Leased Retail Condo
For Sale
$565,000
6208 Hillside Road, Amarillo, TX 79109
Retail condo space offered for sale with an existing NNN tenant in place through the Hillside Suites Condo Association.
Property Size2,400 SF
Price / SF$235.42
Days on Market60
Property Features for 6208 Hillside Road
General Information
Standard status
Active
Size
2,400 SF
Property subtype
Commercial
Occupancy
100%
Additional Details
Cap Rate
8%
Building Details
Year Built
2008
Listing Agency:
Team West Realty
(806) 223-8081
Listed By:
Louis Homen · License #TX0511255
Source:
Shopamarillohomes
Added: Jun 25
Changed: Aug 16
Last Checked: Aug 23 at 5:36AM
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 Team West Realty
Investment Insights
Based on property information with market context.
This offering is a retail condo space currently leased under a NNN structure to Palm Beach Tan. The purchase is for the space with the tenant in place, with no additional involvement with the tenant’s business operations.
The property is located at 6208 Hillside Road in Amarillo, Texas. The retail condo is part of the Hillside Suites Condo Association, which handles CAM operations and fees, supporting the NNN expense approach for the unit.
For buyers looking to acquire a leased retail condo with NNN characteristics, this asset provides immediate tenancy with Palm Beach Tan as the current occupant. Confidential lease documentation is available following an executed NDA and client proof of funds. The seller is marketing the space at an approximate 8% cap rate. Tenancy history noted in the remarks indicates strong leasing continuity, with tenants leasing since 2013, and the retail center operating successfully since 2008.
The property is located at 6208 Hillside Road in Amarillo, Texas. The retail condo is part of the Hillside Suites Condo Association, which handles CAM operations and fees, supporting the NNN expense approach for the unit.
For buyers looking to acquire a leased retail condo with NNN characteristics, this asset provides immediate tenancy with Palm Beach Tan as the current occupant. Confidential lease documentation is available following an executed NDA and client proof of funds. The seller is marketing the space at an approximate 8% cap rate. Tenancy history noted in the remarks indicates strong leasing continuity, with tenants leasing since 2013, and the retail center operating successfully since 2008.
Key Highlights
- Retail condo space built in 2008 with an existing NNN lease in place
- Currently leased to Palm Beach Tan under a tenant‑in‑place arrangement
- Approx. 8% CAP rate offered for the leased space
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
$23,184
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
4.10%
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%
$463,680
$463.7K
Cap Rate 7%
$331,200
$331.2K
Cap Rate 9%
$257,600
$257.6K
Market Conditions
NOI Build-Up for 2,400 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
$36.0K $15.00/SF
− Vacancy
−$2.9K −$1.20/SF
EGI
$33.1K $13.80/SF
− OpEx
−$9.9K −$4.14/SF
NOI
$23.2K $9.66/SF
Area
Amarillo, TX
Vacancy
8.00%
Lease Rate
$15.00 /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%
$463,680
Cap Rate 7%
$331,200
Cap Rate 9%
$257,600
Alternative Uses
Best Use
Retail
$331.2K
$289.8K – $386.4K
NOI $23,184 @ 7.0% cap · market cap 4.10%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$535.8K
$468.9K – $625.2K
NOI $37,509 @ 7.0% cap · market cap 6.64%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
329
Businesses Nearby
Explore this area
Business Placement
Demographics for 79109, TX
42,509
Population
20,308
Households
2.1
Avg Household Size
39
Median Age
33%
College-Educated
93%
High-School Grad
10.3 sq mi
ZIP Area
4,127
Density / Sq Mi
$68,579
Median Household Income
$41,410
Median Earnings
$945
Median Rent
$217,600
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
NNN property - Retail condo space offered for sale with an existing NNN tenant in place through the Hillside Suites Condo Association.
Where is this nnn property located?
The property is located at 6208 Hillside Road Amarillo, TX.
What is the asking price?
The asking price for this property is $565,000.
What are key features of this property?
This property features: Retail condo space built in 2008 with an existing NNN lease in place; Currently leased to Palm Beach Tan under a tenant‑in‑place arrangement; Approx. 8% CAP rate offered for the leased space
