Land Under Absolute NNN Ground
For Sale
Contact for pricing
300 N Marienfeld St, Midland, TX 79701
Fee simple land is subject to a 99-year absolute NNN ground lease to an investment-grade tenant.
Property Size149,000 SF
Lot Size1.38 Acres
Price / SF$140.12
Days on Market181
Property Features for 300 N Marienfeld St
General Information
Standard status
Active
Size
149,000 SF
Class
A
Lot size
1.38 Acres
Property subtype
Land, Office, Special Purpose
Lease Type
Absolute Net
Investment Type
Net Lease
Building Details
Stories
12
Tenancy
Single
Listing Agency:
Commercial Real Estate Exchange Inc
Listed By:
Jon Nesbitt · License #TX 633814
Source:
Crexi
Added: Mar 9
Changed: Aug 24
Last Checked: Sep 1 at 1:12AM
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 Commercial Real Estate Exchange Inc
Investment Insights
Based on property information with market context.
This offering is for the fee simple sale of land benefiting from a 99-year Absolute NNN ground lease to an investment grade tenant. The lease term is described as 35 years with 32 years remaining. The structure is marketed as “Zero Cash Flow (ZCF)” and includes a pay-down/re-advance feature. The property comprises 1.38 acres and is positioned beneath a 149,000 SF, 12-story Class A office building and an adjoining 7-story parking garage.
The land is located at 300 N Marienfeld St in Midland, Texas, in the heart of downtown Midland.
Financing is described as 35-year (32 years remaining) assumable, fixed-rate, high-leverage, non-recourse financing, with additional mezzanine debt also available.
The land is located at 300 N Marienfeld St in Midland, Texas, in the heart of downtown Midland.
Financing is described as 35-year (32 years remaining) assumable, fixed-rate, high-leverage, non-recourse financing, with additional mezzanine debt also available.
Key Highlights
- Fee simple land offered subject to a 99‑year absolute NNN ground lease to an investment‑grade tenant
- 1.38‑acre site located beneath a 149,000 SF, 12‑story Class A office building and an adjoining 7‑story parking garage
- Assumable 35‑year fixed‑rate financing with 32 years remaining, high‑leverage, non‑recourse
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
$1,802,304
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
8.63%
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%
$36,046,080
$36.0M
Cap Rate 7%
$25,747,200
$25.7M
Cap Rate 9%
$20,025,600
$20.0M
Market Conditions
NOI Build-Up for 149,000 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
$2.86M $19.20/SF
− Vacancy
−$457.7K −$3.07/SF
EGI
$2.40M $16.13/SF
− OpEx
−$600.8K −$4.03/SF
NOI
$1.80M $12.10/SF
Area
Midland, TX
Vacancy
16.00%
Lease Rate
$19.20 /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%
$36,046,080
Cap Rate 7%
$25,747,200
Cap Rate 9%
$20,025,600
Alternative Uses
Best Use
Office B
$25.75M
$22.53M – $30.04M
NOI $1,802,304 @ 7.0% cap · market cap 8.63%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$35.15M
$30.75M – $41.00M
NOI $2,460,288 @ 7.0% cap · market cap 11.78%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,359
Businesses Nearby
Explore this area
Business Placement
Demographics for 79701, TX
29,748
Population
11,393
Households
2.6
Avg Household Size
33
Median Age
19%
College-Educated
73%
High-School Grad
12.1 sq mi
ZIP Area
2,459
Density / Sq Mi
$57,679
Median Household Income
$36,213
Median Earnings
$1,336
Median Rent
$204,000
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Commercial land - Fee simple land is subject to a 99-year absolute NNN ground lease to an investment-grade tenant.
Where is this commercial land located?
The property is located at 300 N Marienfeld St Midland, TX.
What is the asking price?
The asking price for this property is $20,878,000.
What are key features of this property?
This property features: Fee simple land offered subject to a 99‑year absolute NNN ground lease to an investment‑grade tenant; 1.38‑acre site located beneath a 149,000 SF, 12‑story Class A office building and an adjoining 7‑story parking garage; Assumable 35‑year fixed‑rate financing with 32 years remaining, high‑leverage, non‑recourse
