Two Single-Story Office
For Sale
Contact for pricing
Pending
1824 Sawdust Rd, Spring, TX 77380
Two leased office buildings on 1.8 acres in The Woodlands.
Property Size6,300 SF
Lot Size1.80 Acres
Days on Market656
Property Features for 1824 Sawdust Rd
General Information
Standard status
Pending
Size
6,300 SF
Class
B
Lot size
1.80 Acres
Property subtype
Office
Occupancy
100%
Lease Type
Gross
Net Operating Income
$144,959
Building Details
Buildings
2
Stories
1
Tenancy
Multi
Listing Agency:
eXp Realty
(281) 723-3336
Listed By:
Bill Smith · License #TX 291078
Source:
Crexi
Added: Nov 11, 2024
Changed: Aug 23
Last Checked: Aug 29 at 5:57PM
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 eXp Realty
Investment Insights
Based on property information with market context.
This investment opportunity features two single-story office buildings, one 3,000 square feet and the other 3,300 square feet. Both buildings are currently leased with tenants in place through November 31, 2028. The current gross monthly income is $14,000, with two additional rent increases scheduled. The property is situated on 1.8 acres and offers high visibility on a signalized corner of Sawdust Road. Features include remote control gates, monitored security, and professional signage. The corner location provides convenient access to all of The Woodlands amenities and is located minutes from the Hardy Toll Road, I-45, and the Grand Parkway. The property currently utilizes well and septic systems, but public water is available. The property is located in The Woodlands, TX.
Key Highlights
- Tenant in place through November 31, 2028, generating $14,000/month gross income with scheduled increases.
- Potential for owner financing.
- Located in The Woodlands, TX, rated #1 Best Community to Live by Niche.com for two consecutive years.
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
$73,857
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
2.90%
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%
$1,477,140
$1.5M
Cap Rate 7%
$1,055,100
$1.1M
Cap Rate 9%
$820,633
$820.6K
Market Conditions
NOI Build-Up for 6,300 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
$126.3K $20.04/SF
− Vacancy
−$27.8K −$4.41/SF
EGI
$98.5K $15.63/SF
− OpEx
−$24.6K −$3.91/SF
NOI
$73.9K $11.72/SF
Area
Montgomery County, TX
Vacancy
22.00%
Lease Rate
$20.04 /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%
$1,477,140
Cap Rate 7%
$1,055,100
Cap Rate 9%
$820,633
Alternative Uses
Best Use
Office B
$1.06M
$923.2K – $1.23M
NOI $73,857 @ 7.0% cap · market cap 2.90%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$1.59M
$1.39M – $1.86M
NOI $111,332 @ 7.0% cap · market cap 4.37%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
594
Businesses Nearby
Explore this area
Business Placement
Demographics for 77380, TX
27,651
Population
16,232
Households
1.7
Avg Household Size
37
Median Age
52%
College-Educated
97%
High-School Grad
12.4 sq mi
ZIP Area
2,230
Density / Sq Mi
$84,468
Median Household Income
$51,286
Median Earnings
$1,607
Median Rent
$343,900
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 - Two leased office buildings on 1.8 acres in The Woodlands.
Where is this office building located?
The property is located at 1824 Sawdust Rd Spring, TX.
What is the asking price?
The asking price for this property is $2,550,000.
What are key features of this property?
This property features: Tenant in place through November 31, 2028, generating $14,000/month gross income with scheduled increases.; Potential for owner financing.; Located in The Woodlands, TX, rated #1 Best Community to Live by Niche.com for two consecutive years.
