Elgin Restaurant on 1.71
For Sale
Contact for pricing
989 Old McDade Rd, Elgin, TX
5,733 SF restaurant on 1.71 acres, built 1999/2012.
Property Size5,733 SF
Lot Size11.96 Acres
Price / SF$218.04
Days on Market473
Property Features for 989 Old McDade Rd
General Information
Standard status
Active
Size
5,733 SF
Lot size
11.96 Acres
Property subtype
RETAIL
Listing Agency:
RESOLUT RE - Austin
(512) 535-0262
Listed By:
Zach Roesinger · License #490728
(512) 949-1418
Source:
Moodyscre
Added: Apr 23, 2025
Changed: Aug 8
Last Checked: Aug 8 at 12:34PM
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 RESOLUT RE - Austin
Investment Insights
Based on property information with market context.
This property features a 5,733 square foot building situated on 1.71 acres of land. Constructed in 1999 and expanded in 2012, the building includes a full kitchen. Located within the Elgin ETJ and without zoning restrictions, the property has available utilities. It is suitable for storefront, individual retail, restaurant, and other restaurant uses.
Key Highlights
- 5,733 SF building on 1.71 acres
- Elgin ETJ- No zoning
- Full kitchen
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
$108,159
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
8.65%
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%
$2,163,180
$2.2M
Cap Rate 7%
$1,545,129
$1.5M
Cap Rate 9%
$1,201,767
$1.2M
Market Conditions
NOI Build-Up for 5,733 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
$149.3K $26.04/SF
− Vacancy
−$5.1K −$0.89/SF
EGI
$144.2K $25.15/SF
− OpEx
−$36.1K −$6.29/SF
NOI
$108.2K $18.87/SF
Area
Bastrop County, TX
Vacancy
3.40%
Lease Rate
$26.04 /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%
$2,163,180
Cap Rate 7%
$1,545,129
Cap Rate 9%
$1,201,767
Alternative Uses
Best Use
Specialty Retail
$1.55M
$1.35M – $1.80M
NOI $108,159 @ 7.0% cap · market cap 8.65%
Second Best
Retail
$1.44M
$1.26M – $1.68M
NOI $100,948 @ 7.0% cap · market cap 8.08%
Theoretical Best
Office A
$2.25M
$1.97M – $2.62M
NOI $157,260 @ 7.0% cap · market cap 12.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
459
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
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?
Storefront property - 5,733 SF restaurant on 1.71 acres, built 1999/2012.
Where is this storefront property located?
The property is located at 989 Old McDade Rd Elgin, TX.
What is the asking price?
The asking price for this property is $1,250,000.
What are key features of this property?
This property features: 5,733 SF building on 1.71 acres; Elgin ETJ- No zoning; Full kitchen
