Corner Convenience Store
For Sale
$179,000
229 W Colorado St, Rio Hondo, TX 78583
Block construction supports an existing bakery and convenience-store operation in Rio Hondo.
Property Size1,816 SF
Lot Size0.17 Acres
Price / SF$98.57
Days on Market255
Property Features for 229 W Colorado St
General Information
Standard status
Active
Size
1,816 SF
Lot size
0.17 Acres
Additional Details
Asking Price
$179,000
Corner Location
Yes
Taxes and HOA fees
Annual Taxes
$4,886
Building Details
Year Built
1990
Buildings
1
Construction
cement block
Listing Agency:
RE/MAX Hacienda
(956) 782-9222
Listed By:
Hector M. Guerra
(956) 605-6200
Source:
Exprealty
Added: Dec 19, 2025
Changed: Aug 31
Last Checked: Aug 30 at 6:26PM
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 RE/MAX Hacienda
Investment Insights
Based on property information with market context.
This 1,816-square-foot commercial building in Rio Hondo was built in 1990 with cement block construction. The property is currently configured for bakery and convenience-store use, with bakery stoves and ovens fueled by natural gas available separately from the real estate.
The building occupies a 50' x 151' corner lot. Its location is four blocks from Rio Hondo’s Historic Bridge, providing a recognizable point of reference within the community. The property is scheduled to remain open for walk-throughs through December 31.
The building occupies a 50' x 151' corner lot. Its location is four blocks from Rio Hondo’s Historic Bridge, providing a recognizable point of reference within the community. The property is scheduled to remain open for walk-throughs through December 31.
Key Highlights
- 1,816‑square‑foot commercial building
- Built in 1990 with cement block construction
- 50' x 151' corner lot
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
$8,496
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
4.75%
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%
$169,920
$169.9K
Cap Rate 7%
$121,371
$121.4K
Cap Rate 9%
$94,400
$94.4K
Market Conditions
NOI Build-Up for 1,816 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
$12.9K $7.08/SF
− Vacancy
−$720 −$0.40/SF
EGI
$12.1K $6.68/SF
− OpEx
−$3.6K −$2.01/SF
NOI
$8.5K $4.68/SF
Area
Cameron County, TX
Vacancy
5.60%
Lease Rate
$7.08 /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%
$169,920
Cap Rate 7%
$121,371
Cap Rate 9%
$94,400
Alternative Uses
Best Use
Specialty Retail
$264.5K
$231.4K – $308.6K
NOI $18,514 @ 7.0% cap · market cap 10.34%
Second Best
Retail
$246.9K
$216.0K – $288.0K
NOI $17,280 @ 7.0% cap · market cap 9.65%
Theoretical Best
Healthcare Medical
$312.7K
$273.6K – $364.8K
NOI $21,888 @ 7.0% cap · market cap 12.23%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
132
Businesses Nearby
16k
Monthly Visits Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 86%
Dining 14%
Dollar General
Shops & Services
10,185 visits/mo
0.3 miles
O'Reilly Auto Parts
Shops & Services
3,980 visits/mo
0.2 miles
SUBWAY
Dining
2,235 visits/mo
0.3 miles
Demographics for 78583, TX
5,869
Population
2,781
Households
2.1
Avg Household Size
41
Median Age
15%
College-Educated
75%
High-School Grad
93.1 sq mi
ZIP Area
63
Density / Sq Mi
$61,315
Median Household Income
$35,947
Median Earnings
$771
Median Rent
$147,500
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Mike's Super Market — 208 Colorado Ave, Rio Hondo, TX 78583
Frequently Asked Questions
What type of property is this?
Grocery and convenience store - Block construction supports an existing bakery and convenience-store operation in Rio Hondo.
Where is this grocery and convenience store located?
The property is located at 229 W Colorado St Rio Hondo, TX.
What is the asking price?
The asking price for this property is $179,000.
What are key features of this property?
This property features: 1,816‑square‑foot commercial building; Built in 1990 with cement block construction; 50' x 151' corner lot
