Odessa Hospital Facility For
For Sale
Contact for pricing
Pending
900 E 4th St, Odessa, TX 79761
44,000 SF former surgical hospital and outpatient surgery center.
Property Size44,000 SF
Days on Market774
Property Features for 900 E 4th St
General Information
Standard status
Pending
Size
44,000 SF
Property subtype
Office
Investment Type
Owner/User
Building Details
Year Built
2009
Buildings
1
Stories
2
Units
1
Listing Agency:
ParaSell Inc
Listed By:
Scott Reid · License #CQ1059597
(949) 942-6585
Source:
Crexi
Added: Jul 24, 2024
Changed: Sep 3
Last Checked: Sep 2 at 5:17AM
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 ParaSell Inc
Investment Insights
Based on property information with market context.
The property, formerly known as GHP Hospital Odessa, is a 44,000 square foot facility that previously served as a short-stay surgical hospital and outpatient surgery center. Constructed in 2009, the building includes four operating rooms and fourteen private inpatient rooms. The building occupies a full city block and is currently vacant and available for immediate occupancy. The structural design allows for the addition of a third floor. The ownership is open to demising the space for multi-tenant use or reconfiguring the layout for alternative healthcare functions. It is strategically positioned along Interstate 20, less than one mile from Odessa Regional Medical Center Main Campus. The property is surrounded by a dense population base and a diverse mix of medical providers, making it ideally suited for an array of medical or specialty care uses.
Key Highlights
- Purpose‑built medical facility featuring four operating rooms and fourteen private inpatient rooms.
- Strategically located along Interstate 20, less than one mile from Odessa Regional Medical Center Main Campus.
- ±44,000 square foot facility** on a full city block with expansion potential (third floor addition).
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
$597,485
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
7.47%
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%
$11,949,700
$11.9M
Cap Rate 7%
$8,535,500
$8.5M
Cap Rate 9%
$6,638,722
$6.6M
Market Conditions
NOI Build-Up for 44,000 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
$1.08M $24.60/SF
− Vacancy
−$86.6K −$1.97/SF
EGI
$995.8K $22.63/SF
− OpEx
−$398.3K −$9.05/SF
NOI
$597.5K $13.58/SF
Area
Odessa, TX
Vacancy
8.00%
Lease Rate
$24.60 /SF/Yr
Expense Ratio
40.00%
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%
$11,949,700
Cap Rate 7%
$8,535,500
Cap Rate 9%
$6,638,722
Alternative Uses
Best Use
Healthcare Medical
$8.54M
$7.47M – $9.96M
NOI $597,485 @ 7.0% cap · market cap 7.47%
Second Best
—
—
no second resolved use
Theoretical Best
Flex RnD
$63.97M
$55.97M – $74.63M
NOI $4,477,627 @ 7.0% cap · market cap 55.97%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,355
Businesses Nearby
Explore this area
Business Placement
Demographics for 79761, TX
30,187
Population
13,591
Households
2.2
Avg Household Size
35
Median Age
14%
College-Educated
76%
High-School Grad
10.4 sq mi
ZIP Area
2,903
Density / Sq Mi
$69,279
Median Household Income
$42,724
Median Earnings
$1,246
Median Rent
$158,400
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hospital - 44,000 SF former surgical hospital and outpatient surgery center.
Where is this hospital located?
The property is located at 900 E 4th St Odessa, TX.
What is the asking price?
The asking price for this property is $8,000,000.
What are key features of this property?
This property features: Purpose‑built medical facility featuring **four operating rooms and fourteen private inpatient rooms.**; Strategically located along Interstate 20, less than one mile from Odessa Regional Medical Center Main Campus.; ±44,000 square foot facility** on a full city block with expansion potential (third floor addition).
