Freestanding Office
For Sale
Contact for pricing
2420 KARBACH ST, Houston, TX 77092
Flexible freestanding building with multiple first-floor rooms, an unfinished second floor, and approximately eight on-site parking spaces.
Property Size3,746 SF
Lot Size0.30 Acres
Price / SF$160.17
Days on Market94
Property Features for 2420 KARBACH ST
General Information
Standard status
Active
Size
3,746 SF
Class
C
Total Parking Spaces
8
Lot size
0.30 Acres
Property subtype
Land, Office, Industrial
Investment Type
Value Add
Additional Details
Asking Price
$599,990
Highway Access
Yes
Building Details
Year Built
1940
Buildings
1
Stories
2
Units
8
Tenancy
Single
Building Size
3,746 SF
Listing Agency:
The AskOzzie.com Real Estate
Listed By:
Ozzie Ramirez · License #0534431
(281) 317-0019
Source:
Crexi
Added: Jun 3
Changed: Aug 29
Last Checked: Aug 31 at 5:04PM
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 The AskOzzie.com Real Estate
Investment Insights
Based on property information with market context.
This freestanding property includes a 3,746-square-foot building on a 13,000-square-foot lot and was built in 1940. The existing improvement is residential, with multiple rooms on the first floor and a flexible interior arrangement. The second floor is unfinished, providing space for a future buildout. Any commercial conversion or office use remains subject to buyer due diligence, zoning requirements, and required governmental approvals.
The property is located at 2420 Karbach Street in Houston, with access to Highway 290, Loop 610, and Hempstead Highway. Oak Forest, Garden Oaks, The Heights, and Downtown Houston are also identified in the surrounding access context. Approximately eight parking spaces are available on site.
The property is located at 2420 Karbach Street in Houston, with access to Highway 290, Loop 610, and Hempstead Highway. Oak Forest, Garden Oaks, The Heights, and Downtown Houston are also identified in the surrounding access context. Approximately eight parking spaces are available on site.
Key Highlights
- 3,746‑square‑foot freestanding building on a 13,000‑square‑foot lot
- Approximately eight on‑site parking spaces
- First floor includes multiple rooms and flexible layout options
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
$43,693
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
7.28%
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%
$873,860
$873.9K
Cap Rate 7%
$624,186
$624.2K
Cap Rate 9%
$485,478
$485.5K
Market Conditions
NOI Build-Up for 3,746 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
$80.9K $21.60/SF
− Vacancy
−$22.7K −$6.05/SF
EGI
$58.3K $15.55/SF
− OpEx
−$14.6K −$3.89/SF
NOI
$43.7K $11.66/SF
Area
Houston, TX
Vacancy
28.00%
Lease Rate
$21.60 /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%
$873,860
Cap Rate 7%
$624,186
Cap Rate 9%
$485,478
Alternative Uses
Best Use
Office B
$624.2K
$546.2K – $728.2K
NOI $43,693 @ 7.0% cap · market cap 7.28%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$963.3K
$842.9K – $1.12M
NOI $67,428 @ 7.0% cap · market cap 11.24%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
2,030
Businesses Nearby
Explore this area
Business Placement
Demographics for 77092, TX
34,903
Population
16,158
Households
2.2
Avg Household Size
34
Median Age
27%
College-Educated
75%
High-School Grad
8.1 sq mi
ZIP Area
4,309
Density / Sq Mi
$56,741
Median Household Income
$34,895
Median Earnings
$1,228
Median Rent
$222,800
Median Home Value
Market
Vacancy Rate% for Office in Houston, TX
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Flexible freestanding building with multiple first-floor rooms, an unfinished second floor, and approximately eight on-site parking spaces.
Where is this office building located?
The property is located at 2420 KARBACH ST Houston, TX.
What is the asking price?
The asking price for this property is $599,990.
What are key features of this property?
This property features: 3,746‑square‑foot freestanding building on a 13,000‑square‑foot lot; Approximately eight on‑site parking spaces; First floor includes multiple rooms and flexible layout options
