New Construction Medical Office
For Sale
$448,000
400-1870 Harroun Ave, McKinney, TX 75069
Open-plan professional space with off-street parking and the ability to combine adjacent suites.
Property Size1,400 SF
Price / SF$320
Days on Market14
Property Features for 400-1870 Harroun Ave
General Information
Standard status
Active
Size
1,400 SF
Additional Details
Highway Access
Yes
Office Units
6
Taxes and HOA fees
Annual Taxes
$6,075
Building Details
Tenancy
Multi
Listing Agency:
Perfect Realty Partners
Listed By:
Srinivas Chaluvadi · License #0593565
(469) 252-1261
Source:
Exprealty
Added: Aug 25
Changed: Sep 5
Last Checked: Sep 6 at 1:01PM
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 Perfect Realty Partners
Investment Insights
Based on property information with market context.
This 1,400 SF medical office suite is part of a six-suite new construction building at 400-1870 Harroun Ave in McKinney. The interior is configured without structural walls, creating an adaptable open floor plan and allowing adjacent suites to be combined for additional space. The property includes a finished facade and off-street parking.
The building sits near the intersection of Hwy 380 and US 75, within an area described as surrounded by substantial single-family and multifamily residential development. National retailers and dining options are within walking distance. The suite is positioned for professional and healthcare-oriented occupants, including physician offices, therapy practices, chiropractic offices, massage centers, law offices, title companies, and CPA firms. The full building is also offered for sale.
The building sits near the intersection of Hwy 380 and US 75, within an area described as surrounded by substantial single-family and multifamily residential development. National retailers and dining options are within walking distance. The suite is positioned for professional and healthcare-oriented occupants, including physician offices, therapy practices, chiropractic offices, massage centers, law offices, title companies, and CPA firms. The full building is also offered for sale.
Key Highlights
- 1,400 SF medical office suite in a new construction six‑suite building
- Open interior without structural walls
- Adjacent suites can be combined for additional space
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
$18,144
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
4.05%
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%
$362,880
$362.9K
Cap Rate 7%
$259,200
$259.2K
Cap Rate 9%
$201,600
$201.6K
Market Conditions
NOI Build-Up for 1,400 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
$33.6K $24.00/SF
− Vacancy
−$3.4K −$2.40/SF
EGI
$30.2K $21.60/SF
− OpEx
−$12.1K −$8.64/SF
NOI
$18.1K $12.96/SF
Area
McKinney, TX
Vacancy
10.00%
Lease Rate
$24.00 /SF/Yr
Expense Ratio
40.00%
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%
$362,880
Cap Rate 7%
$259,200
Cap Rate 9%
$201,600
Alternative Uses
Best Use
Healthcare Medical
$259.2K
$226.8K – $302.4K
NOI $18,144 @ 7.0% cap · market cap 4.05%
Second Best
Office B
$256.9K
$224.8K – $299.8K
NOI $17,985 @ 7.0% cap · market cap 4.01%
Theoretical Best
Office A
$393.6K
$344.4K – $459.2K
NOI $27,552 @ 7.0% cap · market cap 6.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
6
Office units
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
1,176
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 75069, TX
39,084
Population
16,958
Households
2.3
Avg Household Size
38
Median Age
37%
College-Educated
88%
High-School Grad
33.7 sq mi
ZIP Area
1,160
Density / Sq Mi
$82,804
Median Household Income
$42,816
Median Earnings
$1,530
Median Rent
$413,700
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Similar Off Market Nearby
- Cedar Creek Animal Hospital — 1434 N Central Expy N STE 123, McKinney, TX 75070
- Banfield Pet Hospital — 1751 N Central Expy STE A, McKinney, TX 75070
- UrgentVet — 1717 W University Dr STE 418, McKinney, TX 75069
- McKinney Pharmacy — 1601 W University Dr, McKinney, TX 75069
Frequently Asked Questions
What type of property is this?
Medical Office Space - Open-plan professional space with off-street parking and the ability to combine adjacent suites.
Where is this medical office space located?
The property is located at 400-1870 Harroun Ave McKinney, TX.
What is the asking price?
The asking price for this property is $448,000.
What are key features of this property?
This property features: 1,400 SF medical office suite in a new construction six‑suite building; Open interior without structural walls; Adjacent suites can be combined for additional space
