New 4-Unit Townhome
For Sale
$796,000
7029 40th St, Lubbock, TX 79407
Newly constructed Class A 4-unit townhome building with modern finishes, built for low-maintenance, long-term ownership.
Property Size5,300 SF
Price / SF$150.19
Days on Market50
Property Features for 7029 40th St
General Information
Standard status
Active
Size
5,300 SF
Property subtype
Multi-Family
Building Details
Year Built
2026
Listing Agency:
Aycock Realty Group, LLC
Listed By:
Melissa Brouillette · License #0611734
(806) 441-2221
Source:
Raftercrossrealty
Added: Jul 21
Changed: Sep 3
Last Checked: Sep 7 at 1:21PM
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 Aycock Realty Group, LLC
Investment Insights
Based on property information with market context.
This newly constructed 4-unit townhome building offers Class A quality and modern interior finishes designed for long-term, low-maintenance ownership. The property is presented as a turnkey multifamily asset in a townhome format, providing an appealing combination of updated construction and curb appeal.
The building is located in West Lubbock, within walking distance of Frenship Memorial High School and just minutes from Canyon West Shopping Center. That proximity to both school and retail supports convenient everyday access for residents.
As a four-unit townhome property, it provides straightforward multifamily structure with a consistent, modern design across the building, positioned for buyers seeking a newly built income property.
The building is located in West Lubbock, within walking distance of Frenship Memorial High School and just minutes from Canyon West Shopping Center. That proximity to both school and retail supports convenient everyday access for residents.
As a four-unit townhome property, it provides straightforward multifamily structure with a consistent, modern design across the building, positioned for buyers seeking a newly built income property.
Key Highlights
- Newly constructed 4‑unit townhome building (Year built: 2026)
- Class A townhomes with modern design and interior finishes
- Walking distance to Frenship Memorial High School
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
$47,870
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
6.01%
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%
$957,400
$957.4K
Cap Rate 7%
$683,857
$683.9K
Cap Rate 9%
$531,889
$531.9K
Market Conditions
NOI Build-Up for 5,300 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
$73.1K $13.80/SF
− Vacancy
−$4.8K −$0.90/SF
EGI
$68.4K $12.90/SF
− OpEx
−$20.5K −$3.87/SF
NOI
$47.9K $9.03/SF
Area
Lubbock, TX
Vacancy
6.50%
Lease Rate
$13.80 /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%
$957,400
Cap Rate 7%
$683,857
Cap Rate 9%
$531,889
Alternative Uses
Best Use
Multifamily LT 5
$683.9K
$598.4K – $797.8K
NOI $47,870 @ 7.0% cap · market cap 6.01%
Second Best
Apartment 5plus
$614.0K
$537.3K – $716.4K
NOI $42,983 @ 7.0% cap · market cap 5.40%
Theoretical Best
Office A
$1.34M
$1.17M – $1.56M
NOI $93,530 @ 7.0% cap · market cap 11.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
101
Businesses Nearby
Explore this area
Business Placement
Demographics for 79407, TX
23,208
Population
11,817
Households
2
Avg Household Size
32
Median Age
41%
College-Educated
92%
High-School Grad
75.9 sq mi
ZIP Area
306
Density / Sq Mi
$64,778
Median Household Income
$38,212
Median Earnings
$1,131
Median Rent
$200,700
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Quadplex - Newly constructed Class A 4-unit townhome building with modern finishes, built for low-maintenance, long-term ownership.
Where is this quadplex located?
The property is located at 7029 40th St Lubbock, TX.
What is the asking price?
The asking price for this property is $796,000.
What are key features of this property?
This property features: Newly constructed 4‑unit townhome building (Year built: 2026); Class A townhomes with modern design and interior finishes; Walking distance to Frenship Memorial High School
