Restaurant Building with Commercial
For Sale
$375,000
712 N Bicentennial Boulevard, McAllen, TX 78504
COMMERCIAL - McAllen, TX
Property Size1,878 SF
Lot Size0.16 Acres
Price / SF$199.68
Days on Market49
Property Features for 712 N Bicentennial Boulevard
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
CO
Parking
6
Security features
Security Lighting
Appliances
Electric Water Heater
Subdivision
North Mcallen
Directions
FROM BUSINESS 83 , NORTH ON BICENTENNIAL , PROPERTY ON THE EAST SIDE .
Standard status
Active
APN
N540000008000900
Size
1,878 SF
Lot size
0.16 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
7000
Utilities
Heating system
Electric (Heating), Central
Cooling system
Central Air, Electric
Amenities
walk-in freezer
oven
grease trap
office
Building Details
Year built
2004
Floors in Building
1
Building materials
Brick, Block, Stone
Roof type
Flat
Listing Agency:
Keller Williams Realty RGV
(956) 928-1155
Listed By:
Ronaldo Lacayo
(956) 578-5733
Added: Jul 6
Changed: Aug 13
Last Checked: Aug 23 at 2:06PM
MLS# 497878
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.
Restaurant-ready commercial space at 712 N Bicentennial Boulevard in McAllen, Texas. The property includes nice open space with an office and a good-size kitchen area, along with a walk-in freezer for storage and display. The commercial kitchen is equipped with an oven and includes an existing grease trap, supporting restaurant and similar food-service concepts.
The building sits on a 0.1607-acre lot with 1,878 square feet of space. Construction materials include brick, block, and stone, with a flat roof. Heating is electric with central capability, and cooling is electric with central air.
Parking is available on the front of the property, with additional parking toward the back. Zoning is CO, and the property can be adapted for uses such as a bakery, restaurant, office, and retail, based on the existing layout and kitchen improvements.
The building sits on a 0.1607-acre lot with 1,878 square feet of space. Construction materials include brick, block, and stone, with a flat roof. Heating is electric with central capability, and cooling is electric with central air.
Parking is available on the front of the property, with additional parking toward the back. Zoning is CO, and the property can be adapted for uses such as a bakery, restaurant, office, and retail, based on the existing layout and kitchen improvements.
Key Highlights
- 0.1607‑acre lot at 712 N Bicentennial Boulevard
- 1,878 SF restaurant‑ready layout with open space, office, and kitchen area
- Zoned CO for restaurant, bakery, office, and retail adaptation
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
$28,720
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
7.66%
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%
$574,400
$574.4K
Cap Rate 7%
$410,286
$410.3K
Cap Rate 9%
$319,111
$319.1K
Market Conditions
NOI Build-Up for 1,878 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
$40.6K $21.60/SF
− Vacancy
−$2.3K −$1.21/SF
EGI
$38.3K $20.39/SF
− OpEx
−$9.6K −$5.10/SF
NOI
$28.7K $15.29/SF
Area
McAllen, TX
Vacancy
5.60%
Lease Rate
$21.60 /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%
$574,400
Cap Rate 7%
$410,286
Cap Rate 9%
$319,111
Alternative Uses
Best Use
Specialty Retail
$410.3K
$359.0K – $478.7K
NOI $28,720 @ 7.0% cap · market cap 7.66%
Second Best
Retail
$382.9K
$335.1K – $446.8K
NOI $26,805 @ 7.0% cap · market cap 7.15%
Theoretical Best
Office A
$510.0K
$446.2K – $595.0K
NOI $35,697 @ 7.0% cap · market cap 9.52%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Yes
Grease trap
Location Intelligence
Trade Area within ½ mile
2,324
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 78504, TX
56,830
Population
21,417
Households
2.7
Avg Household Size
35
Median Age
40%
College-Educated
86%
High-School Grad
19.6 sq mi
ZIP Area
2,899
Density / Sq Mi
$77,627
Median Household Income
$41,632
Median Earnings
$1,178
Median Rent
$203,900
Median Home Value
Market
Vacancy Rate% for Retail 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?
Conventional restaurant - Restaurant-ready space with an open layout, office, commercial kitchen, walk-in freezer, and existing grease trap.
Where is this conventional restaurant located?
The property is located at 712 N Bicentennial Boulevard McAllen, TX.
What is the asking price?
The asking price for this property is $375,000.
What are key features of this property?
This property features: 0.1607‑acre lot at 712 N Bicentennial Boulevard; 1,878 SF restaurant‑ready layout with open space, office, and kitchen area; Zoned CO for restaurant, bakery, office, and retail adaptation
