Two-Story Office
For Sale
$650,000
137 TerraBella Blvd, Covington, LA 70433
Flexible office layout with multiple private rooms, shared meeting space, kitchenettes, and an option for separate suites.
Property Size2,592 SF
Price / SF$250.77
Days on Market174
Property Features for 137 TerraBella Blvd
General Information
Standard status
Active
Size
2,592 SF
Property subtype
Office
Zoning
PUD
Amenities
Power
Water
Sewer
Building Details
Buildings
1
Stories
2
Building Size
2,592 SF
Tenancy
Single
Listing Agency:
KPG Realty, LLC
(985) 373-6417
Listed By:
Brent Cordell · License #995690890
(985) 373-6417
Source:
Lacdb.resimplifi
Added: Mar 10
Changed: Aug 29
Last Checked: Aug 30 at 1:29PM
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 KPG Realty, LLC
Investment Insights
Based on property information with market context.
Located at 137 TerraBella Blvd in Covington, this 2,592-square-foot office building is arranged across two floors. The property includes a reception area, waiting area, conference room, four offices, two kitchenettes, three bathrooms, and two supply closets. The configuration can also be divided into two separate suites, offering flexibility for occupancy or operational planning. High-end finishes are installed throughout the building.
The first floor contains an office, bathroom, kitchenette, waiting area, reception space, and conference room. Upstairs are three offices, two restrooms, a kitchenette, and two supply closets. The property is zoned PUD and has a 5 Year Lease signed 6/1/2025, along with a 5 year renewal option.
The first floor contains an office, bathroom, kitchenette, waiting area, reception space, and conference room. Upstairs are three offices, two restrooms, a kitchenette, and two supply closets. The property is zoned PUD and has a 5 Year Lease signed 6/1/2025, along with a 5 year renewal option.
Key Highlights
- 2,592 square feet across a two‑story office building
- Four offices, conference room, reception area, and waiting area
- Two kitchenettes and three bathrooms
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
$29,412
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
4.52%
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%
$588,240
$588.2K
Cap Rate 7%
$420,171
$420.2K
Cap Rate 9%
$326,800
$326.8K
Market Conditions
NOI Build-Up for 2,592 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
$50.7K $19.56/SF
− Vacancy
−$11.5K −$4.43/SF
EGI
$39.2K $15.13/SF
− OpEx
−$9.8K −$3.78/SF
NOI
$29.4K $11.35/SF
Area
St. Tammany County, LA
Vacancy
22.65%
Lease Rate
$19.56 /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%
$588,240
Cap Rate 7%
$420,171
Cap Rate 9%
$326,800
Alternative Uses
Best Use
Office B
$420.2K
$367.7K – $490.2K
NOI $29,412 @ 7.0% cap · market cap 4.52%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$27.94M
$24.45M – $32.60M
NOI $1,955,944 @ 7.0% cap · market cap 300.91%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
663
Businesses Nearby
Explore this area
Business Placement
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 Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Flexible office layout with multiple private rooms, shared meeting space, kitchenettes, and an option for separate suites.
Where is this office building located?
The property is located at 137 TerraBella Blvd Covington, LA.
What is the asking price?
The asking price for this property is $650,000.
What are key features of this property?
This property features: 2,592 square feet across a two‑story office building; Four offices, conference room, reception area, and waiting area; Two kitchenettes and three bathrooms
