Multi-Tenant Neighborhood Retail
For Sale
$18,425,000
5007-6001 N 10th Street McAllen, McAllen, TX 78501
Multi-tenant neighborhood center plus a leased single-tenant retail building for diversified income within a shopping center portfolio.
Property Size91,394 SF
Days on Market51
Property Features for 5007-6001 N 10th Street McAllen
General Information
Standard status
Active
Size
91,394 SF
Property subtype
Commercial
Taxes and HOA fees
Annual Taxes
$228,664
Building Details
Building Size
91,394 SF
Year Built
2002
Listing Agency:
NAI STX
Listed By:
Laura Liza Paz
Source:
Primeluxuryrealestate
Added: Jun 23
Changed: Aug 8
Last Checked: Aug 11 at 12:28PM
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 NAI STX
Investment Insights
Based on property information with market context.
The offering includes two retail properties within the Town & Country Shopping Center portfolio. The primary asset is an 86,396 SF multi-tenant neighborhood center at 5007 N. 10th Street, described as having a high occupancy rate under triple-net leases. Tenant presence includes Office Depot, Edible Arrangements, El Divino, Luka, and Salciados Seafood Restaurant, supporting a diverse retail and restaurant mix.
A second property is located at 6001 N. 10th Street. This 4,998 SF single-tenant building was built in 2005 on 0.82 acres and is currently leased to the North 10th Street Animal Hospital. The property is described as located less than half a mile from the main center, with frontage along N. 10th Street.
For buyers seeking a retail investment with an established tenant base, the combination of a larger multi-tenant center and a nearby single-tenant building provides two income-producing components within the same portfolio. For brokers and tenants, the presence of nationally and regionally recognized tenants and an existing operational tenant mix can support straightforward merchandising and ongoing neighborhood shopping activity.
A second property is located at 6001 N. 10th Street. This 4,998 SF single-tenant building was built in 2005 on 0.82 acres and is currently leased to the North 10th Street Animal Hospital. The property is described as located less than half a mile from the main center, with frontage along N. 10th Street.
For buyers seeking a retail investment with an established tenant base, the combination of a larger multi-tenant center and a nearby single-tenant building provides two income-producing components within the same portfolio. For brokers and tenants, the presence of nationally and regionally recognized tenants and an existing operational tenant mix can support straightforward merchandising and ongoing neighborhood shopping activity.
Key Highlights
- Town & Country Shopping Center retail portfolio with two properties totaling 6.8 acres
- 5007 N. 10th Street: 86,396 SF multi‑tenant neighborhood center built in 2002 under triple‑net leases
- Anchored by national/regional tenants including Office Depot and other established retail and dining tenants
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
$1,304,492
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%
$26,089,840
$26.1M
Cap Rate 7%
$18,635,600
$18.6M
Cap Rate 9%
$14,494,356
$14.5M
Market Conditions
NOI Build-Up for 91,394 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
$1.97M $21.60/SF
− Vacancy
−$110.6K −$1.21/SF
EGI
$1.86M $20.39/SF
− OpEx
−$559.1K −$6.12/SF
NOI
$1.30M $14.27/SF
Area
McAllen, TX
Vacancy
5.60%
Lease Rate
$21.60 /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%
$26,089,840
Cap Rate 7%
$18,635,600
Cap Rate 9%
$14,494,356
Alternative Uses
Best Use
Retail
$18.64M
$16.31M – $21.74M
NOI $1,304,492 @ 7.0% cap · market cap 7.08%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$24.82M
$21.72M – $28.95M
NOI $1,737,217 @ 7.0% cap · market cap 9.43%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,143
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 78501, TX
60,817
Population
24,807
Households
2.5
Avg Household Size
37
Median Age
27%
College-Educated
77%
High-School Grad
15.5 sq mi
ZIP Area
3,924
Density / Sq Mi
$49,451
Median Household Income
$29,092
Median Earnings
$943
Median Rent
$149,000
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Shopping center - Multi-tenant neighborhood center plus a leased single-tenant retail building for diversified income within a shopping center portfolio.
Where is this shopping center located?
The property is located at 5007-6001 N 10th Street McAllen McAllen, TX.
What is the asking price?
The asking price for this property is $18,425,000.
What are key features of this property?
This property features: Town & Country Shopping Center retail portfolio with two properties totaling 6.8 acres; 5007 N. 10th Street: 86,396 SF multi‑tenant neighborhood center built in 2002 under triple‑net leases; Anchored by national/regional tenants including Office Depot and other established retail and dining tenants
