Strip Mall With Expansion
For Sale
$1,100,000
1312 Expressway 83, Penitas, TX 78576
Existing improvements support medical, pharmacy, retail, and office-related uses, with additional land available for future development.
Property Size6,820 SF
Lot Size1.76 Acres
Price / SF$161.29
Days on Market125
Property Features for 1312 Expressway 83
General Information
Standard status
Active
Size
6,820 SF
Lot size
1.76 Acres
Site & Location
Highway Access
Yes
Road Access
Yes
Taxes and HOA fees
Annual Taxes
$22,981
Building Details
Buildings
1
Listing Agency:
Limas Realty, LLC
(956) 581-2400
Listed By:
Jose (J.D) D. Villarreal
(956) 581-2400
Source:
Exprealty
Added: Apr 7
Changed: Aug 7
Last Checked: Aug 8 at 8:01AM
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 Limas Realty, LLC
Investment Insights
Based on property information with market context.
The property includes an approximately 6,820-square-foot commercial strip building together with a 1.76-acre building and parking area. Recent occupancy history includes a medical clinic, pharmacy and retail operation, and office/insurance space, providing a varied commercial layout for continued repositioning or reuse.
Access is available from eastbound Expressway 83 and Buenavista Street in Penitas, placing the site within the Mission, Penitas, and LaJoya area. Vacant land remains on the property, supporting potential expansion or subdivision for additional retail space, subject to applicable approvals.
Access is available from eastbound Expressway 83 and Buenavista Street in Penitas, placing the site within the Mission, Penitas, and LaJoya area. Vacant land remains on the property, supporting potential expansion or subdivision for additional retail space, subject to applicable approvals.
Key Highlights
- Approximately 6,820 square feet of commercial strip building
- 1.76 acres including the building and parking lot
- Recent uses included a medical clinic, pharmacy/retail, and office/insurance
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
$100,911
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
9.17%
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%
$2,018,220
$2.0M
Cap Rate 7%
$1,441,586
$1.4M
Cap Rate 9%
$1,121,233
$1.1M
Market Conditions
NOI Build-Up for 6,820 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
$202.1K $29.64/SF
− Vacancy
−$34.0K −$4.98/SF
EGI
$168.2K $24.66/SF
− OpEx
−$67.3K −$9.86/SF
NOI
$100.9K $14.80/SF
Area
Hidalgo County, TX
Vacancy
16.80%
Lease Rate
$29.64 /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%
$2,018,220
Cap Rate 7%
$1,441,586
Cap Rate 9%
$1,121,233
Alternative Uses
Best Use
Office B
$1.63M
$1.43M – $1.90M
NOI $114,078 @ 7.0% cap · market cap 10.37%
Second Best
Healthcare Medical
$1.44M
$1.26M – $1.68M
NOI $100,911 @ 7.0% cap · market cap 9.17%
Theoretical Best
Hotel Hospitality
$5.14M
$4.49M – $5.99M
NOI $359,585 @ 7.0% cap · market cap 32.69%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
323
Businesses Nearby
Explore this area
Business Placement
Demographics for 78576, TX
13,901
Population
3,362
Households
4.1
Avg Household Size
25
Median Age
6%
College-Educated
53%
High-School Grad
58.2 sq mi
ZIP Area
239
Density / Sq Mi
$48,205
Median Household Income
$21,962
Median Earnings
$629
Median Rent
$116,600
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Strip mall - Existing improvements support medical, pharmacy, retail, and office-related uses, with additional land available for future development.
Where is this strip mall located?
The property is located at 1312 Expressway 83 Penitas, TX.
What is the asking price?
The asking price for this property is $1,100,000.
What are key features of this property?
This property features: Approximately 6,820 square feet of commercial strip building; 1.76 acres including the building and parking lot; Recent uses included a medical clinic, pharmacy/retail, and office/insurance
