Former Restaurant
For Sale
$1,050,000
7738 7738 PADRE ISLAND HWY., Brownsville, TX 78521
Former restaurant building available for sale on a half acre lot along a high-traffic port access route.
Property Size3,220 SF
Lot Size0.50 Acres
Price / SF$326.09
Days on Market398
Property Features for 7738 7738 PADRE ISLAND HWY.
General Information
Standard status
Active
Size
3,220 SF
Lot size
0.50 Acres
Property subtype
General Commercial
Amenities
3
Building Details
Year Built
2000
Stories
1
Listing Agency:
Texas Stars Realty Group, LLC
(956) 455-4422
Listed By:
Nicolas Rodriguez · License #0494405
(956) 561-0377
Source:
Xome
Added: Aug 4, 2025
Changed: Sep 2
Last Checked: Sep 5 at 5:32AM
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 Texas Stars Realty Group, LLC
Investment Insights
Based on property information with market context.
This commercial building is offered for sale and was formerly operated as Mariscos de la Rosa. The property is configured as a restaurant facility within a single commercial structure.
Located along Padre Island Hwy. near the route toward the Port of Brownsville, the site benefits from high traffic. A for-lease option is also available.
The sale listing price is $1,050,000 and the building size is 3,220 square feet, sitting on a half-acre lot.
Located along Padre Island Hwy. near the route toward the Port of Brownsville, the site benefits from high traffic. A for-lease option is also available.
The sale listing price is $1,050,000 and the building size is 3,220 square feet, sitting on a half-acre lot.
Key Highlights
- Former restaurant building available for sale on a half‑acre lot
- Located on a high‑traffic route to the Port of Brownsville
- Year built: 2000
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
$32,829
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
3.13%
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%
$656,580
$656.6K
Cap Rate 7%
$468,986
$469.0K
Cap Rate 9%
$364,767
$364.8K
Market Conditions
NOI Build-Up for 3,220 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
$46.4K $14.40/SF
− Vacancy
−$2.6K −$0.81/SF
EGI
$43.8K $13.59/SF
− OpEx
−$10.9K −$3.40/SF
NOI
$32.8K $10.20/SF
Area
Brownsville, TX
Vacancy
5.60%
Lease Rate
$14.40 /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%
$656,580
Cap Rate 7%
$468,986
Cap Rate 9%
$364,767
Alternative Uses
Best Use
Specialty Retail
$469.0K
$410.4K – $547.2K
NOI $32,829 @ 7.0% cap · market cap 3.13%
Second Best
—
—
no second resolved use
Theoretical Best
Healthcare Medical
$554.4K
$485.1K – $646.8K
NOI $38,810 @ 7.0% cap · market cap 3.70%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
305
Businesses Nearby
189k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Dining 53%
Shops & Services 41%
Apparel 3%
Electronics 2%
McDonald's
Dining
31,867 visits/mo
0.3 miles
Whataburger
Dining
26,620 visits/mo
0.4 miles
Dollar Tree
Shops & Services
19,003 visits/mo
0.4 miles
Murphy USA
Shops & Services
16,952 visits/mo
0.3 miles
Sunoco
Shops & Services
14,724 visits/mo
0.3 miles
Demographics for 78521, TX
88,708
Population
29,576
Households
3
Avg Household Size
32
Median Age
15%
College-Educated
62%
High-School Grad
93.7 sq mi
ZIP Area
947
Density / Sq Mi
$41,276
Median Household Income
$24,781
Median Earnings
$864
Median Rent
$90,500
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 - Former restaurant building available for sale on a half acre lot along a high-traffic port access route.
Where is this conventional restaurant located?
The property is located at 7738 7738 PADRE ISLAND HWY. Brownsville, TX.
What is the asking price?
The asking price for this property is $1,050,000.
What are key features of this property?
This property features: Former restaurant building available for sale on a half‑acre lot; Located on a high‑traffic route to the Port of Brownsville; Year built: 2000
