Corpus Christi Industrial Investment
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650 Flato Rd, Corpus Christi, TX 78405
25,500 SF industrial property in Corpus Christi, Texas.
Property Size25,500 SF
Lot Size2.78 Acres
Price / SF$101.57
Days on Market747
Property Features for 650 Flato Rd
General Information
Standard status
Active
Size
25,500 SF
Lot size
2.78 Acres
Property subtype
Industrial
Zoning
Light Industrial
Occupancy
100%
Lease Type
Gross
Net Operating Income
$223,086
Building Details
Year Built
1981
Year Renovated
2023
Tenancy
Single
Listing Agency:
New Southern Commercial Real Estate
Listed By:
Steven Saules · License #789600
(361) 905-5000
Source:
Crexi
Added: Aug 29, 2024
Changed: Sep 4
Last Checked: Sep 14 at 5:49AM
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 New Southern Commercial Real Estate
Investment Insights
Based on property information with market context.
This 2.78-acre industrial property is centrally located in the industrial corridor of Corpus Christi, TX, situated between Agnes Rd. and Bear Lane. Traffic counts average 11,500 vehicles daily on Agnes Rd. (2021) and 3,200 on Bear Lane (2023). The property is located approximately 0.5 miles from SPID, 2 miles south of I-37, and 5 miles south of the Port of Corpus Christi, which is undergoing a $650 million infrastructure expansion. The building features thirteen 12-14’ overhead doors and 3-phase 480-V power. The property also includes four office suites, a break room, a conference room, and a showroom. The building has a 24’ stackable height and a fire-suppression system, with recent office remodeling completed in 2023. The property is 100% occupied with a lease expiring on 11/30/2028, guaranteed by SRS Distribution Inc. The lease generates $248,520 gross annually, increasing to $255,698 in November 2026. Equivalent net income is $223,086 after deducting 2025 taxes of $20,247 and insurance (excluding wind and storm) of $5,187. The property is located in a flood zone with 0% risk.
Key Highlights
- 100% Occupied with Lease Expiration 11/30/2028
- Guaranty of Lease with “SRS Distribution Inc.” ($50M Revenue)
- Lease: $248,520 Gross ($255,698 on 11/2026)**
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
$169,325
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
6.54%
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%
$3,386,500
$3.4M
Cap Rate 7%
$2,418,929
$2.4M
Cap Rate 9%
$1,881,389
$1.9M
Market Conditions
NOI Build-Up for 25,500 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
$214.2K $8.40/SF
− Vacancy
−$15.0K −$0.59/SF
EGI
$199.2K $7.81/SF
− OpEx
−$29.9K −$1.17/SF
NOI
$169.3K $6.64/SF
Area
Corpus Christi, TX
Vacancy
7.00%
Lease Rate
$8.40 /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%
$3,386,500
Cap Rate 7%
$2,418,929
Cap Rate 9%
$1,881,389
Alternative Uses
Best Use
Warehouse
$2.42M
$2.12M – $2.82M
NOI $169,325 @ 7.0% cap · market cap 6.54%
Second Best
Industrial
$1.91M
$1.67M – $2.22M
NOI $133,468 @ 7.0% cap · market cap 5.15%
Theoretical Best
Office A
$6.07M
$5.31M – $7.08M
NOI $424,728 @ 7.0% cap · market cap 16.40%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
336
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 78405, TX
14,151
Population
6,068
Households
2.3
Avg Household Size
37
Median Age
4%
College-Educated
62%
High-School Grad
5.1 sq mi
ZIP Area
2,775
Density / Sq Mi
$37,188
Median Household Income
$25,323
Median Earnings
$1,030
Median Rent
$75,300
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Industrial in South region
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Frequently Asked Questions
What type of property is this?
Warehouse - 25,500 SF industrial property in Corpus Christi, Texas.
Where is this warehouse located?
The property is located at 650 Flato Rd Corpus Christi, TX.
What is the asking price?
The asking price for this property is $2,590,000.
What are key features of this property?
This property features: 100% Occupied with Lease Expiration 11/30/2028; Guaranty of Lease with “SRS Distribution Inc.” ($50M Revenue); Lease: $248,520 Gross ($255,698 on 11/2026)**
