Free-Standing Retail
For Sale
Contact for pricing
420 E Foster Rd, Las Cruces, NM 88005
Recently updated interior includes a barber-oriented layout, reception area, customer waiting space, and on-site parking.
Property Size1,120 SF
Price / SF$214.29
Days on Market9
Property Features for 420 E Foster Rd
General Information
Standard status
Active
Size
1,120 SF
Property subtype
RETAIL
Amenities
Multiple barber stations
Reception and customer waiting area
On-site parking
Building Details
Buildings
1
Tenancy
Single
Listing Agency:
Steinborn/TCN Commercial Real Estate
(575) 639-1208
Listed By:
Kary Bulsterbaum · License #43302
(575) 639-1208
Source:
Moodyscre
Added: Aug 21
Changed: Aug 28
Last Checked: Aug 28 at 7:45PM
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 Steinborn/TCN Commercial Real Estate
Investment Insights
Based on property information with market context.
Located at 420 E Foster Rd in Las Cruces, this 1,120-square-foot retail property is a free-standing commercial building with a recently remodeled interior. The layout is configured for barber shop operations, with multiple barber stations, a reception area, and designated customer waiting space.
The property includes on-site parking and convenient customer access. Its independent building format provides a standalone retail setting rather than a multi-tenant shopping center configuration. Existing improvements support continued barber-oriented use, while the updated interior and customer-facing layout provide a functional foundation for operation.
The property includes on-site parking and convenient customer access. Its independent building format provides a standalone retail setting rather than a multi-tenant shopping center configuration. Existing improvements support continued barber-oriented use, while the updated interior and customer-facing layout provide a functional foundation for operation.
Key Highlights
- 1,120‑square‑foot free‑standing retail building
- Recently remodeled interior
- Barber shop layout with multiple stations
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
$9,088
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
3.79%
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%
$181,760
$181.8K
Cap Rate 7%
$129,829
$129.8K
Cap Rate 9%
$100,978
$101.0K
Market Conditions
NOI Build-Up for 1,120 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
$14.1K $12.60/SF
− Vacancy
−$1.1K −$1.01/SF
EGI
$13.0K $11.59/SF
− OpEx
−$3.9K −$3.48/SF
NOI
$9.1K $8.11/SF
Area
Las Cruces, NM
Vacancy
8.00%
Lease Rate
$12.60 /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%
$181,760
Cap Rate 7%
$129,829
Cap Rate 9%
$100,978
Alternative Uses
Best Use
Retail
$129.8K
$113.6K – $151.5K
NOI $9,088 @ 7.0% cap · market cap 3.79%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$196.0K
$171.5K – $228.7K
NOI $13,720 @ 7.0% cap · market cap 5.72%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,533
Businesses Nearby
Explore this area
Business Placement
Demographics for 88005, NM
26,997
Population
12,039
Households
2.2
Avg Household Size
41
Median Age
31%
College-Educated
85%
High-School Grad
150.9 sq mi
ZIP Area
179
Density / Sq Mi
$51,770
Median Household Income
$28,908
Median Earnings
$899
Median Rent
$207,100
Median Home Value
Market
Vacancy Rate% for Retail in West region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Recently updated interior includes a barber-oriented layout, reception area, customer waiting space, and on-site parking.
Where is this retail space located?
The property is located at 420 E Foster Rd Las Cruces, NM.
What is the asking price?
The asking price for this property is $240,000.
What are key features of this property?
This property features: 1,120‑square‑foot free‑standing retail building; Recently remodeled interior; Barber shop layout with multiple stations
