Katy Industrial Property Near
For Sale
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5350 East 5th Street, Katy, TX 77493
16,500 SF industrial property with easy access to I-10.
Property Size16,500 SF
Price / SF$154.55
Days on Market98
Property Features for 5350 East 5th Street
General Information
Standard status
Active
Size
16,500 SF
Class
A
Property subtype
Retail, Industrial, Mixed Use
Zoning
C-1, Commercial District
Occupancy
91%
Investment Type
Stabilized
Net Operating Income
$202,350
Building Details
Year Built
2021
Tenancy
Multi
Listing Agency:
VeMex Investments
(281) 599-7600
Listed By:
Neil Sinclair · License #TX 9004054
Source:
Crexi
Added: May 25
Changed: Aug 20
Last Checked: Aug 29 at 9:53AM
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 VeMex Investments
Investment Insights
Based on property information with market context.
Located in a prime Katy location, the 5th St Business Park offers a 16,500 SF metal building suitable for industrial use. The property provides convenient access to I-10 and the Grand Parkway. The building features full insulation, LED energy-efficient lighting, and an 18-foot eave height. A full HVAC system is installed in the largest tenant space, which measures 10,500 SF. Each bay is equipped with one 12' x 12' grade-level insulated door, facilitating loading operations for tenants.
Key Highlights
- Prime Katy location with easy access to I‑10 and Grand Parkway.
- 16,500 SF metal building with 10,500 SF space having a full HVAC system.
- 18‑foot eave height.
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
$83,981
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
3.29%
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%
$1,679,620
$1.7M
Cap Rate 7%
$1,199,729
$1.2M
Cap Rate 9%
$933,122
$933.1K
Market Conditions
NOI Build-Up for 16,500 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
$128.0K $7.76/SF
− Vacancy
−$8.1K −$0.49/SF
EGI
$120.0K $7.27/SF
− OpEx
−$36.0K −$2.18/SF
NOI
$84.0K $5.09/SF
Area
Fort Bend County, TX
Vacancy
6.30%
Lease Rate
$7.76 /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%
$1,679,620
Cap Rate 7%
$1,199,729
Cap Rate 9%
$933,122
Alternative Uses
Best Use
Industrial
$1.20M
$1.05M – $1.40M
NOI $83,981 @ 7.0% cap · market cap 3.29%
Second Best
Flex RnD
$1.15M
$1.01M – $1.35M
NOI $80,797 @ 7.0% cap · market cap 3.17%
Theoretical Best
Multifamily LT 5
$205.55M
$179.86M – $239.81M
NOI $14,388,477 @ 7.0% cap · market cap 564.25%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,269
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 77493, TX
51,774
Population
20,552
Households
2.5
Avg Household Size
34
Median Age
44%
College-Educated
92%
High-School Grad
61.8 sq mi
ZIP Area
838
Density / Sq Mi
$113,388
Median Household Income
$52,940
Median Earnings
$1,806
Median Rent
$321,900
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Similar Off Market Nearby
- Chez Grill Catering and Special Events — 5304 E 5th St, Katy, TX 77493
Frequently Asked Questions
What type of property is this?
Flex space - 16,500 SF industrial property with easy access to I-10.
Where is this flex space located?
The property is located at 5350 East 5th Street Katy, TX.
What is the asking price?
The asking price for this property is $2,550,000.
What are key features of this property?
This property features: Prime Katy location with easy access to I‑10 and Grand Parkway.; 16,500 SF metal building with **10,500 SF space having a full HVAC system.**; 18‑foot eave height.
