Houston, TX Commercial Real Estate Market Trends

Commercial Real Estate Market Report

This page provides a high-level view of commercial real estate conditions in Houston, combining current pricing, property scale, and active inventory to support early market evaluation.

Explore Commercial Properties in Houston

Browse properties currently for sale or lease to see how local market pricing and building sizes translate into real opportunities.

 

Houston's Demographic Profile

With a population of 2,393,902 and a median household income of $56,401, these metrics help investors gauge whether Houston's pricing reflects local demand fundamentals.

Key Demographic Metrics Value
Population 2,393,902
# Households 929,163
Median age 36
Median household income $56,401
Avg household size 3
Renter-occupied housing units 545,130
5-year population change 3%

Commercial Real Estate Market Snapshot in Houston

These market metrics outline current pricing, typical deal size, and observed cap rate ranges, giving investors a quick read on entry costs and high-level underwriting expectations.

Key Market Metrics Value
Avg asking sale price $295 per SF
Avg asking lease rate $20 per SF
Avg unit size for lease 13,165 SF
Avg building size for sale 34,897 SF
Average cap rate 7.08%

In Houston, commercial properties are currently listed at an average sale price of $295 per square foot, with average lease rates around $20 per square foot. Typical leased spaces are approximately 13,165 SF, while properties for sale average 34,897 SF in building size. Observed cap rates average 7.08%, offering a reference point for return expectations relative to pricing and deal scale.

 

Commercial Properties For Sale In Houston

The listings below reflect how current market pricing and building scale translate into active opportunities available today.
For Sale

Fully Unencumbered - Heritage Place Hotel

Houston, TX 77092

  • 92,825 SF Hospitality
  • Auction Sale
For Sale

Passive Investment – 1031 Eligible

Houston, TX

For Sale

Chasewood Crossing Portfolio

Houston, TX

  • Office Building
For Sale

6025 Highway 6 N

Houston, TX 77084

  • 33,487 SF Retail Building
  • $9,850,000
For Sale

5025 Jensen Dr

Houston, TX 77026

  • 48,600 SF Industrial Building
  • $3,500,000
For Sale

1001 McKinney St

Houston, TX 77002

  • 375,440 SF Office Building
For Sale

14531 FM 529

Houston, TX 77084

  • 53,610 SF Specialty
For Sale

Austin Bank Building

Spring, TX 77379

  • 29,810 SF Office Building
  • $4,200,000

 

Commercial Market Metrics by Property Type

Office Building Market Metrics Near Houston

Office market metrics highlight how pricing, typical deal size, and return expectations vary across submarkets, helping investors compare entry costs and yield potential efficiently.

Nearby Office Markets Avg Cost/SF Typical Size Cap Max
Houston $298 31,227 SF 15.71%
Humble $250 3,846 SF 6.78%
Cypress $278 24,831 SF 7.00%

Industrial Property Market Metrics Near Houston

Industrial market data shows how cost per square foot and typical building size differ by submarket, supporting comparisons around deal scale and pricing alignment.

Nearby Industrial Markets Avg Cost/SF Typical Size Cap Max
Houston $207 44,835 SF 15.71%
Humble $264 69,993 SF 7.00%
Stafford $491 45,291 SF 7.79%
South Houston $187 38,760 SF 7.94%
Cypress $215 41,615 SF 7.00%

 

Retail Property Market Metrics Near Houston

Retail pricing varies widely across nearby markets, making this comparison useful for identifying where cost per square foot and deal size diverge most.

Nearby Retail Markets Avg Cost/SF Typical Size
Houston $431 15,555 SF
Humble $336 7,983 SF
Stafford $434 7,349 SF
South Houston $988 32,446 SF
Cypress $358 11,453 SF

Multifamily Property Market Metrics Near Houston

Multifamily metrics show how pricing and building size relate to observed cap rate ranges, helping investors evaluate income potential relative to entry cost.

Nearby Multifamily Markets Avg Cost/SF Typical Size Cap Max
Houston $178 21,396 SF 12.33%
Pasadena $102 39,046 SF 8.00%

 

How Investors Evaluate Commercial Real Estate Markets in Houston

Use these tools to move from market-level signals to deal-level math. Each calculator helps translate Houston pricing, rents, and building size into concrete metrics like value, income, and space requirements, so you can validate assumptions before spending time on individual listings.

 

Nearby Commercial Markets

Comparing nearby markets helps investors see whether Houston pricing and building scale sit above, below, or in line with surrounding areas.

Commercial Markets Avg Cost/SF Average Size
Houston $295 34,897 SF
Bellaire $500 180,641 SF
Galena Park $755 9,047 SF
Humble $290 35,854 SF
Stafford $394 24,610 SF

Multifamily For Sale In Houston

Multifamily listings shown here connect market pricing and cap rate patterns with income-producing opportunities currently available.
For Sale

Thompson St Airbnb Portfolio 9.7% Cap!

Houston, TX

  • 9.70% Cap Rate
  • $4,600,000

Regional Demographic Comparison

This comparison places Houston alongside nearby cities to show how population size, household counts, and income levels differ across the region. Viewing these markets side by side helps investors understand whether local demand and income characteristics are concentrated in Houston or distributed across surrounding areas.

City Population # Households Age MedianHouseholdIncome AvgHouseholdSize RenterOccupiedHousingUnits FiveYrPopGrowthPct
Houston 2,393,902 929,163 36 $56,401 3 545,130 3%
Bellaire 17,334 5,845 44 $203,331 3 697 2%
Galena Park 10,349 2,974 32 $43,294 4 1,116 1%
Humble 16,530 5,940 35 $56,007 3 3,485 2%
Stafford 19,708 7,772 37 $70,359 3 4,734 18%

FAQs About Commercial Investing in Houston

View All Commercial Real Estate For Sale in Houston
Is Houston a good market for a first-time commercial real estate investor?

Houston offers commercial properties across a wide range of sizes and price points. By reviewing the market data and benchmarks on this page, first-time investors can better understand what a typical commercial property looks like before committing capital and narrowing in on specific listings.

How can this market data help me decide whether to buy commercial property for my business in Houston?

The pricing and size metrics on this page help business owners compare the cost of ownership against leasing in Houston. Typical building sizes and asking prices provide a starting point for evaluating space needs, budget fit, and long term occupancy costs before engaging lenders or brokers.

What should conservative investors focus on when evaluating commercial properties in Houston?

Conservative investors often prioritize manageable deal sizes, stable pricing ranges, and cap rate benchmarks shown for Houston. These metrics help assess whether current market conditions support steady income potential without relying on aggressive assumptions.

How does Houston compare to nearby commercial real estate markets?

Nearby market comparisons highlight differences in pricing, building scale, and cap rate ranges relative to Houston. Reviewing these side by side helps experienced investors identify relative value, pricing premiums, or alternative markets that may better align with return targets.

How can this page support early-stage deal screening for Houston acquisitions?

This page provides high-level benchmarks for pricing, deal size, and observed cap rates in Houston, which are useful for initial market filtering. Institutional and data-driven investors often use these signals to prioritize listings that meet size, pricing, and return thresholds before deeper underwriting.