Historic Galveston Carriage
For Sale
$825,000
Pending
523 24th St, Galveston, TX 77550
Historic live-work building with income potential in downtown Galveston.
Property Size10,248 SF
Lot Size0.12 Acres
Days on Market168
Property Features for 523 24th St
General Information
Standard status
Pending
Size
10,248 SF
Lot size
0.12 Acres
Property subtype
Investment
Lease Term
Month-to-month
Taxes and HOA fees
Annual Taxes
$13,615
Building Details
Building Size
10,248 SF
Year Built
1865
Stories
2
Listing Agency:
(845) 519-0118
Listed By:
Brian Schwenk · License #0630491
(845) 519-0118
Source:
Elliman
Added: Mar 10
Changed: Aug 15
Last Checked: Jul 31 at 10:07AM
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 Brian Schwenk
Investment Insights
Based on property information with market context.
The Galveston Carriage Place, situated at 523 24th Street in downtown Galveston, is a historically significant building dating back to 1865. Originally, it served as both the business premises and residence of Frederick D. Schmidt, who was a blacksmith, horseshoer, and carriage manufacturer. Schmidt operated his business on the ground floor and lived upstairs, retaining ownership of the property until 1944. Today, the building presents a unique live-work opportunity for buyers, with the potential for rental income. The property includes four fully occupied units, ranging in size from approximately 992 to 3,475 square feet. Several tenants are interested in remaining, providing immediate income for a new owner. Each unit is separately metered for electricity, while water and trash services are included in the rent. The building is located steps away from numerous restaurants, shops, bars, and attractions.
Key Highlights
- Historically significant building (circa 1865) in downtown Galveston.
- Unique live‑work opportunity with rental income potential.
- Currently 4 fully occupied units, providing immediate income.
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
$44,486
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
5.39%
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%
$889,720
$889.7K
Cap Rate 7%
$635,514
$635.5K
Cap Rate 9%
$494,289
$494.3K
Market Conditions
NOI Build-Up for 3,475 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
$80.5K $23.16/SF
− Vacancy
−$21.2K −$6.09/SF
EGI
$59.3K $17.07/SF
− OpEx
−$14.8K −$4.27/SF
NOI
$44.5K $12.80/SF
Area
Galveston County, TX
Vacancy
26.30%
Lease Rate
$23.16 /SF/Yr
Expense Ratio
25.00%
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%
$889,720
Cap Rate 7%
$635,514
Cap Rate 9%
$494,289
Alternative Uses
Best Use
Apartment 5plus
$33.79M
$29.57M – $39.42M
NOI $2,365,431 @ 7.0% cap · market cap 286.72%
Second Best
Office B
$635.5K
$556.1K – $741.4K
NOI $44,486 @ 7.0% cap · market cap 5.39%
Theoretical Best
Multifamily LT 5
$38.96M
$34.09M – $45.45M
NOI $2,727,193 @ 7.0% cap · market cap 330.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,120
Businesses Nearby
Explore this area
Business Placement
Demographics for 77550, TX
24,247
Population
15,811
Households
1.5
Avg Household Size
41
Median Age
33%
College-Educated
87%
High-School Grad
7.6 sq mi
ZIP Area
3,190
Density / Sq Mi
$46,262
Median Household Income
$35,800
Median Earnings
$1,182
Median Rent
$283,800
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?
Apartment building - Historic live-work building with income potential in downtown Galveston.
Where is this apartment building located?
The property is located at 523 24th St Galveston, TX.
What is the asking price?
The asking price for this property is $825,000.
What are key features of this property?
This property features: Historically significant building (circa 1865) in downtown Galveston.; Unique live‑work opportunity with rental income potential.; Currently 4 fully occupied units, providing immediate income.
