Standalone Medical Office
New
For Sale
$685,000
3400 Hillcrest Drive, Waco, TX 76708
Purpose-built medical layout with patient reception, exam rooms, private offices, and administrative workspace.
Property Size3,852 SF
Price / SF$177.83
Days on Market3
Property Features for 3400 Hillcrest Drive
General Information
Standard status
Active
Size
3,852 SF
Property subtype
Office
Building Details
Year Built
1986
Buildings
1
Listing Agency:
Kelly, Realtors
(254) 741-1500
Listed By:
Rene Jensen · License #668380
(214) 532-6823
Source:
Lonestarluxuryrealty
Added: Aug 8
Changed: Aug 9
Last Checked: Aug 10 at 7:30AM
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 Kelly, Realtors
Investment Insights
Based on property information with market context.
This standalone medical office building contains 3,852 square feet and was built in 1986. The interior arrangement includes a reception and waiting area, multiple private offices, exam rooms, a breakroom, and a substantial administrative area. On-site parking supports the building’s medical-office configuration.
The property is located at 3400 Hillcrest Drive in Waco, near MacArthur Dr. Its existing room layout provides distinct patient-facing, clinical, staff, and administrative areas within one freestanding facility.
The property is located at 3400 Hillcrest Drive in Waco, near MacArthur Dr. Its existing room layout provides distinct patient-facing, clinical, staff, and administrative areas within one freestanding facility.
Key Highlights
- 3,852‑square‑foot standalone medical office building
- Built in 1986
- Reception and waiting area for patient‑facing operations
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
$53,553
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
7.82%
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%
$1,071,060
$1.1M
Cap Rate 7%
$765,043
$765.0K
Cap Rate 9%
$595,033
$595.0K
Market Conditions
NOI Build-Up for 3,852 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
$85.5K $22.20/SF
− Vacancy
−$14.1K −$3.66/SF
EGI
$71.4K $18.54/SF
− OpEx
−$17.9K −$4.63/SF
NOI
$53.6K $13.90/SF
Area
Waco, TX
Vacancy
16.50%
Lease Rate
$22.20 /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%
$1,071,060
Cap Rate 7%
$765,043
Cap Rate 9%
$595,033
Alternative Uses
Best Use
Office B
$765.0K
$669.4K – $892.6K
NOI $53,553 @ 7.0% cap · market cap 7.82%
Second Best
Healthcare Medical
$588.4K
$514.8K – $686.4K
NOI $41,186 @ 7.0% cap · market cap 6.01%
Theoretical Best
Office A
$1.02M
$889.2K – $1.19M
NOI $71,139 @ 7.0% cap · market cap 10.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
373
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 76708, TX
28,499
Population
11,241
Households
2.5
Avg Household Size
35
Median Age
25%
College-Educated
85%
High-School Grad
48.1 sq mi
ZIP Area
592
Density / Sq Mi
$66,764
Median Household Income
$39,409
Median Earnings
$1,087
Median Rent
$204,600
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Cox Bruce DVM — 2801 MacArthur Dr, Waco, TX 76708
Frequently Asked Questions
What type of property is this?
Medical Office Space - Purpose-built medical layout with patient reception, exam rooms, private offices, and administrative workspace.
Where is this medical office space located?
The property is located at 3400 Hillcrest Drive Waco, TX.
What is the asking price?
The asking price for this property is $685,000.
What are key features of this property?
This property features: 3,852‑square‑foot standalone medical office building; Built in 1986; Reception and waiting area for patient‑facing operations
