Sherman Industrial Property with
For Sale
$945,000
224 E E Cottage Street, Sherman, TX 75090
Industrial/service asset with yard, power, and multiple shop configurations.
Property Size10,200 SF
Lot Size3.10 Acres
Price / SF$92.65
Days on Market100
Property Features for 224 E E Cottage Street
General Information
Standard status
Active
Size
10,200 SF
Lot size
3.10 Acres
Property subtype
Commercial
Zoning
C2-zoned industrial
Building Details
Building Size
10,200 SF
Year Built
1985
Stories
2
Units
3
Listing Agency:
eXp Realty LLC
(903) 814-8281
Listed By:
Eric Rhoades · License #0617278
(903) 814-8281
Source:
Signaturere
Added: May 16
Changed: Aug 23
Last Checked: Aug 23 at 10:38AM
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 eXp Realty LLC
Investment Insights
Based on property information with market context.
The property at 224 E Cottage Street is an industrial/service asset located in the Sherman market. It features approximately 3.1 acres of land with C2 zoning and dual access from two streets, providing multiple ingress and egress points. The site is equipped with three-phase power, making it suitable for contractors, fleet users, repair operations, equipment users, service trades, light manufacturing, or storage-intensive businesses. The main shop/building area is estimated to be approximately 7,000 to 8,000 square feet, with a pull-through shop configuration and four roll-up doors. The roll-up doors have an approximate height of 12.5 feet, and the eave height is approximately 14.5 feet. Additionally, there is a separate exterior B-deck building, estimated at approximately 1,600 square feet, with electricity and plumbing in place for water. The property offers a strong operating base for various business uses.
Key Highlights
- C2 zoning on approximately 3.1 acres suitable for various businesses.
- Dual access from two streets with multiple ingress and egress points.
- Main shop/building area (estimated 7,000 to 8,000 sq ft) with pull‑through configuration and four roll‑up doors.
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
$53,135
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
5.62%
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%
$1,062,700
$1.1M
Cap Rate 7%
$759,071
$759.1K
Cap Rate 9%
$590,389
$590.4K
Market Conditions
NOI Build-Up for 10,200 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
$83.2K $8.16/SF
− Vacancy
−$7.3K −$0.72/SF
EGI
$75.9K $7.44/SF
− OpEx
−$22.8K −$2.23/SF
NOI
$53.1K $5.21/SF
Area
Grayson County, TX
Vacancy
8.80%
Lease Rate
$8.16 /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%
$1,062,700
Cap Rate 7%
$759,071
Cap Rate 9%
$590,389
Alternative Uses
Best Use
Industrial
$759.1K
$664.2K – $885.6K
NOI $53,135 @ 7.0% cap · market cap 5.62%
Second Best
Flex RnD
$696.8K
$609.7K – $812.9K
NOI $48,774 @ 7.0% cap · market cap 5.16%
Theoretical Best
Hotel Hospitality
$5.23M
$4.58M – $6.10M
NOI $366,282 @ 7.0% cap · market cap 38.76%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
101
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 75090, TX
25,002
Population
9,602
Households
2.6
Avg Household Size
35
Median Age
15%
College-Educated
84%
High-School Grad
78.5 sq mi
ZIP Area
318
Density / Sq Mi
$58,586
Median Household Income
$36,230
Median Earnings
$1,111
Median Rent
$163,500
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.
Frequently Asked Questions
What type of property is this?
Flex space - Industrial/service asset with yard, power, and multiple shop configurations.
Where is this flex space located?
The property is located at 224 E E Cottage Street Sherman, TX.
What is the asking price?
The asking price for this property is $945,000.
What are key features of this property?
This property features: C2 zoning on approximately 3.1 acres suitable for various businesses.; Dual access from two streets with multiple ingress and egress points.; Main shop/building area (estimated 7,000 to 8,000 sq ft) with pull‑through configuration and **four roll‑up doors**.
