Versatile Commercial Property Near Downtown
For Sale
$1,200,000
5515 Parkdale Drive, Dallas, TX 75227
Updated 5200 sq ft commercial property with development potential.
Property Size5,200 SF
Lot Size0.69 Acres
Price / SF$230.77
Days on Market624
Property Features for 5515 Parkdale Drive
General Information
Standard status
Active
Size
5,200 SF
Lot size
0.69 Acres
Property subtype
Commercial/Industrial
Building Details
Year Built
1962
Listing Agency:
The Michael Group Real Estate
(469) 363-0209
Listed By:
Charles Horton · License #0546099
(469) 363-0209
Source:
Exitrealty
Added: Nov 26, 2024
Changed: Aug 8
Last Checked: Aug 8 at 5:27AM
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 The Michael Group Real Estate
Investment Insights
Based on property information with market context.
This updated commercial property offers 5200 sq. ft. of space and versatility. Currently operating as a furniture manufacturing facility, the building is suitable for industrial, warehouse, manufacturing, retail, or office suites. The property includes two entrances, one on Military Parkway and another on Parkdale Drive. A heated shop area and two loading bays with overhead doors support operational efficiency. Ample parking is available within the fully fenced lot. The property is zoned PD 323, which allows for a variety of approved uses. It is located near downtown Dallas, approximately 5 minutes from I-30, 10 minutes from downtown Dallas, and 15 minutes from Interstates 35E, 75, and 45. The lot size is approximately 30,000 sq ft; the final measurement will be determined by survey.
Key Highlights
- Versatile 5200 sq. ft. commercial property suitable for various uses.
- Strategic location near downtown Dallas: quick access to major interstates.
- PD 323 Zoning offers a variety of approved uses.
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
$83,670
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
6.97%
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%
$1,673,400
$1.7M
Cap Rate 7%
$1,195,286
$1.2M
Cap Rate 9%
$929,667
$929.7K
Market Conditions
NOI Build-Up for 5,200 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
$125.4K $24.12/SF
− Vacancy
−$5.9K −$1.13/SF
EGI
$119.5K $22.99/SF
− OpEx
−$35.9K −$6.90/SF
NOI
$83.7K $16.09/SF
Area
ZIP 75227
Vacancy
4.70%
Lease Rate
$24.12 /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%
$1,673,400
Cap Rate 7%
$1,195,286
Cap Rate 9%
$929,667
Alternative Uses
Best Use
Office B
$4.27M
$3.74M – $4.98M
NOI $298,955 @ 7.0% cap · market cap 24.91%
Second Best
Retail
$1.20M
$1.05M – $1.39M
NOI $83,670 @ 7.0% cap · market cap 6.97%
Theoretical Best
Office A
$5.69M
$4.98M – $6.64M
NOI $398,420 @ 7.0% cap · market cap 33.20%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
198
Businesses Nearby
Explore this area
Business Placement
Demographics for 75227, TX
59,103
Population
19,605
Households
3
Avg Household Size
32
Median Age
14%
College-Educated
71%
High-School Grad
11.6 sq mi
ZIP Area
5,095
Density / Sq Mi
$59,395
Median Household Income
$37,641
Median Earnings
$1,277
Median Rent
$203,000
Median Home Value
Market
Vacancy Rate% for Office in Dallas, TX
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Manufacturing property - Updated 5200 sq ft commercial property with development potential.
Where is this manufacturing property located?
The property is located at 5515 Parkdale Drive Dallas, TX.
What is the asking price?
The asking price for this property is $1,200,000.
What are key features of this property?
This property features: Versatile 5200 sq. ft. commercial property suitable for various uses.; Strategic location near downtown Dallas: quick access to major interstates.; PD 323 Zoning offers a variety of approved uses.
