Multi-Tenant Warehouse
For Sale
$5,600,000
5801 Breen Dr, Houston, TX 77086
Eight-building industrial property offers grade-level loading and heavy three-phase power.
Property Size50,000 SF
Price / SF$112
Days on Market148
Property Features for 5801 Breen Dr
General Information
Standard status
Active
Size
50,000 SF
Property subtype
Warehouse
Amenities
50,000-Square-Foot Multi-Tenant Shallow-Bay Industrial Asset on 3.84 Acres
Modern 2021 Construction Featuring 18' Clear Height, Eight Buildings, 28 Units, 40 (16') Grade-Level Doors, Three-Phase Heavy Power, Metal Construction, & 127 Parking Spaces
In-Place Cash Flow With Significant Lease-Up Opportunity With 60% Occupancy
Multi-Tenant Configuration Provides Diverse Income Stream With Premium Tenant Parking Available
Strategically Located in Densely Populated Highway 290/Tomball Parkway Submarket in Northwest Houston
Building Details
Building Size
50,000 SF
Year Built
2021
Listing Agency:
Marcus & Millichap - Dallas
Listed By:
Adam Abushagur · License #License(s): TX: 661916
(972) 755-5223
Source:
Marcusmillichap
Added: Apr 8
Changed: Aug 31
Last Checked: Aug 31 at 3:22AM
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 Marcus & Millichap - Dallas
Investment Insights
Based on property information with market context.
This 50,000-square-foot warehouse complex spans 3.84 acres and includes eight metal buildings with 28 units. Built in 2021, the shallow-bay industrial property provides 18-foot clear heights, 40 grade-level doors measuring 16 feet, and three-phase heavy power. A total of 127 parking spaces serves tenants and visitors across the site.
The property is located at 5801 Breen Dr in Houston’s Highway 290/Tomball Parkway submarket in Northwest Houston, with access to major transportation routes. Current occupancy is 60 percent, and the multi-tenant layout supports a range of industrial operations while distributing occupancy across multiple units.
The property is located at 5801 Breen Dr in Houston’s Highway 290/Tomball Parkway submarket in Northwest Houston, with access to major transportation routes. Current occupancy is 60 percent, and the multi-tenant layout supports a range of industrial operations while distributing occupancy across multiple units.
Key Highlights
- 50,000‑square‑foot industrial complex on 3.84 acres
- Eight buildings containing 28 units
- 40 (16’) grade‑level doors support loading and unloading
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
$368,016
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
6.57%
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%
$7,360,320
$7.4M
Cap Rate 7%
$5,257,371
$5.3M
Cap Rate 9%
$4,089,067
$4.1M
Market Conditions
NOI Build-Up for 50,000 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
$480.0K $9.60/SF
− Vacancy
−$47.0K −$0.94/SF
EGI
$433.0K $8.66/SF
− OpEx
−$64.9K −$1.30/SF
NOI
$368.0K $7.36/SF
Area
Houston, TX
Vacancy
9.80%
Lease Rate
$9.60 /SF/Yr
Expense Ratio
15.00%
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%
$7,360,320
Cap Rate 7%
$5,257,371
Cap Rate 9%
$4,089,067
Alternative Uses
Best Use
Warehouse
$5.26M
$4.60M – $6.13M
NOI $368,016 @ 7.0% cap · market cap 6.57%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$12.86M
$11.25M – $15.00M
NOI $900,000 @ 7.0% cap · market cap 16.07%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
403
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 77086, TX
29,366
Population
9,315
Households
3.2
Avg Household Size
32
Median Age
11%
College-Educated
71%
High-School Grad
6.8 sq mi
ZIP Area
4,319
Density / Sq Mi
$58,184
Median Household Income
$29,882
Median Earnings
$1,199
Median Rent
$196,300
Median Home Value
Market
Vacancy Rate% for Industrial in Houston, TX
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Warehouse - Eight-building industrial property offers grade-level loading and heavy three-phase power.
Where is this warehouse located?
The property is located at 5801 Breen Dr Houston, TX.
What is the asking price?
The asking price for this property is $5,600,000.
What are key features of this property?
This property features: 50,000‑square‑foot industrial complex on 3.84 acres; Eight buildings containing 28 units; 40 (16’) grade‑level doors support loading and unloading
