Historic Mixed-Use
For Sale
$400,000
907 S Madison Street, Amarillo, TX 79101
Offering includes a one-bedroom rental home alongside a historic commercial building.
Property Size1,384 SF
Price / SF$289.02
Days on Market150
Property Features for 907 S Madison Street
General Information
Standard status
Active
Size
1,384 SF
Property subtype
General Commercial
Amenities
Central Air, Electric
Building Details
Year Built
1903
Listing Agency:
EXP Realty, LLC
(888) 519-7431
Listed By:
Sabre Cofer · License #0613825
Source:
Xome
Added: Apr 3
Changed: Aug 30
Last Checked: Aug 30 at 12:55PM
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, LLC
Investment Insights
Based on property information with market context.
This mixed-use offering includes the historic Music Box building at 907 S Madison Street and a one-bedroom rental home at 905 S Madison Street. The property dates to 1903 and provides 1,384 square feet, with central air and electric service. The commercial component offers an established building for a future business use, while the residential component adds a separate income-producing element.
Recent property improvements include a new roof and new fencing. The sale includes both 905 and 907 S Madison Street in Amarillo, Texas, creating a two-address offering with commercial and residential components.
Recent property improvements include a new roof and new fencing. The sale includes both 905 and 907 S Madison Street in Amarillo, Texas, creating a two-address offering with commercial and residential components.
Key Highlights
- 1903‑built mixed‑use property in Amarillo
- 1,384‑square‑foot property
- Sale includes 905 and 907 S Madison Street
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
$14,947
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
3.74%
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%
$298,940
$298.9K
Cap Rate 7%
$213,529
$213.5K
Cap Rate 9%
$166,078
$166.1K
Market Conditions
NOI Build-Up for 1,384 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
$26.6K $19.20/SF
− Vacancy
−$2.7K −$1.92/SF
EGI
$23.9K $17.28/SF
− OpEx
−$9.0K −$6.48/SF
NOI
$14.9K $10.80/SF
Area
Amarillo, TX
Vacancy
10.00%
Lease Rate
$19.20 /SF/Yr
Expense Ratio
37.50%
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%
$298,940
Cap Rate 7%
$213,529
Cap Rate 9%
$166,078
Alternative Uses
Best Use
Mixed Use
$213.5K
$186.8K – $249.1K
NOI $14,947 @ 7.0% cap · market cap 3.74%
Second Best
Retail
$191.0K
$167.1K – $222.8K
NOI $13,369 @ 7.0% cap · market cap 3.34%
Theoretical Best
Office A
$309.0K
$270.4K – $360.5K
NOI $21,630 @ 7.0% cap · market cap 5.41%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
2,302
Businesses Nearby
Explore this area
Business Placement
Demographics for 79101, TX
2,307
Population
1,309
Households
1.8
Avg Household Size
51
Median Age
15%
College-Educated
81%
High-School Grad
1.6 sq mi
ZIP Area
1,442
Density / Sq Mi
$40,313
Median Household Income
$36,409
Median Earnings
$898
Median Rent
$152,300
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?
Mixed-use property - Offering includes a one-bedroom rental home alongside a historic commercial building.
Where is this mixed-use property located?
The property is located at 907 S Madison Street Amarillo, TX.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: 1903‑built mixed‑use property in Amarillo; 1,384‑square‑foot property; Sale includes 905 and 907 S Madison Street
