Retail Plaza with Five
For Sale
$1,150,000
2908 Mile 5 Road, Mission, TX 78574
New retail plaza featuring five open-concept units, each with its own bathroom, plus ample parking for tenants and customers.
Property Size3,400 SF
Price / SF$338.24
Days on Market663
Property Features for 2908 Mile 5 Road
General Information
Standard status
Active
Size
3,400 SF
Property subtype
General Commercial
Taxes and HOA fees
Annual Taxes
$7,763
Amenities
bathroom
water sprinklers
Central Air
3
28 Parking Spaces. Paved Driveway, Handicap Parking.
Handicapped Access. County Road, Paved Road.
Building Details
Year Built
2024
Tenancy
Multi
Listing Agency:
Red & Co Realty Services
(956) 560-2207
Listed By:
Marina Garcia
(956) 257-4547
Source:
Xome
Added: Nov 13, 2024
Changed: Sep 1
Last Checked: Sep 6 at 4:36AM
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 Red & Co Realty Services
Investment Insights
Based on property information with market context.
This newly developed retail plaza consists of five open-concept units. Each unit includes a bathroom, supporting a range of retail or professional service uses. The property is set within professionally landscaped surroundings and includes water sprinklers designed to support maintenance. Ample on-site parking is available for tenant and customer convenience.
The plaza is positioned near a busy intersection and is close to gas stations and well-known taquerias in Mission, TX, supporting everyday retail traffic.
Configured as a five-unit offering, the layout provides individual unit spaces within a shared retail environment, making it suitable for multi-tenant occupancy.
The plaza is positioned near a busy intersection and is close to gas stations and well-known taquerias in Mission, TX, supporting everyday retail traffic.
Configured as a five-unit offering, the layout provides individual unit spaces within a shared retail environment, making it suitable for multi-tenant occupancy.
Key Highlights
- New 5‑unit retail plaza built in 2024
- Five open‑concept units, each with its own bathroom
- Central air cooling
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
$45,907
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
3.99%
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%
$918,140
$918.1K
Cap Rate 7%
$655,814
$655.8K
Cap Rate 9%
$510,078
$510.1K
Market Conditions
NOI Build-Up for 3,400 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
$69.8K $20.52/SF
− Vacancy
−$4.2K −$1.23/SF
EGI
$65.6K $19.29/SF
− OpEx
−$19.7K −$5.79/SF
NOI
$45.9K $13.50/SF
Area
Hidalgo County, TX
Vacancy
6.00%
Lease Rate
$20.52 /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%
$918,140
Cap Rate 7%
$655,814
Cap Rate 9%
$510,078
Alternative Uses
Best Use
Retail
$655.8K
$573.8K – $765.1K
NOI $45,907 @ 7.0% cap · market cap 3.99%
Second Best
—
—
no second resolved use
Theoretical Best
Hotel Hospitality
$2.56M
$2.24M – $2.99M
NOI $179,265 @ 7.0% cap · market cap 15.59%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
248
Businesses Nearby
Explore this area
Business Placement
Demographics for 78574, TX
63,627
Population
18,309
Households
3.5
Avg Household Size
28
Median Age
16%
College-Educated
58%
High-School Grad
51.9 sq mi
ZIP Area
1,226
Density / Sq Mi
$52,536
Median Household Income
$28,029
Median Earnings
$807
Median Rent
$119,000
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?
Strip mall - New retail plaza featuring five open-concept units, each with its own bathroom, plus ample parking for tenants and customers.
Where is this strip mall located?
The property is located at 2908 Mile 5 Road Mission, TX.
What is the asking price?
The asking price for this property is $1,150,000.
What are key features of this property?
This property features: New 5‑unit retail plaza built in 2024; Five open‑concept units, each with its own bathroom; Central air cooling
