Single-Tenant Office Leasehold at
For Sale
Contact for pricing
13 FOUNDERS BLVD, El Paso, TX 79906
Leasehold is occupied by the Texas Department of Criminal Justice under a ground lease at the airport.
Property Size14,812 SF
Price / SF$318
Days on Market35
Property Features for 13 FOUNDERS BLVD
General Information
Standard status
Active
Size
14,812 SF
Property subtype
Office
Occupancy
100%
Investment Type
Net Lease
Net Operating Income
$389,782
Building Details
Year Built
1985
Year Renovated
2026
Buildings
1
Units
1
Tenancy
Single
Owner Occupied
No
Listing Agency:
Northmarq - Houston
(832) 368-0374
Listed By:
Brian Corriston · License #TX 516241
Source:
Crexi
Added: Jul 23
Changed: Aug 11
Last Checked: Aug 25 at 10:44PM
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 Northmarq - Houston
Investment Insights
Based on property information with market context.
The leasehold interest is offered in a single-tenant State of Texas office facility operated as the Department of Criminal Justice (TDCJ). The TDCJ has been at the location since 2015 and has executed a 10-year extension, including a 45% expansion into the remaining building vacancy. The lease provides annual increases equivalent to 25% of the CPI Annual Increase.
The property is located at the El Paso International Airport and therefore sits on a ground lease. The ground lease has 31 years of initial term remaining plus two options of 5 years each. The ground lease rent is a nominal amount equal to less than 5% of the monthly rent paid by the TDCJ.
Built in 1985, the property comprises an office facility purpose-built for the state’s ongoing use.
The property is located at the El Paso International Airport and therefore sits on a ground lease. The ground lease has 31 years of initial term remaining plus two options of 5 years each. The ground lease rent is a nominal amount equal to less than 5% of the monthly rent paid by the TDCJ.
Built in 1985, the property comprises an office facility purpose-built for the state’s ongoing use.
Key Highlights
- Leased to the Texas Department of Criminal Justice (TDCJ) since 2015
- 10‑year extension plus 45% expansion into remaining building vacancy
- Annual increases equivalent to 25% of the CPI Annual Increase
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
$187,496
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
3.97%
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%
$3,749,920
$3.7M
Cap Rate 7%
$2,678,514
$2.7M
Cap Rate 9%
$2,083,289
$2.1M
Market Conditions
NOI Build-Up for 14,812 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
$307.5K $20.76/SF
− Vacancy
−$57.5K −$3.88/SF
EGI
$250.0K $16.88/SF
− OpEx
−$62.5K −$4.22/SF
NOI
$187.5K $12.66/SF
Area
El Paso, TX
Vacancy
18.70%
Lease Rate
$20.76 /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%
$3,749,920
Cap Rate 7%
$2,678,514
Cap Rate 9%
$2,083,289
Alternative Uses
Best Use
Office B
$2.68M
$2.34M – $3.12M
NOI $187,496 @ 7.0% cap · market cap 3.97%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.72M
$3.25M – $4.34M
NOI $260,119 @ 7.0% cap · market cap 5.51%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
299
Businesses Nearby
Explore this area
Business Placement
Demographics for 79906, TX
5,336
Population
1,688
Households
3.2
Avg Household Size
22
Median Age
32%
College-Educated
96%
High-School Grad
4.5 sq mi
ZIP Area
1,186
Density / Sq Mi
$51,907
Median Household Income
$36,567
Median Earnings
$1,510
Median Rent
Market
Vacancy Rate% for Office in El Paso, TX
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Leasehold is occupied by the Texas Department of Criminal Justice under a ground lease at the airport.
Where is this office building located?
The property is located at 13 FOUNDERS BLVD El Paso, TX.
What is the asking price?
The asking price for this property is $4,725,000.
What are key features of this property?
This property features: Leased to the Texas Department of Criminal Justice (TDCJ) since 2015; 10‑year extension plus 45% expansion into remaining building vacancy; Annual increases equivalent to 25% of the CPI Annual Increase
