Multi-Tenant Office
New
For Sale
$1,375,000
1600 Lake Air Drive, Waco, TX 76710
Flexible professional suites include shared amenities, coded entry, and on-site parking.
Property Size8,576 SF
Price / SF$160.33
Days on Market2
Property Features for 1600 Lake Air Drive
General Information
Standard status
Active
Size
8,576 SF
Property subtype
Office
Amenities
secure coded entry
Wi-Fi
utilities
shared conference room
kitchenette
common areas
Building Details
Year Built
1976
Tenancy
Multi
Listing Agency:
Duck Brothers Real Estate
(254) 733-3008
Listed By:
Alan Cooper · License #0594774
Source:
Lonestarluxuryrealty
Added: Sep 13
Last Checked: Sep 13 at 3:04PM
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 Duck Brothers Real Estate
Investment Insights
Based on property information with market context.
Built in 1976, this approximately 8,576-square-foot office building at 1600 Lake Air Drive is arranged for multiple executive and professional suites. The layout includes private offices in several sizes, common areas, a shared conference room, and a kitchenette, supporting a range of office users. Secure coded entry, Wi-Fi, utilities, and on-site parking are also provided.
The property is positioned within Waco’s established professional corridor. Its multi-suite configuration supports continued office occupancy, while the flexible arrangement can accommodate an owner-user occupying part of the building alongside other tenants. The setting is suitable for professional, financial-service, consulting, counseling, real estate, medical, and wellness practices as described in the property information.
The property is positioned within Waco’s established professional corridor. Its multi-suite configuration supports continued office occupancy, while the flexible arrangement can accommodate an owner-user occupying part of the building alongside other tenants. The setting is suitable for professional, financial-service, consulting, counseling, real estate, medical, and wellness practices as described in the property information.
Key Highlights
- Approximately 8,576‑square‑foot multi‑tenant office property
- Built in 1976
- Private offices in multiple sizes with shared conference room and kitchenette
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
$119,230
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
8.67%
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%
$2,384,600
$2.4M
Cap Rate 7%
$1,703,286
$1.7M
Cap Rate 9%
$1,324,778
$1.3M
Market Conditions
NOI Build-Up for 8,576 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
$190.4K $22.20/SF
− Vacancy
−$31.4K −$3.66/SF
EGI
$159.0K $18.54/SF
− OpEx
−$39.7K −$4.63/SF
NOI
$119.2K $13.90/SF
Area
Waco, TX
Vacancy
16.50%
Lease Rate
$22.20 /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%
$2,384,600
Cap Rate 7%
$1,703,286
Cap Rate 9%
$1,324,778
Alternative Uses
Best Use
Office B
$1.70M
$1.49M – $1.99M
NOI $119,230 @ 7.0% cap · market cap 8.67%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.26M
$1.98M – $2.64M
NOI $158,382 @ 7.0% cap · market cap 11.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,211
Businesses Nearby
Explore this area
Business Placement
Demographics for 76710, TX
24,874
Population
12,391
Households
2
Avg Household Size
38
Median Age
32%
College-Educated
92%
High-School Grad
9.3 sq mi
ZIP Area
2,675
Density / Sq Mi
$53,304
Median Household Income
$36,425
Median Earnings
$1,098
Median Rent
$229,000
Median Home Value
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Market
Vacancy Rate% for Office in South region
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Frequently Asked Questions
What type of property is this?
Office building - Flexible professional suites include shared amenities, coded entry, and on-site parking.
Where is this office building located?
The property is located at 1600 Lake Air Drive Waco, TX.
What is the asking price?
The asking price for this property is $1,375,000.
What are key features of this property?
This property features: Approximately 8,576‑square‑foot multi‑tenant office property; Built in 1976; Private offices in multiple sizes with shared conference room and kitchenette
