Midland Industrial Warehouse on
For Sale
Contact for pricing
8516 E County Rd 66, Midland, TX 79705
6,450 SF warehouse on 6.617 acres near I-20.
Property Size6,450 SF
Lot Size6.62 Acres
Price / SF$162.79
Days on Market798
Property Features for 8516 E County Rd 66
General Information
Standard status
Active
Size
6,450 SF
Class
B
Lot size
6.62 Acres
Property subtype
Industrial
Zoning
Commercial | Industrial
Lease Type
NNN
Building Details
Year Built
2021
Buildings
1
Stories
1
Listing Agency:
ERES Companies
(432) 425-9692
Listed By:
Alonso Hernandez · License #TX: 775636
Source:
Crexi
Added: Jun 17, 2024
Changed: Aug 16
Last Checked: Aug 23 at 10:47AM
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 ERES Companies
Investment Insights
Based on property information with market context.
Located at 8516 East County Road 66, Midland, TX 79705, this industrial property features a 6,450 square foot industrial warehouse on 6.617 acres. Constructed in 2021, the modern metal building includes office space and seven bay doors. The property is zoned Commercial/Industrial, offering flexibility for various business needs. Situated in the heart of Midland, the location provides convenient access to I-20 and proximity to oil and gas companies. This property is suitable for various industrial purposes.
Key Highlights
- 6,450 SF Industrial Warehouse on 6.617 Acres
- Prime Location Minutes from I‑20 and Near Oil & Gas Companies
- Modern Metal Building Constructed in 2021
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
$70,254
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
6.69%
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%
$1,405,080
$1.4M
Cap Rate 7%
$1,003,629
$1.0M
Cap Rate 9%
$780,600
$780.6K
Market Conditions
NOI Build-Up for 6,450 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
$87.5K $13.56/SF
− Vacancy
−$4.8K −$0.75/SF
EGI
$82.7K $12.81/SF
− OpEx
−$12.4K −$1.92/SF
NOI
$70.3K $10.89/SF
Area
Midland, TX
Vacancy
5.50%
Lease Rate
$13.56 /SF/Yr
Expense Ratio
15.00%
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%
$1,405,080
Cap Rate 7%
$1,003,629
Cap Rate 9%
$780,600
Alternative Uses
Best Use
Warehouse
$1.00M
$878.2K – $1.17M
NOI $70,254 @ 7.0% cap · market cap 6.69%
Second Best
Industrial
$826.5K
$723.2K – $964.3K
NOI $57,856 @ 7.0% cap · market cap 5.51%
Theoretical Best
Office A
$1.52M
$1.33M – $1.78M
NOI $106,502 @ 7.0% cap · market cap 10.14%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
29
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 79705, TX
44,138
Population
20,021
Households
2.2
Avg Household Size
33
Median Age
40%
College-Educated
91%
High-School Grad
79.4 sq mi
ZIP Area
556
Density / Sq Mi
$105,106
Median Household Income
$60,415
Median Earnings
$1,431
Median Rent
$329,300
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Warehouse - 6,450 SF warehouse on 6.617 acres near I-20.
Where is this warehouse located?
The property is located at 8516 E County Rd 66 Midland, 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: 6,450 SF Industrial Warehouse on 6.617 Acres; Prime Location Minutes from I‑20 and Near Oil & Gas Companies; Modern Metal Building Constructed in 2021
