Medical Office
For Sale
Contact for pricing
1406 West Randol Mill Road, Arlington, TX 76012
Leased healthcare facility with primary care, chiropractic, rehabilitation, and pain-management services.
Property Size3,500 SF
Price / SF$293.33
Days on Market111
Property Features for 1406 West Randol Mill Road
General Information
Standard status
Active
Size
3,500 SF
Property subtype
Office
Occupancy
100%
Lease Type
NNN
Investment Type
Sale/Leaseback
Net Operating Income
$77,000
Building Details
Year Built
1979
Tenancy
Single
Listing Agency:
Matthews
Listed By:
Andrew Fagundo · License #CA 02062491
Source:
Crexi
Added: May 15
Changed: Aug 30
Last Checked: Aug 31 at 7:11AM
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 Matthews
Investment Insights
Based on property information with market context.
This medical office property comprises approximately 3,500 square feet on a 0.41-acre parcel in Arlington, Texas. Constructed in 1979, the building accommodates a primary healthcare clinic providing primary care, chiropractic treatment, injury care, pain management, physiotherapy, and rehabilitation services. Dr. Farley Brown has operated from the location since 1986, and 1st Choice Healthcare is the current tenant.
At closing, the tenant will execute a new 10-year NNN lease with 3% annual rent increases. The offering conveys a 100% fee simple interest and is presented at a 7.50% cap rate. The property is positioned within the Dallas–Fort Worth metroplex and is located at 1406 West Randol Mill Road.
At closing, the tenant will execute a new 10-year NNN lease with 3% annual rent increases. The offering conveys a 100% fee simple interest and is presented at a 7.50% cap rate. The property is positioned within the Dallas–Fort Worth metroplex and is located at 1406 West Randol Mill Road.
Key Highlights
- Approximately 3,500‑square‑foot medical office building on a 0.41‑acre parcel
- New 10‑year NNN lease to be executed at closing
- 3% annual rent increases under the proposed lease
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
$54,180
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
5.28%
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%
$1,083,600
$1.1M
Cap Rate 7%
$774,000
$774.0K
Cap Rate 9%
$602,000
$602.0K
Market Conditions
NOI Build-Up for 3,500 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
$84.0K $24.00/SF
− Vacancy
−$11.8K −$3.36/SF
EGI
$72.2K $20.64/SF
− OpEx
−$18.1K −$5.16/SF
NOI
$54.2K $15.48/SF
Area
Arlington, TX
Vacancy
14.00%
Lease Rate
$24.00 /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%
$1,083,600
Cap Rate 7%
$774,000
Cap Rate 9%
$602,000
Alternative Uses
Best Use
Office B
$774.0K
$677.3K – $903.0K
NOI $54,180 @ 7.0% cap · market cap 5.28%
Second Best
Healthcare Medical
$648.0K
$567.0K – $756.0K
NOI $45,360 @ 7.0% cap · market cap 4.42%
Theoretical Best
Office A
$1.03M
$903.0K – $1.20M
NOI $72,240 @ 7.0% cap · market cap 7.04%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,287
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 76012, TX
27,080
Population
11,538
Households
2.3
Avg Household Size
40
Median Age
43%
College-Educated
90%
High-School Grad
8.2 sq mi
ZIP Area
3,302
Density / Sq Mi
$84,468
Median Household Income
$44,933
Median Earnings
$1,307
Median Rent
$292,200
Median Home Value
Market
Vacancy Rate% for Office in South region
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Frequently Asked Questions
What type of property is this?
Medical Office Space - Leased healthcare facility with primary care, chiropractic, rehabilitation, and pain-management services.
Where is this medical office space located?
The property is located at 1406 West Randol Mill Road Arlington, TX.
What is the asking price?
The asking price for this property is $1,026,667.
What are key features of this property?
This property features: Approximately 3,500‑square‑foot medical office building on a 0.41‑acre parcel; New 10‑year NNN lease to be executed at closing; 3% annual rent increases under the proposed lease
