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Shopping Strip

Saddle Creek Shopping Center

16140 Kuykendahl Rd, Houston, TX 77068

Listing Price: $3,276,000

Cap Rate
7.54%
Gross SF
37,822
Rentable SF
37,822
Price/Gross SF
$86.62
Lot Size
2.70 acres
Year Built
1983

Investment Overview

Marcus & Millichap is pleased to exclusively list for sale Saddle Creek Shopping Center, located at 16140 Kuykendahl Road in Houston, Texas 77068. This neighborhood shopping center features 37,822 square feet of leasable area. The center is currently 72 percent occupied with staggered, long-term leases in place. Currently, the center is charging an average of $9.18 per square foot plus triple nets, which is below the current market rate of $10.80 per square foot plus triple nets. Saddle Creek Shopping Center offers an investor an estimated day-one scheduled CAP rate of 7.54 percent and a cash-on-cash return of 11.16 percent with proposed debt service. Saddle Creek Shopping Center offers investors a strong value-add opportunity to lease vacancies and raise existing rents over time to market rents. By leasing vacancies at below-market rental rates of $8 per square foot plus triple nets, an investor will achieve an 11.56 percent CAP rate and 27.23 percent cash-on-cash return at 95 percent occupancy. Saddle Creek Shopping Center is located on Kuykendahl Road (32,290 vehicles per day), a major thoroughfare of Northwest Houston, which connects Tomball, Spring, and the Woodlands to the North Freeway (Interstate 45) and the Cypress Creek Parkway (FM 1960). The property is an in-line center along Kuykendahl heading north from I-45 into the heavy residential subdivisions of Northwest Houston, exposing it to a high volume of end-of-day commuter traffic. Saddle Creek Shopping Center is located near several residential subdivisions featuring an average household income of $79,466 annually.

Investment Highlights

  • Day One CAP Rate of 7.54 Percent | Achievable 11.56 Percent Pro Forma CAP Rate
  • Value Add Opportunity: 71.6% Occupied | Average In-Place Rents of $9.35 per SF + Triple Nets
  • $86.62 Per Square Foot (Building)
  • In-line Center Located on Major Thoroughfare of Kuykendahl Road
  • Easy Access to Cypress Creek Parkway (FM 1960) and North Freeway (I-45)
  • Exposure to Over 32,000 Vehicles Per Day

Exclusively Listed By

Financing By

Shopping Strip

Saddle Creek Shopping Center

Listing Price: $3,276,000

Cap Rate
7.54%
Gross SF
37,822
Rentable SF
37,822
Price/Gross SF
$86.62
Lot Size
2.70 acres
Year Built
1983

Investment Highlights

  • Day One CAP Rate of 7.54 Percent | Achievable 11.56 Percent Pro Forma CAP Rate
  • Value Add Opportunity: 71.6% Occupied | Average In-Place Rents of $9.35 per SF + Triple Nets
  • $86.62 Per Square Foot (Building)
  • In-line Center Located on Major Thoroughfare of Kuykendahl Road
  • Easy Access to Cypress Creek Parkway (FM 1960) and North Freeway (I-45)
  • Exposure to Over 32,000 Vehicles Per Day

Investment Overview

Marcus & Millichap is pleased to exclusively list for sale Saddle Creek Shopping Center, located at 16140 Kuykendahl Road in Houston, Texas 77068. This neighborhood shopping center features 37,822 square feet of leasable area. The center is currently 72 percent occupied with staggered, long-term leases in place. Currently, the center is charging an average of $9.18 per square foot plus triple nets, which is below the current market rate of $10.80 per square foot plus triple nets. Saddle Creek Shopping Center offers an investor an estimated day-one scheduled CAP rate of 7.54 percent and a cash-on-cash return of 11.16 percent with proposed debt service. Saddle Creek Shopping Center offers investors a strong value-add opportunity to lease vacancies and raise existing rents over time to market rents. By leasing vacancies at below-market rental rates of $8 per square foot plus triple nets, an investor will achieve an 11.56 percent CAP rate and 27.23 percent cash-on-cash return at 95 percent occupancy. Saddle Creek Shopping Center is located on Kuykendahl Road (32,290 vehicles per day), a major thoroughfare of Northwest Houston, which connects Tomball, Spring, and the Woodlands to the North Freeway (Interstate 45) and the Cypress Creek Parkway (FM 1960). The property is an in-line center along Kuykendahl heading north from I-45 into the heavy residential subdivisions of Northwest Houston, exposing it to a high volume of end-of-day commuter traffic. Saddle Creek Shopping Center is located near several residential subdivisions featuring an average household income of $79,466 annually.

Exclusively Listed By

Financing By

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