Historic Office Building with
For Sale
$675,000
1608 Polk Street, Amarillo, TX 79102
Three-story historic building features high ceilings and abundant natural light throughout, with a covered porch and full basement.
Property Size3,750 SF
Price / SF$180
Days on Market560
Property Features for 1608 Polk Street
General Information
Standard status
Active
Size
3,750 SF
Total Parking Spaces
2
Property subtype
General Commercial
Zoning
MF-2
Amenities
covered porch
high ceilings
natural light
custom millwork
period trim
original hardwood floors
Window Air Conditioning
3
100' x 150'
Building Details
Year Built
1914
Stories
3
Construction
Prairie School style
Listing Agency:
Keller Williams Realty Amarillo
(806) 683-1330
Listed By:
Holly Coats · License #606152
(806) 683-1330
Source:
Xome
Added: Feb 10, 2025
Changed: Aug 12
Last Checked: Aug 23 at 2:58AM
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 Keller Williams Realty Amarillo
Investment Insights
Based on property information with market context.
Completed in 1913, this three-story building features Prairie School design elements including a hipped roof with wide eaves. The property includes a large covered porch with classical columns and balustrades, plus a full basement. A detached two-car garage with an upstairs apartment is also part of the offering.
Most recently used as an office building, the interior includes high ceilings and an abundance of natural light, along with original details such as extensive custom millwork, period trim, and original hardwood floors. The building is zoned MF-2 (multi-family), and could be converted back to residential use.
With its combination of historic character and multi-level layout, the property offers flexible configuration for an office environment or a residential conversion, subject to buyer plans and applicable requirements.
Most recently used as an office building, the interior includes high ceilings and an abundance of natural light, along with original details such as extensive custom millwork, period trim, and original hardwood floors. The building is zoned MF-2 (multi-family), and could be converted back to residential use.
With its combination of historic character and multi-level layout, the property offers flexible configuration for an office environment or a residential conversion, subject to buyer plans and applicable requirements.
Key Highlights
- Three‑story historic building with full basement, originally completed in 1913
- Prairie School‑inspired design with hipped roof and wide eaves
- Zoned MF‑2 (multi‑family); most recently used as an office, but could be converted back to residential
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
$43,031
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
6.37%
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%
$860,620
$860.6K
Cap Rate 7%
$614,729
$614.7K
Cap Rate 9%
$478,122
$478.1K
Market Conditions
NOI Build-Up for 3,750 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
$67.5K $18.00/SF
− Vacancy
−$10.1K −$2.70/SF
EGI
$57.4K $15.30/SF
− OpEx
−$14.3K −$3.82/SF
NOI
$43.0K $11.48/SF
Area
Amarillo, TX
Vacancy
15.00%
Lease Rate
$18.00 /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%
$860,620
Cap Rate 7%
$614,729
Cap Rate 9%
$478,122
Alternative Uses
Best Use
Office B
$614.7K
$537.9K – $717.2K
NOI $43,031 @ 7.0% cap · market cap 6.37%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$837.3K
$732.6K – $976.8K
NOI $58,608 @ 7.0% cap · market cap 8.68%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
840
Businesses Nearby
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 Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Three-story historic building features high ceilings and abundant natural light throughout, with a covered porch and full basement.
Where is this office building located?
The property is located at 1608 Polk Street Amarillo, TX.
What is the asking price?
The asking price for this property is $675,000.
What are key features of this property?
This property features: Three‑story historic building with full basement, originally completed in 1913; Prairie School‑inspired design with hipped roof and wide eaves; Zoned MF‑2 (multi‑family); most recently used as an office, but could be converted back to residential
