Four-Unit Quadplex with Covered
For Sale
$510,000
108 E Armory Road, Mercedes, TX 78570
Fully leased property offers appliance packages, private patio slabs, and covered parking for each residence.
Property Size4,312 SF
Days on Market34
Property Features for 108 E Armory Road
General Information
Standard status
Active
Size
4,312 SF
Total Parking Spaces
8
Property subtype
Multi Family Home
Occupancy
100%
Units
Unit Mix
4 x 3BR/2BA
Multifamily Units
4
Parking per Unit
2
Taxes and HOA fees
Annual Taxes
$9,975
Amenities
private patio slabs
washer/dryer in unit
Building Details
Building Size
4,312 SF
Year Built
2025
Buildings
2
Stories
1
Units
4
Tenancy
Multi
Listing Agency:
Luxoria Realty LLC
(956) 683-5516
Listed By:
Yesenia Rios
(956) 683-5516
Source:
Buyingandsellingmcallen
Added: Jul 28
Changed: Aug 28
Last Checked: Aug 29 at 10:17AM
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 Luxoria Realty LLC
Investment Insights
Based on property information with market context.
This quadplex contains four 3-bedroom, 2-bath residences completed in 2025. Each home includes kitchen appliances, a washer and dryer, a private patio slab, and two covered carports. The residential layout provides consistent features across all four units, with finishes described as modern throughout.
The property is located at 108 E Armory Road in Mercedes, Texas. All four residences are currently leased, providing an occupied multifamily asset with established tenancy. The unit configuration and included appliances support a straightforward residential rental format, while the individual patio areas and dedicated covered parking add practical features for occupants.
The property is located at 108 E Armory Road in Mercedes, Texas. All four residences are currently leased, providing an occupied multifamily asset with established tenancy. The unit configuration and included appliances support a straightforward residential rental format, while the individual patio areas and dedicated covered parking add practical features for occupants.
Key Highlights
- Four 3‑bedroom, 2‑bath units
- Built in 2025
- All four units are fully leased
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
$37,708
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
7.39%
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%
$754,160
$754.2K
Cap Rate 7%
$538,686
$538.7K
Cap Rate 9%
$418,978
$419.0K
Market Conditions
NOI Build-Up for 4,312 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
$60.5K $14.04/SF
− Vacancy
−$6.7K −$1.55/SF
EGI
$53.9K $12.49/SF
− OpEx
−$16.2K −$3.75/SF
NOI
$37.7K $8.74/SF
Area
Hidalgo County, TX
Vacancy
11.02%
Lease Rate
$14.04 /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%
$754,160
Cap Rate 7%
$538,686
Cap Rate 9%
$418,978
Alternative Uses
Best Use
Multifamily LT 5
$538.7K
$471.4K – $628.5K
NOI $37,708 @ 7.0% cap · market cap 7.39%
Second Best
Apartment 5plus
$496.0K
$434.0K – $578.6K
NOI $34,718 @ 7.0% cap · market cap 6.81%
Theoretical Best
Hotel Hospitality
$3.25M
$2.84M – $3.79M
NOI $227,350 @ 7.0% cap · market cap 44.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
100%
Occupancy
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
159
Businesses Nearby
Explore this area
Business Placement
Demographics for 78570, TX
32,950
Population
10,701
Households
3.1
Avg Household Size
30
Median Age
12%
College-Educated
61%
High-School Grad
75.2 sq mi
ZIP Area
438
Density / Sq Mi
$39,890
Median Household Income
$22,648
Median Earnings
$686
Median Rent
$83,400
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Quadplex - Fully leased property offers appliance packages, private patio slabs, and covered parking for each residence.
Where is this quadplex located?
The property is located at 108 E Armory Road Mercedes, TX.
What is the asking price?
The asking price for this property is $510,000.
What are key features of this property?
This property features: Four 3‑bedroom, 2‑bath units; Built in 2025; All four units are fully leased
