Remodeled Medical Office
New
For Sale
$795,000
638 Londonderry Lane, Denton, TX 76205
CommercialSale, Denton, TX
Property Size3,380 SF
Lot Size0.19 Acres
Price / SF$235.21
Days on Market2
Property Features for 638 Londonderry Lane
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning description
SC - Suburban Corridor
Parking features
Parking Lot, Open
Security features
Security
Subdivision
Teasley Mall
Directions
From I-35E, take the Teasley Lane exit and head north on Teasley Lane. Continue approximately 0.3 miles to Londonderry Lane. Property is located at the corner of Teasley Lane and Londonderry Lane.
Standard status
Active
APN
R122060
Lot size
0.19 Acres
Taxes and HOA fees
Tax Description
TEASLEY MALL BLK A LOT 1R(W PART)
Tax Annual Amount
8992
Legal Description
TEASLEY MALL BLK A LOT 1R(W PART)
Utilities
Sewer type
Public Sewer
Heating system
Central, Natural Gas
Cooling system
Central Air, Electric, Ceiling Fan(s)
Water source
Public
Building Details
Year built
1976
Floors in Building
2
Number of units
1
Flooring type
Simulatedwood, Carpet, Reclaimedwood
Building materials
Concrete, StoneVeneer
Roof type
Shingle, Composition
Listing Agency:
Frazier Group Property Management
(940) 566-7005
Listed By:
Cole Frazier · License #0610825
(940) 566-0404
Added: Sep 2
Last Checked: Sep 3 at 5:06PM
MLS# 21374312
Copyright © 2026 North Texas Real Estate Information Systems, Inc. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
Remodeled medical office space at 638 Londonderry Lane in Denton, positioned at the intersection of Teasley Lane and Londonderry Lane. The two-level layout includes eight private exam rooms or offices, a dedicated entrance with lobby, rooms compatible with X-ray equipment, and an ADA restroom.
The property is approximately 0.3 miles from I-35E and includes an on-site open parking lot. Concrete and stone veneer construction, public water, public sewer, central heating, and central air support the existing office configuration. Flooring includes simulated wood, carpet, and reclaimed wood finishes.
The property is approximately 0.3 miles from I-35E and includes an on-site open parking lot. Concrete and stone veneer construction, public water, public sewer, central heating, and central air support the existing office configuration. Flooring includes simulated wood, carpet, and reclaimed wood finishes.
Key Highlights
- Eight private exam rooms or offices
- Remodeled two‑level medical office property
- X‑ray‑compatible rooms and ADA restroom
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
$53,045
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
6.67%
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%
$1,060,900
$1.1M
Cap Rate 7%
$757,786
$757.8K
Cap Rate 9%
$589,389
$589.4K
Market Conditions
NOI Build-Up for 3,380 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
$91.3K $27.00/SF
− Vacancy
−$20.5K −$6.08/SF
EGI
$70.7K $20.93/SF
− OpEx
−$17.7K −$5.23/SF
NOI
$53.0K $15.69/SF
Area
Denton, TX
Vacancy
22.50%
Lease Rate
$27.00 /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%
$1,060,900
Cap Rate 7%
$757,786
Cap Rate 9%
$589,389
Alternative Uses
Best Use
Office B
$757.8K
$663.1K – $884.1K
NOI $53,045 @ 7.0% cap · market cap 6.67%
Second Best
Healthcare Medical
$704.0K
$616.0K – $821.3K
NOI $49,280 @ 7.0% cap · market cap 6.20%
Theoretical Best
Office A
$1.06M
$924.0K – $1.23M
NOI $73,921 @ 7.0% cap · market cap 9.30%
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
635
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 76205, TX
18,969
Population
8,114
Households
2.3
Avg Household Size
29
Median Age
39%
College-Educated
88%
High-School Grad
8.3 sq mi
ZIP Area
2,285
Density / Sq Mi
$65,322
Median Household Income
$31,173
Median Earnings
$1,368
Median Rent
$307,900
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 - Two-level facility with private rooms, an entry lobby, imaging-ready rooms, and an ADA restroom.
Where is this medical office space located?
The property is located at 638 Londonderry Lane Denton, TX.
What is the asking price?
The asking price for this property is $795,000.
What are key features of this property?
This property features: Eight private exam rooms or offices; Remodeled two‑level medical office property; X‑ray‑compatible rooms and ADA restroom
