Calculate cap rates and net operating income for commercial properties in Texas. Compare your results against Texas's primary market benchmarks sourced from CBRE H2 2025.
Texas contains multiple top-tier primary markets. Dallas-Fort Worth is one of the most active industrial markets in the country with exceptional multifamily fundamentals. Houston is the global energy capital with diversified growth. Austin has emerged as a major tech hub (Tesla, Oracle, Samsung, Apple expansions) with compressed cap rates. San Antonio benefits from military and healthcare anchors. No state income tax drives continuous corporate relocation.
| Property Type | Typical Low % | Typical High % |
|---|---|---|
| Multifamily | 5.0% | 6.5% |
| Industrial | 5.0% | 6.5% |
| Retail | 5.5% | 7.5% |
| Office | 6.5% | 9.0% |
Benchmarks sourced from CBRE H2 2025 Cap Rate Survey, JP Morgan, Matthews, and Cushman & Wakefield market data. Ranges represent typical stabilized assets — actual rates vary by asset quality, location, and market conditions.
Texas cap rates range from 5.0–6.5% for multifamily and industrial, 5.5–7.5% for retail, and 6.5–9.0% for office. Dallas-Fort Worth and Austin have the most competitive rates, while Houston and San Antonio trade at modest premiums. Texas industrial markets are among the most liquid and active nationally.
DFW is one of the top US industrial markets driven by its central US location, exceptional highway/rail/air infrastructure, massive population growth, and corporate relocations. The Alliance and I-20 corridors host enormous industrial facilities for Amazon, FedEx, Walmart, and major retailers. DFW's industrial market sees billions in transaction volume annually and attracts the largest institutional industrial investors globally.
Austin's emergence as a major tech hub has compressed cap rates dramatically. Tesla's Gigafactory, Oracle's new HQ, Samsung's $17B semiconductor plant in Taylor, Apple's $1B campus, and dozens of tech company expansions have driven multifamily, industrial, and office demand to primary market levels. Austin now competes with Silicon Valley and New York for institutional capital attention.
This tool is for informational and educational reference only and does not constitute real estate investment advice. Cap rate benchmarks are estimates based on published industry surveys and may not reflect current conditions in your specific market, submarket, or asset class. Actual cap rates vary significantly based on property condition, location, tenant quality, lease terms, and local market dynamics. Always consult a licensed commercial real estate broker, appraiser, or investment advisor before making real estate investment decisions.