What is the typical cap rate for office in Houston?

About 9.0% as of Q4 2025, per multiple brokerages.

Is the Houston office market tightening or softening?

Vacancy is around 10.0%, with asking rents rising year over year (Q4 2025).

Office

1600 Smith

1600 Smith, Houston, TX 77002

Price

Price on request

Description

1600 Smith 1600 Smith is located in the heart of Houston offering commanding views, contemporary architecture, and open green space. Abundant parking and direct access make this building a unique opportunity in Downtown Houston.

Property description as provided by the listing source. PropZone adds independent market context, valuation estimates, and comparable listings.

Location

1600 Smith, Houston, TX 77002

Leaflet © OpenStreetMap contributors

Market Context

As of Q4 2025, the Houston office market showed a 10.0% vacancy rate, rents up 26.5% year over year, and cap rates around 9.0%. Source: multiple brokerages Q4 2025 market report.

Projected current pricing

low confidence

Projected asking rent

$31.81–$31.91/SF/yr

Estimated sale value

$133–$173/SF

Modeled estimate (income approach) shown as a range — not an appraisal. Projected asking rent × occupancy × net-operating-income margin band ÷ market cap rate, from Q1 2026 Cushman & Wakefield data (cap rate 9.0%, asking rent trend-adjusted to today).

View the full Houston Office market report →

Rising rents point to a competitive market where well-priced, well-located assets trade quickly.

Compare it against other office listings for sale in Houston, TX to benchmark pricing and space — view the full market.

Office market FAQ

What is the typical cap rate for office in Houston?: About 9.0% as of Q4 2025, per multiple brokerages.
Is the Houston office market tightening or softening?: Vacancy is around 10.0%, with asking rents rising year over year (Q4 2025).