Mixed-Use Income
For Sale
$750,000
4245 SOUTHMOST RD., Brownsville, TX 78521
Refurbished two-story building with three units, including two-bedroom, one-bedroom, and a 1,600-sqft office/retail space.
Property Size3,250 SF
Price / SF$230.77
Days on Market1953
Property Features for 4245 SOUTHMOST RD.
General Information
Standard status
Active
Size
3,250 SF
Property subtype
General Commercial
Amenities
3
12 Parking Spaces. Paved Driveway.
City Road.
Building Details
Year Built
1995
Stories
2
Listing Agency:
RGV Realty, LLC
(956) 621-3440
Listed By:
Luis Velasco · License #0435205
(956) 639-1362
Source:
Xome
Added: May 4, 2021
Changed: Sep 2
Last Checked: Sep 7 at 5:59AM
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 RGV Realty, LLC
Investment Insights
Based on property information with market context.
This refurbished two-story income building offers three apartments plus a large interior space currently described as suitable for office, retail, or a party place. The upper level includes one apartment with two bedrooms and one bathroom, along with an additional one-bedroom unit. The remaining 1,600-square-foot space is positioned as flexible for office or retail-oriented use, and the property is presented as “like new.”
The building totals 5,000 square feet and is offered for sale. The seller indicates owner financing is available with a $200,000 down payment.
The building totals 5,000 square feet and is offered for sale. The seller indicates owner financing is available with a $200,000 down payment.
Key Highlights
- Refurbished two‑story building built in 1995 with 3 total units plus a 1,600 SF office/retail/party space
- Unit mix includes two 2‑bedroom, 1‑bath units and one 1‑bedroom unit
- Total building size: 5,000 SF
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
$30,925
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
4.12%
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%
$618,500
$618.5K
Cap Rate 7%
$441,786
$441.8K
Cap Rate 9%
$343,611
$343.6K
Market Conditions
NOI Build-Up for 3,250 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
$46.8K $14.40/SF
− Vacancy
−$2.6K −$0.81/SF
EGI
$44.2K $13.59/SF
− OpEx
−$13.3K −$4.08/SF
NOI
$30.9K $9.52/SF
Area
Brownsville, TX
Vacancy
5.60%
Lease Rate
$14.40 /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%
$618,500
Cap Rate 7%
$441,786
Cap Rate 9%
$343,611
Alternative Uses
Best Use
Retail
$441.8K
$386.6K – $515.4K
NOI $30,925 @ 7.0% cap · market cap 4.12%
Second Best
Office B
$426.2K
$372.9K – $497.3K
NOI $29,835 @ 7.0% cap · market cap 3.98%
Theoretical Best
Healthcare Medical
$559.6K
$489.7K – $652.9K
NOI $39,172 @ 7.0% cap · market cap 5.22%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
332
Businesses Nearby
Explore this area
Business Placement
Demographics for 78521, TX
88,708
Population
29,576
Households
3
Avg Household Size
32
Median Age
15%
College-Educated
62%
High-School Grad
93.7 sq mi
ZIP Area
947
Density / Sq Mi
$41,276
Median Household Income
$24,781
Median Earnings
$864
Median Rent
$90,500
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?
Triplex - Refurbished two-story building with three units, including two-bedroom, one-bedroom, and a 1,600-sqft office/retail space.
Where is this triplex located?
The property is located at 4245 SOUTHMOST RD. Brownsville, TX.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: Refurbished two‑story building built in 1995 with 3 total units plus a 1,600 SF office/retail/party space; Unit mix includes two 2‑bedroom, 1‑bath units and one 1‑bedroom unit; Total building size: 5,000 SF
