Drive-Through Restaurant
For Sale
$360,000
207 N Henderson Blvd, Kilgore, TX 75662
COMMERCIAL - Kilgore, TX
Property Size832 SF
Lot Size0.40 Acres
Price / SF$432.69
Days on Market161
Property Features for 207 N Henderson Blvd
General Information
Property type
Commercial Sale
Property subtype
Other
Parking features
Off Street
Lot features
Inside City Limits
Directions
Going South on Business Hwy 259,property on Right, near theintersection of Houston. Just north ofKilgore College.
Standard status
Active
Lot size
0.40 Acres
Taxes and HOA fees
Tax Year
2025
Tax Description
LT 3 A SAVAGE ADDN
Tax Annual Amount
445
Legal Description
LT 3 A SAVAGE ADDN
Utilities
Sewer type
Public Sewer
Heating system
Central
Cooling system
Central Air, Electric
Water source
Public
Building Details
Year built
2020
Number of units
1
Building materials
Brick
Listing Agency:
Julie Woods & Associates - Longview
(903) 587-5373
Listed By:
Julie Woods · License #0606759-BB
(903) 258-0284
Added: Mar 3
Changed: Aug 11
Last Checked: Aug 11 at 8:06PM
MLS# 26002981
Copyright © 2026 Greater Tyler Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 2020 drive-through restaurant property includes a brick building on approximately .4 acres at 207 N Henderson Blvd in Kilgore. The layout has two drive-through windows, two restrooms, and a covered front porch for walk-up orders. Central heating and central air conditioning support year-round operations, while off-street parking and public water and sewer serve the site. The building previously operated as a daiquiri and coffee concept.
The property fronts Hwy 259 near Kilgore College and records approximately 14,273 vehicles passing daily. Its lot provides space for parking, outdoor seating, or other site improvements. The configuration is suited to quick-service food and beverage operations, including tacos, desserts, dirty sodas, specialty coffee, hot dogs, and similar concepts.
The property fronts Hwy 259 near Kilgore College and records approximately 14,273 vehicles passing daily. Its lot provides space for parking, outdoor seating, or other site improvements. The configuration is suited to quick-service food and beverage operations, including tacos, desserts, dirty sodas, specialty coffee, hot dogs, and similar concepts.
Key Highlights
- Approximately .4‑acre lot with a 2020‑built brick restaurant building
- Two drive‑through windows and two restrooms
- Covered front porch for walk‑up orders
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
$14,578
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
4.05%
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%
$291,560
$291.6K
Cap Rate 7%
$208,257
$208.3K
Cap Rate 9%
$161,978
$162.0K
Market Conditions
NOI Build-Up for 832 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
$20.8K $24.96/SF
− Vacancy
−$1.3K −$1.60/SF
EGI
$19.4K $23.36/SF
− OpEx
−$4.9K −$5.84/SF
NOI
$14.6K $17.52/SF
Area
Gregg County, TX
Vacancy
6.40%
Lease Rate
$24.96 /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%
$291,560
Cap Rate 7%
$208,257
Cap Rate 9%
$161,978
Alternative Uses
Best Use
Specialty Retail
$208.3K
$182.2K – $243.0K
NOI $14,578 @ 7.0% cap · market cap 4.05%
Second Best
—
—
no second resolved use
Theoretical Best
Hotel Hospitality
$626.7K
$548.3K – $731.1K
NOI $43,867 @ 7.0% cap · market cap 12.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
14,273 VPD
Traffic count
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
722
Businesses Nearby
Explore this area
Business Placement
Demographics for 75662, TX
25,002
Population
9,474
Households
2.6
Avg Household Size
37
Median Age
18%
College-Educated
83%
High-School Grad
126.8 sq mi
ZIP Area
197
Density / Sq Mi
$65,926
Median Household Income
$37,027
Median Earnings
$1,051
Median Rent
$165,700
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Drive through restaurant - Compact quick-service property with dual drive-through service, walk-up ordering space, and public utilities.
Where is this drive through restaurant located?
The property is located at 207 N Henderson Blvd Kilgore, TX.
What is the asking price?
The asking price for this property is $360,000.
What are key features of this property?
This property features: Approximately .4‑acre lot with a 2020‑built brick restaurant building; Two drive‑through windows and two restrooms; Covered front porch for walk‑up orders
