Two-Story Retail Building with
For Sale
Contact for pricing
523 E Idaho Ave, Las Cruces, NM 88001
Two-story standalone building with a drive-thru, on-site kitchen, and ample parking on C-2 commercial land.
Property Size6,904 SF
Lot Size1.72 Acres
Price / SF$238.99
Days on Market204
Property Features for 523 E Idaho Ave
General Information
Standard status
Active
Size
6,904 SF
Lot size
1.72 Acres
Property subtype
Office, Retail
Zoning
C-2
Lease Type
Modified Gross
Building Details
Stories
2
Listing Agency:
NAI 1st Valley
Listed By:
Jessie Carreon · License #NM 53098
(575) 521-1535
Source:
Crexi
Added: Feb 16
Changed: Aug 27
Last Checked: Sep 7 at 5:03AM
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 1st Valley
Investment Insights
Based on property information with market context.
This two-story standalone commercial building includes a drive-thru and an on-site kitchen, with flexible-use potential to support a variety of retail and service concepts. The property is set up with ample parking for customer access.
The site is offered for sale and includes approximately 1.72 acres of land. There is additional land on site for potential expansion, and the property is zoned C-2 (Commercial).
With its two-level layout and dedicated drive-thru component, the building is well suited for operators seeking a standalone facility designed for easy vehicle-based access.
The site is offered for sale and includes approximately 1.72 acres of land. There is additional land on site for potential expansion, and the property is zoned C-2 (Commercial).
With its two-level layout and dedicated drive-thru component, the building is well suited for operators seeking a standalone facility designed for easy vehicle-based access.
Key Highlights
- Two‑story standalone building with drive‑thru on C‑2 commercial zoning
- On‑site kitchen included
- Ample parking for vehicles and visitors
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
$56,022
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
3.40%
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%
$1,120,440
$1.1M
Cap Rate 7%
$800,314
$800.3K
Cap Rate 9%
$622,467
$622.5K
Market Conditions
NOI Build-Up for 6,904 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
$87.0K $12.60/SF
− Vacancy
−$7.0K −$1.01/SF
EGI
$80.0K $11.59/SF
− OpEx
−$24.0K −$3.48/SF
NOI
$56.0K $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%
$1,120,440
Cap Rate 7%
$800,314
Cap Rate 9%
$622,467
Alternative Uses
Best Use
Retail
$800.3K
$700.3K – $933.7K
NOI $56,022 @ 7.0% cap · market cap 3.40%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.21M
$1.06M – $1.41M
NOI $84,571 @ 7.0% cap · market cap 5.13%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,662
Businesses Nearby
Explore this area
Business Placement
Demographics for 88001, NM
36,831
Population
16,985
Households
2.2
Avg Household Size
30
Median Age
29%
College-Educated
83%
High-School Grad
11.1 sq mi
ZIP Area
3,318
Density / Sq Mi
$32,978
Median Household Income
$23,195
Median Earnings
$797
Median Rent
$158,300
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 - Two-story standalone building with a drive-thru, on-site kitchen, and ample parking on C-2 commercial land.
Where is this retail space located?
The property is located at 523 E Idaho Ave Las Cruces, NM.
What is the asking price?
The asking price for this property is $1,650,000.
What are key features of this property?
This property features: Two‑story standalone building with drive‑thru on C‑2 commercial zoning; On‑site kitchen included; Ample parking for vehicles and visitors
