Office Building with Conference
For Sale
$1,200,000
206 Sunset Ave, Dallas, TX 75208
Five-office layout includes two restrooms, a full break room, front parking, and a security system.
Property Size1,794 SF
Price / SF$668.90
Days on Market46
Property Features for 206 Sunset Ave
General Information
Standard status
Active
Size
1,794 SF
Building Details
Year Built
2006
Listing Agency:
Champion Realty
Listed By:
Dan Ramirez · License #0364485
(210) 416-5400
Source:
Heritance
Added: Jul 20
Changed: Aug 29
Last Checked: Sep 1 at 10:52PM
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 Champion Realty
Investment Insights
Based on property information with market context.
This office building is configured with five large offices, including one that can serve as a conference room, along with two restrooms. The interior includes marble flooring, a full break room, and a security system. The property is currently used as a law office and includes parking positioned in front of the building.
The property is located in Dallas near the Bishop Arts District. Its existing office configuration and current professional-office use provide a clearly defined commercial layout for continued office occupancy.
The property is located in Dallas near the Bishop Arts District. Its existing office configuration and current professional-office use provide a clearly defined commercial layout for continued office occupancy.
Key Highlights
- Five large offices, including one adaptable for conference use
- Two restrooms support the existing office layout
- Marble flooring and a full break room
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
$103,139
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
8.59%
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%
$2,062,780
$2.1M
Cap Rate 7%
$1,473,414
$1.5M
Cap Rate 9%
$1,145,989
$1.1M
Market Conditions
NOI Build-Up for 1,794 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
$183.8K $102.48/SF
− Vacancy
−$46.3K −$25.82/SF
EGI
$137.5K $76.66/SF
− OpEx
−$34.4K −$19.16/SF
NOI
$103.1K $57.49/SF
Area
Dallas, TX
Vacancy
25.20%
Lease Rate
$102.48 /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%
$2,062,780
Cap Rate 7%
$1,473,414
Cap Rate 9%
$1,145,989
Alternative Uses
Best Use
Office B
$1.47M
$1.29M – $1.72M
NOI $103,139 @ 7.0% cap · market cap 8.59%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.15M
$1.88M – $2.51M
NOI $150,686 @ 7.0% cap · market cap 12.56%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,193
Businesses Nearby
Explore this area
Business Placement
Demographics for 75208, TX
29,446
Population
13,655
Households
2.2
Avg Household Size
36
Median Age
41%
College-Educated
76%
High-School Grad
6.1 sq mi
ZIP Area
4,827
Density / Sq Mi
$76,502
Median Household Income
$48,460
Median Earnings
$1,589
Median Rent
$415,200
Median Home Value
Market
Vacancy Rate% for Office in Dallas, TX
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Five-office layout includes two restrooms, a full break room, front parking, and a security system.
Where is this office building located?
The property is located at 206 Sunset Ave Dallas, TX.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: Five large offices, including one adaptable for conference use; Two restrooms support the existing office layout; Marble flooring and a full break room
