Medical Office Property with Work
For Sale
Contact for pricing
602 N Gray St, Caldwell, TX 77836
Medical office improvements include a detached specialty-work building, staff kitchenette, bathroom, workout area, and climate-controlled storage.
Property Size3,422 SF
Price / SF$144.65
Days on Market12
Property Features for 602 N Gray St
General Information
Standard status
Active
Size
3,422 SF
Property subtype
Office
Additional Details
Highway Access
Yes
Amenities
Specialty Work Rooms
Staff Break Room/kitchette
Bathroom
Work-Out Space
Climate Controlled Storage
Building Details
Year Built
1971
Buildings
2
Listing Agency:
Home & Ranch Real Estate
(979) 272-1759
Listed By:
Melinda K. Scott · License #TX 527396
Source:
Crexi
Added: Aug 11
Changed: Aug 21
Last Checked: Aug 22 at 5:06AM
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 Home & Ranch Real Estate
Investment Insights
Based on property information with market context.
The property includes a 2,200-square-foot medical office building constructed in 1971, with space previously used by Drgac Dental and occupied by a family practice for more than 25 years. The layout supports office and medical functions, with additional potential for breakout retail or private health, beauty, and salon booths as described in the property information.
A detached metal building adds more than 1,200 square feet of specialty work rooms, along with a staff break room and kitchenette, bathroom, workout space, and climate-controlled storage. The site also includes an asphalt parking lot for staff and guests. Located just off Hwy 21 in Caldwell, the property provides a dedicated setting for medical office operations and related professional uses.
A detached metal building adds more than 1,200 square feet of specialty work rooms, along with a staff break room and kitchenette, bathroom, workout space, and climate-controlled storage. The site also includes an asphalt parking lot for staff and guests. Located just off Hwy 21 in Caldwell, the property provides a dedicated setting for medical office operations and related professional uses.
Key Highlights
- 2,200 SF medical office building constructed in 1971
- Detached metal building with over 1,200 SF of specialty work rooms
- Staff break room/kitchenette, bathroom, workout space, and climate‑controlled storage
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
$45,004
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
9.09%
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%
$900,080
$900.1K
Cap Rate 7%
$642,914
$642.9K
Cap Rate 9%
$500,044
$500.0K
Market Conditions
NOI Build-Up for 3,422 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
$71.9K $21.00/SF
− Vacancy
−$11.9K −$3.47/SF
EGI
$60.0K $17.54/SF
− OpEx
−$15.0K −$4.38/SF
NOI
$45.0K $13.15/SF
Area
Burleson County, TX
Vacancy
16.50%
Lease Rate
$21.00 /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%
$900,080
Cap Rate 7%
$642,914
Cap Rate 9%
$500,044
Alternative Uses
Best Use
Office B
$642.9K
$562.6K – $750.1K
NOI $45,004 @ 7.0% cap · market cap 9.09%
Second Best
Healthcare Medical
$570.2K
$498.9K – $665.2K
NOI $39,914 @ 7.0% cap · market cap 8.06%
Theoretical Best
Office A
$842.6K
$737.3K – $983.1K
NOI $58,984 @ 7.0% cap · market cap 11.92%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
420
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 77836, TX
11,721
Population
5,990
Households
2
Avg Household Size
45
Median Age
22%
College-Educated
86%
High-School Grad
431.1 sq mi
ZIP Area
27
Density / Sq Mi
$79,567
Median Household Income
$45,291
Median Earnings
$869
Median Rent
$199,000
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Medical Office Space - Medical office improvements include a detached specialty-work building, staff kitchenette, bathroom, workout area, and climate-controlled storage.
Where is this medical office space located?
The property is located at 602 N Gray St Caldwell, TX.
What is the asking price?
The asking price for this property is $495,000.
What are key features of this property?
This property features: 2,200 SF medical office building constructed in 1971; Detached metal building with over 1,200 SF of specialty work rooms; Staff break room/kitchenette, bathroom, workout space, and climate‑controlled storage
