provides frontage and exposure on a major travel route through the area.
Located at 1298 N Bailey Street, the property offers access on and off Hwy 287. Its position along the highway provides frontage and exposure on a major travel route through the area.
Key Highlights
- 1,417 SF commercial property
- Former Sonic Drive‑In location
- Existing drive‑thru infrastructure
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
$24,935
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
6.31%
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%
$498,700
$498.7K
Cap Rate 7%
$356,214
$356.2K
Cap Rate 9%
$277,056
$277.1K
Market Conditions
NOI Build-Up for 1,417 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
$35.4K $24.96/SF
− Vacancy
−$2.1K −$1.50/SF
EGI
$33.2K $23.46/SF
− OpEx
−$8.3K −$5.87/SF
NOI
$24.9K $17.60/SF
Area
Wichita County, TX
Vacancy
6.00%
Lease Rate
$24.96 /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%
$498,700
Cap Rate 7%
$356,214
Cap Rate 9%
$277,056
Alternative Uses
Best Use
Specialty Retail
$356.2K
$311.7K – $415.6K
NOI $24,935 @ 7.0% cap · market cap 6.31%
Second Best
Retail
$274.2K
$239.9K – $319.9K
NOI $19,194 @ 7.0% cap · market cap 4.86%
Theoretical Best
Office A
$389.1K
$340.5K – $454.0K
NOI $27,240 @ 7.0% cap · market cap 6.90%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
36
Businesses Nearby
8k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 63%
Shops & Services 37%
SONIC Drive In
Dining
5,062 visits/mo
0.0 miles
Dollar Tree
Shops & Services
2,959 visits/mo
0.1 miles
Demographics for 76360, TX
2,886
Population
1,507
Households
1.9
Avg Household Size
46
Median Age
18%
College-Educated
85%
High-School Grad
380.5 sq mi
ZIP Area
8
Density / Sq Mi
$66,050
Median Household Income
$36,589
Median Earnings
$761
Median Rent
$64,100
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Drive through restaurant - Existing drive-thru infrastructure and a dedicated parking lot serve the restaurant-oriented site.
Where is this drive through restaurant located?
The property is located at 1298 N BAILEY STREET Electra, TX.
What is the asking price?
The asking price for this property is $395,000.
What are key features of this property?
This property features: 1,417 SF commercial property; Former Sonic Drive‑In location; Existing drive‑thru infrastructure
