Two-Tenant Office Investment
For Sale
Contact for pricing
13740 Research, Austin, TX 78750
Two-tenant office building with long-term leases in a prime location.
Property Size3,125 SF
Price / SF$230.40
Days on Market502
Property Features for 13740 Research
General Information
Standard status
Active
Size
3,125 SF
Class
C
Property subtype
Office
Occupancy
100%
Lease Type
Modified Gross
Investment Type
Sale/Leaseback
Building Details
Year Renovated
2019
Buildings
1
Stories
1
Units
4
Tenancy
Multi
Listing Agency:
Peridot Realty Group
(512) 791-7419
Listed By:
Sally Decelis · License #0596816
Source:
Crexi
Added: Apr 17, 2025
Changed: Aug 8
Last Checked: Aug 29 at 7:41AM
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 Peridot Realty Group
Investment Insights
Based on property information with market context.
This one-story professional office building offers approximately 3,200 square feet of space and is fully leased to two established tenants under long-term modified gross leases. The tenants are responsible for interior maintenance and utilities. The property is located in a thriving commercial corridor, offering investors stable income with minimal management responsibilities. The Home Owners Association (HOA) handles all exterior maintenance, landscaping, and building insurance, contributing to low-maintenance ownership. The property features excellent curb appeal with professional landscaping and ample surface parking. It is strategically located with strong demographics and traffic counts, surrounded by retail, medical, and professional services. The property is suitable for 1031 exchange buyers, portfolio expansion, or those seeking stable passive income. The property is a turnkey, income-producing asset in a highly desirable market.
Key Highlights
- Fully leased to two long‑term professional tenants, providing stable income.
- Low‑maintenance ownership - HOA handles exterior maintenance, landscaping, and building insurance.
- Located in a thriving commercial corridor with strong demographics and traffic counts.
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
$63,659
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
8.84%
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%
$1,273,180
$1.3M
Cap Rate 7%
$909,414
$909.4K
Cap Rate 9%
$707,322
$707.3K
Market Conditions
NOI Build-Up for 3,125 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
$112.1K $35.88/SF
− Vacancy
−$27.2K −$8.72/SF
EGI
$84.9K $27.16/SF
− OpEx
−$21.2K −$6.79/SF
NOI
$63.7K $20.37/SF
Area
Austin, TX
Vacancy
24.30%
Lease Rate
$35.88 /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%
$1,273,180
Cap Rate 7%
$909,414
Cap Rate 9%
$707,322
Alternative Uses
Best Use
Office B
$909.4K
$795.7K – $1.06M
NOI $63,659 @ 7.0% cap · market cap 8.84%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.22M
$1.07M – $1.43M
NOI $85,721 @ 7.0% cap · market cap 11.91%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,298
Businesses Nearby
Explore this area
Business Placement
Demographics for 78750, TX
28,348
Population
12,186
Households
2.3
Avg Household Size
40
Median Age
63%
College-Educated
96%
High-School Grad
11.8 sq mi
ZIP Area
2,402
Density / Sq Mi
$123,722
Median Household Income
$62,096
Median Earnings
$1,743
Median Rent
$552,800
Median Home Value
Market
Vacancy Rate% for Office in Austin, TX
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Two-tenant office building with long-term leases in a prime location.
Where is this office building located?
The property is located at 13740 Research Austin, TX.
What is the asking price?
The asking price for this property is $720,000.
What are key features of this property?
This property features: Fully leased to two long‑term professional tenants, providing stable income.; Low‑maintenance ownership - HOA handles exterior maintenance, landscaping, and building insurance.; Located in a thriving commercial corridor with strong demographics and traffic counts.
