Remodeled Twin Flex Office-Warehouse
New
For Sale
$990,000
404- 406 Newport Boulevard, League City, TX 77573
Two modern flex suites combine private offices, warehouse areas, and parking for service-oriented business operations.
Property Size5,800 SF
Lot Size0.77 Acres
Price / SF$170.69
Days on Market6
Property Features for 404- 406 Newport Boulevard
General Information
Standard status
Active
Size
5,800 SF
Class
B
Total Parking Spaces
28
Lot size
0.77 Acres
Property subtype
Office
Additional Details
Office Units
2
Building Details
Building Size
5,800 SF
Year Built
2007
Buildings
2
Listing Agency:
eXp Commercial
(763) 498-1941
Listed By:
Jason Suchecki · License #TX #747765
(763) 498-1941
Source:
7s
Added: Aug 17
Changed: Aug 21
Last Checked: Aug 21 at 4:29AM
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 eXp Commercial
Investment Insights
Based on property information with market context.
This flex property includes two separate office-and-warehouse suites totaling approximately 5,800 SF on approximately 33,733 SF of land. The recently remodeled interiors feature luxury vinyl plank flooring, fresh paint, and upgraded LED lighting. Both suites provide reception areas, private offices, conference rooms, and warehouse or garage-storage space. One suite also includes a bullpen and kitchenette, while the other offers six offices, a conference room with sink, and two restrooms.
Approximately 28 total parking spaces serve the property, including 13 spaces assigned to one suite and 15 to the other. The parking layout accommodates small fleet and service vehicles. Built in 2007, the property supports an owner-user structure in which one suite can be occupied while the other is leased. The projected pro forma cap rate is approaching 9%, subject to the stated assumptions.
Approximately 28 total parking spaces serve the property, including 13 spaces assigned to one suite and 15 to the other. The parking layout accommodates small fleet and service vehicles. Built in 2007, the property supports an owner-user structure in which one suite can be occupied while the other is leased. The projected pro forma cap rate is approaching 9%, subject to the stated assumptions.
Key Highlights
- Two remodeled flex office‑warehouse suites totaling approximately 5,800 SF
- Approximately 33,733 SF of land with approximately 28 total parking spaces
- One suite includes reception, 2 offices, bullpen, kitchenette, conference room, and warehouse/garage storage
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
$70,105
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
7.08%
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%
$1,402,100
$1.4M
Cap Rate 7%
$1,001,500
$1.0M
Cap Rate 9%
$778,944
$778.9K
Market Conditions
NOI Build-Up for 5,800 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
$87.0K $15.00/SF
− Vacancy
−$4.5K −$0.78/SF
EGI
$82.5K $14.22/SF
− OpEx
−$12.4K −$2.13/SF
NOI
$70.1K $12.09/SF
Area
League City, TX
Vacancy
5.20%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
15.00%
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%
$1,402,100
Cap Rate 7%
$1,001,500
Cap Rate 9%
$778,944
Alternative Uses
Best Use
Office B
$1.39M
$1.21M – $1.62M
NOI $97,054 @ 7.0% cap · market cap 9.80%
Second Best
Warehouse
$1.00M
$876.3K – $1.17M
NOI $70,105 @ 7.0% cap · market cap 7.08%
Theoretical Best
Office A
$1.76M
$1.54M – $2.06M
NOI $123,496 @ 7.0% cap · market cap 12.47%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Office units
Location Intelligence
Trade Area within ½ mile
765
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 77573, TX
95,256
Population
37,188
Households
2.6
Avg Household Size
37
Median Age
49%
College-Educated
96%
High-School Grad
29.8 sq mi
ZIP Area
3,197
Density / Sq Mi
$122,783
Median Household Income
$67,441
Median Earnings
$1,647
Median Rent
$342,000
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?
Flex space - Two modern flex suites combine private offices, warehouse areas, and parking for service-oriented business operations.
Where is this flex space located?
The property is located at 404- 406 Newport Boulevard League City, TX.
What is the asking price?
The asking price for this property is $990,000.
What are key features of this property?
This property features: Two remodeled flex office‑warehouse suites totaling approximately 5,800 SF; Approximately 33,733 SF of land with approximately 28 total parking spaces; One suite includes reception, 2 offices, bullpen, kitchenette, conference room, and warehouse/garage storage
