Sullivan Road Commercial
For Sale
$595,200
11237 Sullivan Road, Baton Rouge, LA 70818
3.95 acre commercial tract with redevelopment potential.
Property Size4,500 SF
Price / SF$132.27
Days on Market357
Property Features for 11237 Sullivan Road
General Information
Standard status
Active
Size
4,500 SF
Class
B
Property subtype
Office
Building Details
Building Size
4,500 SF
Listing Agency:
Lee & Associates Louisiana
(225) 278-1205
Listed By:
Elliott Scroggs
(225) 278-1205
Source:
Lee-associates
Added: Sep 10, 2025
Changed: Aug 21
Last Checked: Aug 31 at 2:38PM
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 Lee & Associates Louisiana
Investment Insights
Based on property information with market context.
This 3.95-acre tract is located in the growing area of Sullivan Road in Central Louisiana. The property includes three existing buildings, previously occupied by an accounting service and a plumbing service, totaling 4500 square feet of building space. These units can accommodate various commercial needs, including retail spaces, offices, or service-oriented businesses. The land offers opportunities for future development or expansion projects, providing long-term value and growth potential for investors. The property can be used as a rental property or for redevelopment. Central Louisiana's commercial real estate market has experienced growth driven by diverse factors, including the area's strategic location, accessibility, and evolving urban landscape, attracting businesses across sectors and fueling demand for office spaces, retail outlets, and mixed-use developments. Infrastructure investments, including transportation enhancements, have bolstered connectivity and accessibility, further stimulating commercial activity. Central Louisiana continues to experience steady commercial real estate expansion, offering opportunities for investment and development in a thriving urban environment.
Key Highlights
- 3. 95 acre tract in a growing area of Central Louisiana (Sullivan Road).
- 4500 Total SF building space consisting of 3 separate units.
- Potential for use as rental property or redevelopment.
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
$43,041
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
7.23%
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%
$860,820
$860.8K
Cap Rate 7%
$614,871
$614.9K
Cap Rate 9%
$478,233
$478.2K
Market Conditions
NOI Build-Up for 4,500 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
$58.9K $13.08/SF
− Vacancy
−$1.5K −$0.33/SF
EGI
$57.4K $12.75/SF
− OpEx
−$14.3K −$3.19/SF
NOI
$43.0K $9.56/SF
Area
Baton Rouge, LA
Vacancy
2.50%
Lease Rate
$13.08 /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%
$860,820
Cap Rate 7%
$614,871
Cap Rate 9%
$478,233
Alternative Uses
Best Use
Retail
$1.01M
$880.1K – $1.17M
NOI $70,410 @ 7.0% cap · market cap 11.83%
Second Best
Office B
$614.9K
$538.0K – $717.4K
NOI $43,041 @ 7.0% cap · market cap 7.23%
Theoretical Best
Specialty Retail
$1.08M
$943.0K – $1.26M
NOI $75,440 @ 7.0% cap · market cap 12.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
364
Businesses Nearby
Explore this area
Business Placement
Demographics for 70818, LA
10,492
Population
4,358
Households
2.4
Avg Household Size
40
Median Age
36%
College-Educated
96%
High-School Grad
14.8 sq mi
ZIP Area
709
Density / Sq Mi
$77,262
Median Household Income
$49,741
Median Earnings
$1,353
Median Rent
$255,800
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - 3.95 acre commercial tract with redevelopment potential.
Where is this office building located?
The property is located at 11237 Sullivan Road Baton Rouge, LA.
What is the asking price?
The asking price for this property is $595,200.
What are key features of this property?
This property features: 3. 95 acre tract in a growing area of Central Louisiana (Sullivan Road).; 4500 Total SF building space consisting of 3 separate units.; Potential for use as rental property or redevelopment.
