Question 1

Why work with SCORE Property Group instead of a large brokerage?

Accepted Answer

SCORE Property Group gives you the best of both: boutique, high-touch service from Steven Owen directly, backed by Compass, the largest brokerage in the United States — so you get senior-level attention plus national marketing reach and an extensive developer and investor network. What makes Steven unusual for a real estate agent is his background: a BS in Engineering from SMU and an MBA in Finance from NYU, plus years as an operator and executive (CFO/COO and partner of CLEAN Cause, founder and president of EZ Gold Exchange, president and COO of Wondercide, and a former IBM executive responsible for over $100 million in Fortune 100 projects). He evaluates every deal through both an engineering and a financial-modeling lens, and as a born-and-raised Austinite he brings intuitive, hyperlocal market knowledge. That combination of analytical rigor, real operator experience, local insight, and big-brokerage backing is rare among agents — and it is what lets him find and defend maximum value for clients.

Question 2

How much is my development land worth in Austin?

Accepted Answer

Development land in Austin is worth what its highest and best use can support after entitlement, not what comparable raw acreage sold for. Inside Austin city limits, developable land commonly ranges from about $300,000 to over $1,000,000 per acre, reaching $1.5M–$2M per acre in premium areas like Westlake and far less for rural Hill Country tracts. The accurate method is a residual land analysis: estimate finished project value at the site's zoning and density, subtract construction, soft costs, and developer profit, and the remainder is the supportable land price.

Question 3

How do I sell raw land to a developer in Austin?

Accepted Answer

Establish highest and best use through zoning, utility, and entitlement analysis; price it with a residual land model rather than comps alone; package the vision with site plans, demographics, and a pro forma in an offering memorandum; market it directly to active developers and broadly on CoStar/LoopNet and Crexi; and structure terms (feasibility period, extensions, earnest money) that protect you. Developers buy potential, so the sale is won by demonstrating what can be built.

Question 4

What do developers look for when buying land for multifamily?

Accepted Answer

Zoning or a clear entitlement path for the needed density; wet and dry utility capacity (water, wastewater, electric); access and traffic counts; floodplain, topography, and tree constraints; proximity to jobs, retail, and transit; submarket demand; and a land basis low enough that the project pencils at achievable rents. In Austin, wastewater capacity, impervious-cover limits, and entitlement timelines are decisive.

Question 5

Where are the best development sites in the Austin area?

Accepted Answer

The strongest corridors follow the highways and job growth: the I-35 and SH-130 spines (Round Rock, Pflugerville, Georgetown, Hutto, Kyle, Buda, San Marcos), the US-290 and SH-71 corridors, and the US-183 tech corridor. The best site is use-specific — multifamily wants jobs and density approvals, industrial wants highway access and large flat tracts, retail wants rooftops and traffic. Sites positioned ahead of announced infrastructure and employer moves capture the most value.

Question 6

How do developers find off-market land in Central Texas?

Accepted Answer

Off-market land trades through agent relationships and direct-to-owner outreach, not public listings. Active agents circulate opportunities within a private network of developers, investors, and landowners before anything lists; other channels include appraisal-district ownership research, title and entity skip-tracing, and pocket listings shared agent-to-agent. An agent with a curated, active rolodex is the most reliable way to access or surface off-market tracts.

Question 7

What makes a good industrial development site near Austin?

Accepted Answer

Highway access (I-35, SH-130, US-183, US-290); a large, flat, well-drained tract; available heavy power and water/wastewater; industrial-permissive zoning or an entitlement path; and proximity to labor and distribution routes. Depth for truck courts and trailer parking, manageable floodplain/impervious-cover constraints, and rail access for certain users add value. The SH-130 corridor and east/southeast Austin have been the primary industrial growth areas.

Question 8

Is Austin industrial real estate a good investment right now?

Accepted Answer

Austin industrial can be a strong long-term investment, but 2026 Q2 is a tenant's/buyer's market short-term. Vacancy reached about 14.2% as ~8.5M SF of new supply (only 17% preleased) outpaced absorption, pressuring rents and favoring buyers on price. Long-term demand fundamentals remain strong. The right entry depends on basis, tenant credit, and lease term; logistics carries the most lease-up risk (~17.6% vacancy) while specialized industrial is tight (~4%).

