Restored Commercial
For Sale
$165,000
1522 Hospital Ave, Franklin, LA 70538
Flexible commercial layout combines customer-facing display space with offices, storage, a bonus room, and two restrooms.
Property Size2,000 SF
Price / SF$82.50
Days on Market31
Property Features for 1522 Hospital Ave
General Information
Standard status
Active
Size
2,000 SF
Amenities
showroom
office space
bonus room
storage closet
restrooms
Listing Agency:
Bayouland Realty Inc
(985) 385-0232
Listed By:
Kathryn Dalton
Source:
Smithsquared
Added: Jul 30
Changed: Aug 28
Last Checked: Aug 28 at 1:56PM
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 Bayouland Realty Inc
Investment Insights
Based on property information with market context.
This restored commercial property at 1522 Hospital Ave in Franklin, Louisiana, includes a dedicated showroom for welcoming customers and presenting products or services. The interior also provides office space, a bonus room, a storage closet, and two restrooms.
The property offers a combination of public-facing and administrative areas within one commercial building, supporting operations that require both presentation space and enclosed work areas.
The property offers a combination of public-facing and administrative areas within one commercial building, supporting operations that require both presentation space and enclosed work areas.
Key Highlights
- Restored commercial building at 1522 Hospital Ave, Franklin, LA 70538
- Spacious showroom for customer reception and product or service presentation
- Multiple office areas included
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
$14,635
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
8.87%
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%
$292,700
$292.7K
Cap Rate 7%
$209,071
$209.1K
Cap Rate 9%
$162,611
$162.6K
Market Conditions
NOI Build-Up for 2,000 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
$22.8K $11.40/SF
− Vacancy
−$1.9K −$0.95/SF
EGI
$20.9K $10.45/SF
− OpEx
−$6.3K −$3.14/SF
NOI
$14.6K $7.32/SF
Area
St. Mary County, LA
Vacancy
8.30%
Lease Rate
$11.40 /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%
$292,700
Cap Rate 7%
$209,071
Cap Rate 9%
$162,611
Alternative Uses
Best Use
Office B
$246.9K
$216.1K – $288.1K
NOI $17,285 @ 7.0% cap · market cap 10.48%
Second Best
Retail
$209.1K
$182.9K – $243.9K
NOI $14,635 @ 7.0% cap · market cap 8.87%
Theoretical Best
Office A
$341.2K
$298.6K – $398.1K
NOI $23,887 @ 7.0% cap · market cap 14.48%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
248
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 70538, LA
12,604
Population
6,428
Households
2
Avg Household Size
42
Median Age
14%
College-Educated
85%
High-School Grad
229.9 sq mi
ZIP Area
55
Density / Sq Mi
$55,662
Median Household Income
$36,436
Median Earnings
$860
Median Rent
$109,100
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?
Showroom - Flexible commercial layout combines customer-facing display space with offices, storage, a bonus room, and two restrooms.
Where is this showroom located?
The property is located at 1522 Hospital Ave Franklin, LA.
What is the asking price?
The asking price for this property is $165,000.
What are key features of this property?
This property features: Restored commercial building at 1522 Hospital Ave, Franklin, LA 70538; Spacious showroom for customer reception and product or service presentation; Multiple office areas included
