Updated Flex Space with Covered
New
For Sale
$199,900
504 E Avenue C, Valley Mills, TX 76689
The building combines private rooms, open workspace, storage, and covered parking.
Property Size1,456 SF
Days on Market2
Property Features for 504 E Avenue C
General Information
Standard status
Active
Size
1,456 SF
Property subtype
Commercial
Zoning
Commerical and Residential
Site & Location
Highway Access
Yes
Utilities to Site
Yes
Building Details
Building Size
1,456 SF
Year Built
1950
Units
1
Listing Agency:
Rockin' KH Properties, LLC
(254) 717-7590
Listed By:
Kristy Hollingsworth · License #619656
(254) 717-7590
Source:
Vickiesteam
Added: Aug 21
Changed: Aug 22
Last Checked: Aug 22 at 7:25AM
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 Rockin' KH Properties, LLC
Investment Insights
Based on property information with market context.
This 1950 commercial building offers a flexible interior arrangement with a private front office, an open main area suitable for desks or partitions, and a rear private room with a sink, counter, shelving, and half bathroom. Interior improvements include rustic wood wall finishes, concrete floors, central heat and air, a window unit, and a tankless water heater. The property is zoned Commercial and Residential.
A covered front porch connects to the sidewalk, while parking is available along Hwy 6 and beneath two rear carports. Additional improvements include a storage building, metal roofing, seamless gutters, natural gas lines, and city utilities. The building has been used over time for a laundry business, art gallery, insurance office, clothing retailer, antique shop, and real estate office.
A covered front porch connects to the sidewalk, while parking is available along Hwy 6 and beneath two rear carports. Additional improvements include a storage building, metal roofing, seamless gutters, natural gas lines, and city utilities. The building has been used over time for a laundry business, art gallery, insurance office, clothing retailer, antique shop, and real estate office.
Key Highlights
- 1950 commercial building with Commercial and Residential zoning
- Private front office plus open main area for desks, partitions, or flex use
- Rear private room includes sink, counter, storage shelf, and half bathroom
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
$16,967
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
8.49%
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%
$339,340
$339.3K
Cap Rate 7%
$242,386
$242.4K
Cap Rate 9%
$188,522
$188.5K
Market Conditions
NOI Build-Up for 1,456 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
$27.1K $18.60/SF
− Vacancy
−$2.8K −$1.95/SF
EGI
$24.2K $16.65/SF
− OpEx
−$7.3K −$4.99/SF
NOI
$17.0K $11.65/SF
Area
Bosque County, TX
Vacancy
10.50%
Lease Rate
$18.60 /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%
$339,340
Cap Rate 7%
$242,386
Cap Rate 9%
$188,522
Alternative Uses
Best Use
Office B
$289.2K
$253.0K – $337.4K
NOI $20,242 @ 7.0% cap · market cap 10.13%
Second Best
Retail
$242.4K
$212.1K – $282.8K
NOI $16,967 @ 7.0% cap · market cap 8.49%
Theoretical Best
Office A
$384.1K
$336.1K – $448.2K
NOI $26,889 @ 7.0% cap · market cap 13.45%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
106
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 76689, TX
3,991
Population
1,782
Households
2.2
Avg Household Size
42
Median Age
20%
College-Educated
91%
High-School Grad
223.9 sq mi
ZIP Area
18
Density / Sq Mi
$76,250
Median Household Income
$46,881
Median Earnings
$1,135
Median Rent
$228,800
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Flex space - The building combines private rooms, open workspace, storage, and covered parking.
Where is this flex space located?
The property is located at 504 E Avenue C Valley Mills, TX.
What is the asking price?
The asking price for this property is $199,900.
What are key features of this property?
This property features: 1950 commercial building with Commercial and Residential zoning; Private front office plus open main area for desks, partitions, or flex use; Rear private room includes sink, counter, storage shelf, and half bathroom
