Dickinson Childcare Facility For
For Sale
$2,909,090
303 Spruce St, Dickinson, TX 77539
Stabilized childcare investment property in Southeast Houston market.
Property Size20,375 SF
Price / SF$142.78
Days on Market167
Property Features for 303 Spruce St
General Information
Standard status
Active
Size
20,375 SF
Property subtype
Commercial
Lease Term
±5 YRS
Net Operating Income
$240,000
Building Details
Year Built
2005
Listing Agency:
Matthews Real Estate Investment Services | Austin
Listed By:
Briggs Mosher · License #824844 (TX)
(737) 231-2977
Source:
Matthews
Added: Mar 27
Changed: Sep 8
Last Checked: Jul 18 at 1:20AM
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 Matthews Real Estate Investment Services | Austin
Investment Insights
Based on property information with market context.
This property is a stabilized childcare real estate investment leased to a long-tenured local operator in the Southeast Houston market. The asset consists of two freestanding buildings that operate as an early-education facility. The buildings present like flex or light-industrial space, providing added versatility beyond the current use. Located in Dickinson, the property benefits from the planned expansion of State Highway 99 (Grand Parkway), which is expected to improve regional connectivity and support continued residential and commercial growth throughout the surrounding corridor. The property size is 20375 square feet. The offering is structured as a five-year sale-leaseback, delivering in-place income with multiple exit options at lease expiration, including lease renewal, re-tenanting, or repositioning for alternative uses.
Key Highlights
- Stabilized childcare real estate investment with in‑place income.
- Features a five‑year sale‑leaseback structure.
- Long‑tenured local operator in place as tenant.
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
$103,704
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
3.56%
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%
$2,074,080
$2.1M
Cap Rate 7%
$1,481,486
$1.5M
Cap Rate 9%
$1,152,267
$1.2M
Market Conditions
NOI Build-Up for 20,375 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
$158.1K $7.76/SF
− Vacancy
−$10.0K −$0.49/SF
EGI
$148.1K $7.27/SF
− OpEx
−$44.4K −$2.18/SF
NOI
$103.7K $5.09/SF
Area
Galveston County, TX
Vacancy
6.30%
Lease Rate
$7.76 /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%
$2,074,080
Cap Rate 7%
$1,481,486
Cap Rate 9%
$1,152,267
Alternative Uses
Best Use
Industrial
$1.48M
$1.30M – $1.73M
NOI $103,704 @ 7.0% cap · market cap 3.56%
Second Best
Flex RnD
$1.41M
$1.23M – $1.64M
NOI $98,559 @ 7.0% cap · market cap 3.39%
Theoretical Best
Multifamily LT 5
$228.43M
$199.88M – $266.51M
NOI $15,990,373 @ 7.0% cap · market cap 549.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
137
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 77539, TX
48,183
Population
18,725
Households
2.6
Avg Household Size
36
Median Age
26%
College-Educated
84%
High-School Grad
48.4 sq mi
ZIP Area
996
Density / Sq Mi
$85,263
Median Household Income
$49,580
Median Earnings
$1,370
Median Rent
$246,400
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Day care center - Stabilized childcare investment property in Southeast Houston market.
Where is this day care center located?
The property is located at 303 Spruce St Dickinson, TX.
What is the asking price?
The asking price for this property is $2,909,090.
What are key features of this property?
This property features: Stabilized childcare real estate investment with in‑place income.; Features a five‑year sale‑leaseback structure.; Long‑tenured local operator in place as tenant.
