New Flex Building with
For Sale
Contact for pricing
5620 FM 1788 Lot 3, Midland, TX 79706
Newly built flex property combines office, warehouse, and covered wash-bay functions.
Property Size10,750 SF
Lot Size4.77 Acres
Price / SF$205
Days on Market206
Property Features for 5620 FM 1788 Lot 3
General Information
Standard status
Active
Size
10,750 SF
Lot size
4.77 Acres
Property subtype
Industrial
Warehouse & Industrial
Warehouse Space
5,500 SF
Office Build-Out
2,000 SF
Drive-In Doors
6
Three-Phase Power
Yes
Additional Details
Utilities to Site
Yes
Amenities
private offices
conference room
kitchen/breakroom
storage office
executive office
apartment
bathrooms
shower
fiber internet
paved parking
Building Details
Year Built
2025
Buildings
1
Building Size
10,750 SF
Listing Agency:
NRG Realty Group
(432) 352-6714
Listed By:
Amy Brasher Barnett · License #TX 514276
Source:
Crexi
Added: Feb 1
Changed: Aug 15
Last Checked: Aug 25 at 7:39AM
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 NRG Realty Group
Investment Insights
Based on property information with market context.
Completed in 2025, this 10,750-square-foot flex property on 4.769 acres combines office, warehouse, and service-oriented improvements. The primary office area measures 2,000 square feet and includes eight private offices, a conference room, two bathrooms, a kitchen/breakroom, and a storage office. A second-floor 2,000-square-foot area adds an executive office and apartment.
The 5,500-square-foot insulated warehouse is configured for 10-ton crane installation and includes three drive-through bays with six 14' x 16' overhead doors. An additional office and a bathroom with shower support warehouse operations. A 1,250-square-foot covered drive-through wash-bay is positioned at the rear. The property also provides fiber internet access, 20 GPM water capacity, 3-Phase power, and paved asphalt parking.
The 5,500-square-foot insulated warehouse is configured for 10-ton crane installation and includes three drive-through bays with six 14' x 16' overhead doors. An additional office and a bathroom with shower support warehouse operations. A 1,250-square-foot covered drive-through wash-bay is positioned at the rear. The property also provides fiber internet access, 20 GPM water capacity, 3-Phase power, and paved asphalt parking.
Key Highlights
- 10,750 SF building completed in 2025 on 4.769 acres
- 2,000 SF office area with 8 private offices, conference room, kitchen/breakroom, and 2 bathrooms
- 5,500 SF insulated warehouse prepared for a 10‑ton crane
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
$130,032
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
5.90%
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%
$2,600,640
$2.6M
Cap Rate 7%
$1,857,600
$1.9M
Cap Rate 9%
$1,444,800
$1.4M
Market Conditions
NOI Build-Up for 10,750 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
$206.4K $19.20/SF
− Vacancy
−$33.0K −$3.07/SF
EGI
$173.4K $16.13/SF
− OpEx
−$43.3K −$4.03/SF
NOI
$130.0K $12.10/SF
Area
Midland, TX
Vacancy
16.00%
Lease Rate
$19.20 /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%
$2,600,640
Cap Rate 7%
$1,857,600
Cap Rate 9%
$1,444,800
Alternative Uses
Best Use
Office B
$1.86M
$1.63M – $2.17M
NOI $130,032 @ 7.0% cap · market cap 5.90%
Second Best
Warehouse
$1.67M
$1.46M – $1.95M
NOI $117,090 @ 7.0% cap · market cap 5.31%
Theoretical Best
Office A
$2.54M
$2.22M – $2.96M
NOI $177,504 @ 7.0% cap · market cap 8.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Drive-in doors
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
79
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 79706, TX
31,805
Population
12,368
Households
2.6
Avg Household Size
32
Median Age
23%
College-Educated
87%
High-School Grad
689.5 sq mi
ZIP Area
46
Density / Sq Mi
$110,988
Median Household Income
$58,023
Median Earnings
$897
Median Rent
$280,500
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Newly built flex property combines office, warehouse, and covered wash-bay functions.
Where is this flex space located?
The property is located at 5620 FM 1788 Lot 3 Midland, TX.
What is the asking price?
The asking price for this property is $2,203,750.
What are key features of this property?
This property features: 10,750 SF building completed in 2025 on 4.769 acres; 2,000 SF office area with 8 private offices, conference room, kitchen/breakroom, and 2 bathrooms; 5,500 SF insulated warehouse prepared for a 10‑ton crane
