Retail Space with
For Sale
$595,000
1348 N Tower Road, Alamo, TX 78516
Commercial Sale, Alamo, TX
Property Size3,000 SF
Lot Size0.50 Acres
Price / SF$198.33
Days on Market83
Property Features for 1348 N Tower Road
General Information
Property type
Commercial Sale
Property subtype
Other
Security features
Security System
Exterior features
BBQ Pit/Grill, Mature Trees, Motorized Gate, Sprinkler System
Fencing
Gate
Appliances
Electric Water Heater
Subdivision
Eldora Acres
Lot features
Strip Mall
Directions
Corner of Kansas Road and (495) and Tower Road. Head North on Tower Road. Continue North passing Sioux County Road. Property will be on your right-hand side on the corner of Eldora Road and Tower Road. (East Side).
Standard status
Active
APN
E503000000001100
Size
3,000 SF
Lot size
0.50 Acres
Taxes and HOA fees
Tax Year
2026
Tax Annual Amount
7119
Utilities
Heating system
Central, Electric (Heating)
Cooling system
Central Air, Wall Unit(s), Electric
Amenities
private office
salon prep space
Building Details
Year built
2006
Floors in Building
1
Building materials
Stone, Stucco
Listing Agency:
BIG Realty
(956) 465-0011
Listed By:
Joshua I. Benavides
(956) 223-9200
Added: Jun 28
Changed: Sep 13
Last Checked: Sep 18 at 1:06PM
MLS# 492084
Copyright © 2026 Greater McAllen 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 3,000-square-foot retail property occupies 0.5 acres and was built in 2006. The building includes a working drive-through, a private office, and a separate area prepared for salon use. Two overhead doors support storage, service, or other operational needs. Construction includes stone and stucco, with central heating and cooling, electric systems, and wall-unit cooling. Exterior improvements include mature trees, a sprinkler system, fencing, and a motorized gate.
The property is located at 1348 N Tower Road in Alamo, at the intersection of Tower Road and Eldora Road. Concrete parking is provided in both the front and rear of the building. Additional site features include a BBQ pit or grill and an electric water heater.
The property is located at 1348 N Tower Road in Alamo, at the intersection of Tower Road and Eldora Road. Concrete parking is provided in both the front and rear of the building. Additional site features include a BBQ pit or grill and an electric water heater.
Key Highlights
- 3,000 SF retail building on 0.5 acres
- Working drive‑through included
- Private office and salon‑ready area
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
$40,506
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
6.81%
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%
$810,120
$810.1K
Cap Rate 7%
$578,657
$578.7K
Cap Rate 9%
$450,067
$450.1K
Market Conditions
NOI Build-Up for 3,000 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
$61.6K $20.52/SF
− Vacancy
−$3.7K −$1.23/SF
EGI
$57.9K $19.29/SF
− OpEx
−$17.4K −$5.79/SF
NOI
$40.5K $13.50/SF
Area
Hidalgo County, TX
Vacancy
6.00%
Lease Rate
$20.52 /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%
$810,120
Cap Rate 7%
$578,657
Cap Rate 9%
$450,067
Alternative Uses
Best Use
Retail
$578.7K
$506.3K – $675.1K
NOI $40,506 @ 7.0% cap · market cap 6.81%
Second Best
—
—
no second resolved use
Theoretical Best
Hotel Hospitality
$2.26M
$1.98M – $2.64M
NOI $158,175 @ 7.0% cap · market cap 26.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
74
Businesses Nearby
Explore this area
Business Placement
Demographics for 78516, TX
34,506
Population
12,469
Households
2.8
Avg Household Size
32
Median Age
12%
College-Educated
59%
High-School Grad
37.8 sq mi
ZIP Area
913
Density / Sq Mi
$51,547
Median Household Income
$26,908
Median Earnings
$743
Median Rent
$102,900
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Corner-positioned commercial building with a private office, salon-ready area, overhead doors, and concrete parking.
Where is this retail space located?
The property is located at 1348 N Tower Road Alamo, TX.
What is the asking price?
The asking price for this property is $595,000.
What are key features of this property?
This property features: 3,000 SF retail building on 0.5 acres; Working drive‑through included; Private office and salon‑ready area
