Commercial Property on FM
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1911 Laurel Court, Donna, TX 78537
Property with frontage on FM 493, includes drive-through.
Property Size2,544 SF
Price / SF$274.76
Days on Market891
Property Features for 1911 Laurel Court
General Information
Standard status
Active
Size
2,544 SF
Property subtype
Retail
Building Details
Year Built
2004
Listing Agency:
Effective Real Estate
(956) 299-2111
Listed By:
Ryan McDaniel
Source:
Crexi
Added: Mar 16, 2024
Changed: Aug 9
Last Checked: Aug 22 at 11:09AM
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 Effective Real Estate
Investment Insights
Based on property information with market context.
This property is located at the intersection of FM 493 and Laurel Ct, featuring over 500 ft of frontage on FM 493. Existing improvements include a drive-through, a single-family home, a former gas station canopy, and a swimming pool. The space above the drive-through is approximately 2544 square feet and is currently used as a private event center. The single-family home, constructed in 2007, has 2314 square feet.
Key Highlights
- High‑traffic location at the intersection of FM 493 and Laurel Ct.
- Over 500 ft of frontage on FM 493.
- 2544 sqft private event center above the drive‑through.
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
$36,920
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
5.28%
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%
$738,400
$738.4K
Cap Rate 7%
$527,429
$527.4K
Cap Rate 9%
$410,222
$410.2K
Market Conditions
NOI Build-Up for 2,544 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
$52.2K $20.52/SF
− Vacancy
−$3.0K −$1.17/SF
EGI
$49.2K $19.35/SF
− OpEx
−$12.3K −$4.84/SF
NOI
$36.9K $14.51/SF
Area
Hidalgo County, TX
Vacancy
5.70%
Lease Rate
$20.52 /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%
$738,400
Cap Rate 7%
$527,429
Cap Rate 9%
$410,222
Alternative Uses
Best Use
Specialty Retail
$527.4K
$461.5K – $615.3K
NOI $36,920 @ 7.0% cap · market cap 5.28%
Second Best
—
—
no second resolved use
Theoretical Best
Hotel Hospitality
$1.92M
$1.68M – $2.24M
NOI $134,132 @ 7.0% cap · market cap 19.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
31
Businesses Nearby
4k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 100%
Watermill Express
Shops & Services
3,866 visits/mo
0.1 miles
Demographics for 78537, TX
51,962
Population
16,683
Households
3.1
Avg Household Size
28
Median Age
10%
College-Educated
54%
High-School Grad
57.6 sq mi
ZIP Area
902
Density / Sq Mi
$36,331
Median Household Income
$20,354
Median Earnings
$744
Median Rent
$74,700
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?
Drive through restaurant - Property with frontage on FM 493, includes drive-through.
Where is this drive through restaurant located?
The property is located at 1911 Laurel Court Donna, TX.
What is the asking price?
The asking price for this property is $699,000.
What are key features of this property?
This property features: High‑traffic location at the intersection of FM 493 and Laurel Ct.; Over 500 ft of frontage on FM 493.; 2544 sqft private event center above the drive‑through.
