Commercial Site on Hard
For Sale
$1,685,000
1108 N University Ave, Lafayette, LA 70506
1.42 acre commercial site suitable for retail or automotive use.
Property Size10,000 SF
Lot Size1.42 Acres
Price / SF$168.50
Days on Market1087
Property Features for 1108 N University Ave
General Information
Standard status
Active
Size
10,000 SF
Lot size
1.42 Acres
Listing Agency:
Bajat Realty, LLC
(337) 658-2584
Listed By:
Sheri Bajat
(337) 658-2584
Source:
Exprealty
Added: Sep 8, 2023
Changed: Aug 20
Last Checked: Aug 26 at 12:00PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Bajat Realty, LLC
Investment Insights
Based on property information with market context.
This commercial site, currently operating as an established auto paint and body shop, is located on a hard corner and zoned CH. It is situated approximately 1/2 mile from both I-10 and I-49, adjacent to the new Truman Early Childhood Education Center. The property spans 1.42 acres and includes a 10,000 sq ft main building. The main building features an approximately 540 sq ft office/reception area with one bathroom. The remaining 9,460 sq ft of the main building contains 4 stalls and 2 bathrooms. There is parking for 15 cars, with a fenced area capable of accommodating up to 100 cars. A new AC unit was installed 2 years ago. Additionally, there is a 40x60 metal building in the rear with its own power source, a compressor, and two 14 ft roll-top doors, enclosed by a privacy fence. Gas is provided by Atmos, and the property utilizes City Electric. Potential uses for the site include a convenience store, industrial operations, retail, warehouse, or auto-related businesses.
Key Highlights
- Excellent commercial site on a hard corner zoned CH (Commercial Highway) with potential for various uses.
- Prime location: Centrally located, 1/2 mile from I‑10 and I‑49, adjacent to the new Truman Early Childhood Education Center.
- Substantial 1.42‑acre site with a 10,000 sq ft main building currently operating as an established auto paint & body shop.
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
$121,277
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
7.20%
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%
$2,425,540
$2.4M
Cap Rate 7%
$1,732,529
$1.7M
Cap Rate 9%
$1,347,522
$1.3M
Market Conditions
NOI Build-Up for 10,000 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
$188.4K $18.84/SF
− Vacancy
−$15.1K −$1.51/SF
EGI
$173.3K $17.33/SF
− OpEx
−$52.0K −$5.20/SF
NOI
$121.3K $12.13/SF
Area
Lafayette, LA
Vacancy
8.04%
Lease Rate
$18.84 /SF/Yr
Expense Ratio
30.00%
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%
$2,425,540
Cap Rate 7%
$1,732,529
Cap Rate 9%
$1,347,522
Alternative Uses
Best Use
Retail
$1.73M
$1.52M – $2.02M
NOI $121,277 @ 7.0% cap · market cap 7.20%
Second Best
Industrial
$674.0K
$589.8K – $786.4K
NOI $47,181 @ 7.0% cap · market cap 2.80%
Theoretical Best
Office A
$2.36M
$2.07M – $2.76M
NOI $165,504 @ 7.0% cap · market cap 9.82%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
315
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 70506, LA
39,801
Population
20,296
Households
2
Avg Household Size
36
Median Age
37%
College-Educated
91%
High-School Grad
20.8 sq mi
ZIP Area
1,914
Density / Sq Mi
$55,553
Median Household Income
$38,764
Median Earnings
$1,024
Median Rent
$215,700
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.
Similar Off Market Nearby
- Lafayette Auto Glass Repair — 2500 Cameron St, Lafayette, LA 70506
- Sam’s New & Used Tires — 1620 Cameron St, Lafayette, LA 70506
- Lafayette Onsite Truck Repair — 115 S Washington St, Lafayette, LA 70501
- King's used tires — 101 S Pierce St, Lafayette, LA 70501
- Jays Automotive Plus — 314 jolivet st, lafayette, la 70501
Frequently Asked Questions
What type of property is this?
Auto shop - 1.42 acre commercial site suitable for retail or automotive use.
Where is this auto shop located?
The property is located at 1108 N University Ave Lafayette, LA.
What is the asking price?
The asking price for this property is $1,685,000.
What are key features of this property?
This property features: Excellent commercial site on a hard corner zoned CH (Commercial Highway) with potential for various uses.; Prime location: Centrally located, 1/2 mile from I‑10 and I‑49, adjacent to the new Truman Early Childhood Education Center.; Substantial 1.42‑acre site with a **10,000 sq ft main building** currently operating as an established auto paint & body shop.
