Versatile Office and Warehouse
For Sale
Contact for pricing
1502 S Lipscomb St, Amarillo, TX 79102
Office and warehouse space near downtown with I-40 access.
Property Size3,916 SF
Price / SF$70.22
Days on Market111
Property Features for 1502 S Lipscomb St
General Information
Standard status
Active
Size
3,916 SF
Class
A
Property subtype
Office
Zoning
GR
Investment Type
Owner/User
Building Details
Year Built
1941
Units
5
Listing Agency:
Gaut Whittenburg Emerson CRE
(806) 433-5407
Listed By:
Meagan Brown · License #800118
Source:
Crexi
Added: May 14
Changed: Aug 31
Last Checked: Aug 29 at 10:45PM
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 Gaut Whittenburg Emerson CRE
Investment Insights
Based on property information with market context.
This free-standing property offers a combination of office and warehouse space with convenient access just off I-40. Centrally located near downtown and major supply vendors, the property is suited for roofing, plumbing, wholesale, retail sales, or multiple business operations with office space in front and warehouse/storage in back. The updated office area features a reception area, private offices, a conference room, a kitchen/break area, ample storage, and two restrooms. Recent improvements include an updated roof, HVAC systems, LED puck lighting, and gutters. The warehouse features pull-through access with two 8-foot overhead doors, three-phase electrical service, compressed air lines installed in the shop, and a fenced side yard. The property is strategically positioned near I-40 and downtown in between Georgia & Washington St. The property size is 3916 square feet.
Key Highlights
- Convenient access to I‑40 and central location.
- Versatile space suitable for office, warehouse, retail, or multiple business operations.
- Updated office area with reception, private offices, conference room, kitchen, and restrooms.
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
$23,561
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
8.57%
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%
$471,220
$471.2K
Cap Rate 7%
$336,586
$336.6K
Cap Rate 9%
$261,789
$261.8K
Market Conditions
NOI Build-Up for 3,916 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
$35.2K $9.00/SF
− Vacancy
−$1.6K −$0.41/SF
EGI
$33.7K $8.59/SF
− OpEx
−$10.1K −$2.58/SF
NOI
$23.6K $6.02/SF
Area
Amarillo, TX
Vacancy
4.50%
Lease Rate
$9.00 /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%
$471,220
Cap Rate 7%
$336,586
Cap Rate 9%
$261,789
Alternative Uses
Best Use
Flex RnD
$401.4K
$351.3K – $468.4K
NOI $28,101 @ 7.0% cap · market cap 10.22%
Second Best
Industrial
$336.6K
$294.5K – $392.7K
NOI $23,561 @ 7.0% cap · market cap 8.57%
Theoretical Best
Office A
$874.3K
$765.0K – $1.02M
NOI $61,202 @ 7.0% cap · market cap 22.26%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
929
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 79102, TX
9,252
Population
4,695
Households
2
Avg Household Size
35
Median Age
20%
College-Educated
78%
High-School Grad
2.7 sq mi
ZIP Area
3,427
Density / Sq Mi
$48,551
Median Household Income
$34,911
Median Earnings
$891
Median Rent
$146,500
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Best Amarillo Catering — 2400 sw 7th ave #251, amarillo, tx 79106
Frequently Asked Questions
What type of property is this?
Flex space - Office and warehouse space near downtown with I-40 access.
Where is this flex space located?
The property is located at 1502 S Lipscomb St Amarillo, TX.
What is the asking price?
The asking price for this property is $275,000.
What are key features of this property?
This property features: Convenient access to I‑40 and central location.; Versatile space suitable for office, warehouse, retail, or multiple business operations.; Updated office area with reception, private offices, conference room, kitchen, and restrooms.
