Renovated Office Building Near
For Sale
$930,000
903 S 8th St., La Porte, TX 77571
Recently renovated office building near Houston Ship Channel - Industrial Hub.
Property Size6,000 SF
Days on Market172
Property Features for 903 S 8th St.
General Information
Standard status
Active
Size
6,000 SF
Class
B
Property subtype
Office
Building Details
Building Size
6,000 SF
Year Built
1972
Listing Agency:
Zann Commercial Brokerage
(832) 816-4478
Listed By:
Daniel Henn · License #TX #492084
(832) 816-4478
Source:
Zann
Added: Mar 5
Changed: Aug 8
Last Checked: Aug 23 at 3:35AM
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 Zann Commercial Brokerage
Investment Insights
Based on property information with market context.
This recently renovated office building is situated near the Houston Ship Channel - Industrial Hub, one block east of Highway 146 in La Porte, Texas. The property is located off Fairmont Parkway, providing convenient access to major Gulf Coast industries. Its location allows for a short drive to companies such as Exxon, Mobil, Shell, Phillips 66, Pemex, Air Liquide, and Chevron. The property is positioned between Fairmont Parkway and W. Main / Spencer Hwy, offering easy access to Highway 146 and proximity to the Houston Industrial Ship Channel Area. Ample parking is available.
Key Highlights
- Conveniently located near the Houston Ship Channel - Industrial Hub
- Easy access to Highway 146
- Close proximity to major Gulf Coast industries (Exxon, Mobil, Shell, Phillips 66, Pemex, Air Liquide, Chevron)
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
$78,589
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
8.45%
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%
$1,571,780
$1.6M
Cap Rate 7%
$1,122,700
$1.1M
Cap Rate 9%
$873,211
$873.2K
Market Conditions
NOI Build-Up for 6,000 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
$138.2K $23.04/SF
− Vacancy
−$33.5K −$5.58/SF
EGI
$104.8K $17.46/SF
− OpEx
−$26.2K −$4.37/SF
NOI
$78.6K $13.10/SF
Area
Harris County, TX
Vacancy
24.20%
Lease Rate
$23.04 /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%
$1,571,780
Cap Rate 7%
$1,122,700
Cap Rate 9%
$873,211
Alternative Uses
Best Use
Office B
$1.12M
$982.4K – $1.31M
NOI $78,589 @ 7.0% cap · market cap 8.45%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.64M
$1.43M – $1.91M
NOI $114,682 @ 7.0% cap · market cap 12.33%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
93
Businesses Nearby
Explore this area
Business Placement
Demographics for 77571, TX
37,018
Population
14,428
Households
2.6
Avg Household Size
38
Median Age
19%
College-Educated
89%
High-School Grad
37.1 sq mi
ZIP Area
998
Density / Sq Mi
$83,795
Median Household Income
$50,441
Median Earnings
$1,328
Median Rent
$220,300
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Recently renovated office building near Houston Ship Channel - Industrial Hub.
Where is this office building located?
The property is located at 903 S 8th St. La Porte, TX.
What is the asking price?
The asking price for this property is $930,000.
What are key features of this property?
This property features: Conveniently located near the Houston Ship Channel - Industrial Hub; Easy access to Highway 146; Close proximity to major Gulf Coast industries (Exxon, Mobil, Shell, Phillips 66, Pemex, Air Liquide, Chevron)
