Restaurant Building with Commercial
For Sale
$499,000
6701 S Jackson Road, Pharr, TX 78577
COMMERCIAL - Pharr, TX
Property Size3,823 SF
Lot Size0.19 Acres
Price / SF$130.53
Days on Market46
Property Features for 6701 S Jackson Road
General Information
Property type
Commercial Sale
Property subtype
Other
Parking
15
Appliances
Electric Water Heater
Subdivision
Valle De La Primavera
Lot features
Strip Mall
Directions
Travel south on S. Jackson Rd. from Expressway 83, passing Thomas Rd. The property will be on the east side shortly thereafter.
Standard status
Active
APN
V056800000020900
Size
3,823 SF
Lot size
0.19 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
10832
Utilities
Heating system
Central, Electric (Heating)
Cooling system
Central Air, Electric
Amenities
commercial kitchen
central air conditioning
Building Details
Year built
2015
Floors in Building
1
Building materials
Stucco
Roof type
Built-Up
Listing Agency:
BIG Realty
(956) 465-0011
Listed By:
Jose L. Aguilar
(956) 624-1891
Added: Jun 27
Changed: Aug 4
Last Checked: Aug 11 at 7:06PM
MLS# 508247
Copyright © 2026 Greater McAllen Association of Realtors. 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.
This one-story restaurant building was built in 2015 and includes an interior open floor plan with approximately 3,823 SF of space. The property features a commercial kitchen, restrooms, and central air conditioning, supported by electric heating and an electric water heater. Constructed with concrete block and stucco, it also offers a built-up roof.
The site is located at 6701 S Jackson Road in Pharr, providing visibility along one of the area’s busiest commercial corridors. On-site parking is available for customers and staff. A rear area is currently used as warehouse space by the tenant, with flexibility for additional outdoor seating such as patio use or rear parking.
The existing layout and kitchen improvements make the building well-suited for food service operations, and the flexible rear portion can support a range of commercial uses consistent with restaurant and retail environments.
The site is located at 6701 S Jackson Road in Pharr, providing visibility along one of the area’s busiest commercial corridors. On-site parking is available for customers and staff. A rear area is currently used as warehouse space by the tenant, with flexibility for additional outdoor seating such as patio use or rear parking.
The existing layout and kitchen improvements make the building well-suited for food service operations, and the flexible rear portion can support a range of commercial uses consistent with restaurant and retail environments.
Key Highlights
- Built in 2015 one‑story restaurant building with commercial kitchen
- Approximately 3,823 SF interior space with open floor plan
- 0.1928‑acre lot with on‑site parking
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
$20,117
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
4.03%
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%
$402,340
$402.3K
Cap Rate 7%
$287,386
$287.4K
Cap Rate 9%
$223,522
$223.5K
Market Conditions
NOI Build-Up for 3,823 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
$30.7K $8.04/SF
− Vacancy
−$2.0K −$0.52/SF
EGI
$28.7K $7.52/SF
− OpEx
−$8.6K −$2.26/SF
NOI
$20.1K $5.26/SF
Area
Hidalgo County, TX
Vacancy
6.50%
Lease Rate
$8.04 /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%
$402,340
Cap Rate 7%
$287,386
Cap Rate 9%
$223,522
Alternative Uses
Best Use
Specialty Retail
$792.6K
$693.5K – $924.7K
NOI $55,482 @ 7.0% cap · market cap 11.12%
Second Best
Industrial
$287.4K
$251.5K – $335.3K
NOI $20,117 @ 7.0% cap · market cap 4.03%
Theoretical Best
Hotel Hospitality
$2.88M
$2.52M – $3.36M
NOI $201,568 @ 7.0% cap · market cap 40.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
520
Businesses Nearby
10k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 83%
Beauty & Spa 17%
Little Caesars Pizza
Dining
6,699 visits/mo
0.4 miles
Sport Clips
Beauty & Spa
1,773 visits/mo
0.4 miles
San Felipe
Dining
1,700 visits/mo
0.2 miles
Demographics for 78577, TX
79,937
Population
26,568
Households
3
Avg Household Size
30
Median Age
18%
College-Educated
70%
High-School Grad
26.0 sq mi
ZIP Area
3,075
Density / Sq Mi
$49,768
Median Household Income
$28,186
Median Earnings
$988
Median Rent
$111,500
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Similar Off Market Nearby
- Mexican Buffet Los Chilaquiles — 6901 S Jackson Rd, Pharr, TX 78577
Frequently Asked Questions
What type of property is this?
Conventional restaurant - One-story restaurant building with a commercial kitchen, restrooms, and central air on a small Pharr lot with on-site parking.
Where is this conventional restaurant located?
The property is located at 6701 S Jackson Road Pharr, TX.
What is the asking price?
The asking price for this property is $499,000.
What are key features of this property?
This property features: Built in 2015 one‑story restaurant building with commercial kitchen; Approximately 3,823 SF interior space with open floor plan; 0.1928‑acre lot with on‑site parking