Question 9

What are industrial cap rates in Austin?

Accepted Answer

As of 2026 Q2 (CoStar), Austin industrial cap rates sit in roughly the 7% range, with pricing soft as vacancy holds near a two-decade high; well-leased credit assets trade tighter while higher-vacancy product prices higher. Cap rate is net operating income divided by price, so a 7% cap on $1,000,000 of NOI implies an ~$14.3 million value. Rates vary by tenant credit, remaining lease term, building class, and submarket.

Question 10

How do I buy an industrial building in Austin?

Accepted Answer

Define your requirements (size, clear height, dock vs. grade, power, zoning, owner-occupant vs. investment); get financing pre-qualified; search on-market (CoStar, Crexi) and tap agent networks for off-market deals; underwrite each target on NOI, cap rate, lease terms, and condition; make a calibrated offer; run due diligence (title, survey, Phase I environmental, zoning, building systems); and coordinate to close. A buyer's agent represents you at no direct cost since commission is typically paid from the sale.

Question 11

How much does it cost to lease warehouse space in Austin?

Accepted Answer

In early 2026, Austin warehouse space leases for roughly $10–$16 per square foot per year on a triple-net (NNN) basis, with the market average asking rent around $14.43 per square foot. NNN operating expenses (taxes, insurance, common-area maintenance) typically add about $4 per square foot per year. A 10,000-square-foot space at $14 NNN plus $4 in expenses runs about $184,000 per year, roughly $15,000 per month. Rates vary by class, location, clear height, and office finish.

Question 12

Do I need a tenant rep agent to lease industrial space?

Accepted Answer

You don't strictly need one, but it is strongly advisable and usually free to the tenant. A tenant representative works only for you, surfaces both listed and off-market options, knows true effective rents and concessions, and negotiates terms (free rent, TI allowance, renewal and expansion options) tenants rarely secure alone. The landlord typically pays the tenant rep's commission out of the listing fee, so representation costs the tenant nothing while leveling a lopsided negotiation.

Question 13

What is a good cap rate for an NNN retail property in Texas?

Accepted Answer

As of early 2026, a good cap rate for NNN retail in Texas is roughly 5.5% to 6.5% for a solid single-tenant property with a creditworthy national tenant and meaningful lease term remaining. Nationally, single-tenant net-lease retail averages about 6.45%, while premium investment-grade QSR and convenience stores trade tighter at ~4.0%–5.2%. Texas often prices below the national average due to strong growth and no state income tax. 'Good' is risk-adjusted for the tenant's credit and lease term, not simply the highest number.

Question 14

How do I buy a triple-net (NNN) lease property in Austin?

Accepted Answer

Define your criteria (target cap rate, tenant credit, lease term, price, and whether it's a 1031 exchange); line up financing or 1031 timing; source on- and off-market listings through agent networks; underwrite each deal on tenant credit, remaining term, rent escalations, and the real-estate fundamentals if the tenant leaves; review the lease and estoppel carefully to confirm what's truly net; complete due diligence; and close. Because NNN buyers frequently use 1031 exchanges, identification and closing deadlines often drive the process.

Question 15

How does a 1031 exchange work for Texas commercial property?

Accepted Answer

A 1031 exchange defers federal capital-gains tax when you sell commercial property held for investment or business use and reinvest into like-kind replacement property. You sell; proceeds go to a qualified intermediary (you cannot touch them); within 45 days you identify replacement property in writing; and within 180 days of the sale you close on it. To fully defer, buy property of equal or greater value and reinvest all equity, replacing debt with new debt or cash. Texas has no state income tax, so the deferral is federal, but the same rules apply to Texas property.

Question 16

What qualifies as a like-kind property in a 1031 exchange?

Accepted Answer

For real estate, like-kind is interpreted broadly: any U.S. real property held for investment or productive business use can be exchanged for any other such real property. Raw land can be exchanged for an apartment building, an industrial building for a retail center, or one property for several. It does not include a primary residence, property held primarily for resale (dealer/flip inventory), or, since 2018, personal property and most non-real-estate assets. Both properties must be held for investment or business use, not personal use.

Austin commercial real estate: frequently asked questions

Working with SCORE