Freestanding Restaurant
For Sale
$2,050,000
320 William Cannon Dr, Austin, TX 78745
Flexible CS-MU-CO-NP zoning with existing grease trap and ample paved parking for restaurant, retail, or office uses.
Property Size4,800 SF
Lot Size1.12 Acres
Price / SF$427.08
Days on Market94
Property Features for 320 William Cannon Dr
General Information
Standard status
Active
Size
4,800 SF
Total Parking Spaces
65
Lot size
1.12 Acres
Property subtype
Mixed Use
Zoning
CS-MU-CO-NP
Additional Details
Grease Trap
Yes
Taxes and HOA fees
Annual Taxes
$33,787
Amenities
Central Air
3
Parking.
65 Parking Spaces. Paved Driveway, Lot.
Security Lighting.
Building Details
Year Built
1987
Listing Agency:
Compass RE Texas, LLC
(512) 655-9056
Listed By:
John Mundell · License #0640318
(512) 655-9056
Source:
Xome
Added: May 25
Changed: Aug 25
Last Checked: Aug 26 at 6:36AM
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 Compass RE Texas, LLC
Investment Insights
Based on property information with market context.
This freestanding commercial site is currently permitted for restaurant use and retains an existing grease trap on site, providing a head start for food and beverage operators. The property is zoned CS-MU-CO-NP, with the base CS designation supporting a broad mix of by-right uses including restaurant and food service, retail, medical and professional office, personal services, and financial services, among others. A Mixed Use overlay allows multifamily, condominium, townhouse, or mixed-use development on the same site.
The property is not in a flood zone and has no creek buffer or major environmental constraints identified in the provided remarks. It features strong building coverage and confirmed FAR potential per the city. The site sits at a hard corner at a signalized intersection, offering prominent visibility and straightforward ingress/egress, and includes approximately 65 paved parking spaces.
For an owner or tenant, the existing improvements can be repurposed for food service or other allowed commercial uses, with the option to expand the current footprint. Alternatively, the zoning flexibility and land size support redevelopment into a broader commercial or mixed-use concept, subject to applicable approvals. The combination of parking, signalized-corner visibility, and broad-use zoning is designed to accommodate a range of plans for the next operator or ownership group.
The property is not in a flood zone and has no creek buffer or major environmental constraints identified in the provided remarks. It features strong building coverage and confirmed FAR potential per the city. The site sits at a hard corner at a signalized intersection, offering prominent visibility and straightforward ingress/egress, and includes approximately 65 paved parking spaces.
For an owner or tenant, the existing improvements can be repurposed for food service or other allowed commercial uses, with the option to expand the current footprint. Alternatively, the zoning flexibility and land size support redevelopment into a broader commercial or mixed-use concept, subject to applicable approvals. The combination of parking, signalized-corner visibility, and broad-use zoning is designed to accommodate a range of plans for the next operator or ownership group.
Key Highlights
- 4,800 SF freestanding building on 1.12 acres with about 65 paved parking spaces
- CS‑MU‑CO‑NP zoning with Mixed Use overlay allowing multifamily, condominium, townhouse, or mixed‑use development
- Previously permitted for restaurant use and retains an existing grease trap on site
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
$90,557
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
4.42%
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%
$1,811,140
$1.8M
Cap Rate 7%
$1,293,671
$1.3M
Cap Rate 9%
$1,006,189
$1.0M
Market Conditions
NOI Build-Up for 4,800 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
$125.0K $26.04/SF
− Vacancy
−$4.2K −$0.89/SF
EGI
$120.7K $25.15/SF
− OpEx
−$30.2K −$6.29/SF
NOI
$90.6K $18.87/SF
Area
ZIP 78745
Vacancy
3.40%
Lease Rate
$26.04 /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%
$1,811,140
Cap Rate 7%
$1,293,671
Cap Rate 9%
$1,006,189
Alternative Uses
Best Use
Specialty Retail
$1.29M
$1.13M – $1.51M
NOI $90,557 @ 7.0% cap · market cap 4.42%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.01M
$1.76M – $2.34M
NOI $140,456 @ 7.0% cap · market cap 6.85%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Grease trap
Location Intelligence
Trade Area within ½ mile
763
Businesses Nearby
168k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 50%
Shops & Services 45%
Home Improvements & Furnishings 3%
Electronics 1%
McDonald's
Dining
35,929 visits/mo
0.2 miles
Dollar Tree
Shops & Services
31,567 visits/mo
0.1 miles
Shell
Shops & Services
15,676 visits/mo
0.3 miles
Jack in the Box
Dining
13,406 visits/mo
0.4 miles
Exxon
Shops & Services
12,475 visits/mo
0.5 miles
Demographics for 78745, TX
59,843
Population
31,246
Households
1.9
Avg Household Size
36
Median Age
54%
College-Educated
93%
High-School Grad
13.7 sq mi
ZIP Area
4,368
Density / Sq Mi
$84,529
Median Household Income
$56,551
Median Earnings
$1,655
Median Rent
$459,100
Median Home Value
Market
Vacancy Rate% for Retail in Austin, 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?
Conventional restaurant - Flexible CS-MU-CO-NP zoning with existing grease trap and ample paved parking for restaurant, retail, or office uses.
Where is this conventional restaurant located?
The property is located at 320 William Cannon Dr Austin, TX.
What is the asking price?
The asking price for this property is $2,050,000.
What are key features of this property?
This property features: 4,800 SF freestanding building on 1.12 acres with about 65 paved parking spaces; CS‑MU‑CO‑NP zoning with Mixed Use overlay allowing multifamily, condominium, townhouse, or mixed‑use development; Previously permitted for restaurant use and retains an existing grease trap on site
