Restaurant with Kitchen
For Sale
$495,000
224 E 32ND Avenue, Covington, LA 70433
Commercial, Covington, LA
Property Size1,131 SF
Lot Size0.13 Acres
Price / SF$437.67
Days on Market92
Property Features for 224 E 32ND Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C
Parking features
Off Street
Subdivision
Not a Subdivision
Lot features
Regular
Standard status
Active
APN
70433224E32NDAV
Size
1,131 SF
Lot size
0.13 Acres
Utilities
Water source
Public
Building Details
Year built
2005
Floors in Building
1
Listing Agency:
1 Percent Lists
(985) 807-0001
Listed By:
Taylor Dossett Finn
(985) 264-8169
Added: Jun 10
Changed: Sep 2
Last Checked: Sep 9 at 6:06AM
MLS# 2562333
Copyright © 2026 New Orleans Metropolitan Association of REALTORS®. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 1,131-square-foot restaurant property occupies 0.132 acres and was built in 2005. The sale includes tables, chairs, and kitchen equipment, providing an established physical setup for restaurant operations. The property has off-street parking, public water service, and C zoning.
Located near downtown Covington, the restaurant is positioned among local shops, the courthouse, and other businesses. The current owner is willing to lease the property back for 12 months, offering a defined occupancy arrangement for the buyer.
Located near downtown Covington, the restaurant is positioned among local shops, the courthouse, and other businesses. The current owner is willing to lease the property back for 12 months, offering a defined occupancy arrangement for the buyer.
Key Highlights
- 1,131‑square‑foot restaurant property on 0.132 acres
- Sale includes tables, chairs, and kitchen equipment
- Built in 2005 with C zoning
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$20,220
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
4.08%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$404,400
$404.4K
Cap Rate 7%
$288,857
$288.9K
Cap Rate 9%
$224,667
$224.7K
Market Conditions
NOI Build-Up for 1,131 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$28.2K $24.96/SF
− Vacancy
−$1.3K −$1.12/SF
EGI
$27.0K $23.84/SF
− OpEx
−$6.7K −$5.96/SF
NOI
$20.2K $17.88/SF
Area
St. Tammany County, LA
Vacancy
4.50%
Lease Rate
$24.96 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$404,400
Cap Rate 7%
$288,857
Cap Rate 9%
$224,667
Alternative Uses
Best Use
Specialty Retail
$288.9K
$252.8K – $337.0K
NOI $20,220 @ 7.0% cap · market cap 4.08%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$12.19M
$10.67M – $14.22M
NOI $853,462 @ 7.0% cap · market cap 172.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
337
Businesses Nearby
24k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 92%
Beauty & Spa 4%
Home Improvements & Furnishings 3%
Capital One Bank
Shops & Services
12,602 visits/mo
0.1 miles
Napa Auto Parts
Shops & Services
2,958 visits/mo
0.3 miles
Take 5 Oil Change
Shops & Services
2,864 visits/mo
0.3 miles
O'Reilly Auto Parts
Shops & Services
2,851 visits/mo
0.4 miles
Merle Norman Cosmetic Studio
Beauty & Spa
1,051 visits/mo
0.4 miles
Demographics for 70433, LA
41,423
Population
18,712
Households
2.2
Avg Household Size
42
Median Age
45%
College-Educated
93%
High-School Grad
48.7 sq mi
ZIP Area
851
Density / Sq Mi
$79,354
Median Household Income
$47,406
Median Earnings
$1,373
Median Rent
$316,200
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Conventional restaurant - Sale includes furnishings, kitchen equipment, off-street parking, and public water service.
Where is this conventional restaurant located?
The property is located at 224 E 32ND Avenue Covington, LA.
What is the asking price?
The asking price for this property is $495,000.
What are key features of this property?
This property features: 1,131‑square‑foot restaurant property on 0.132 acres; Sale includes tables, chairs, and kitchen equipment; Built in 2005 with C zoning
