Medical Office Building with Operating
For Sale
$3,800,000
166 Corporate Drive, Houma, LA 70360
Commercial Sale, Houma, LA
Property Size10,853 SF
Lot Size1.12 Acres
Price / SF$350.13
Days on Market474
Property Features for 166 Corporate Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Bathrooms
4
Full bathrooms
4
Rooms
Bathroom 3, Bathroom 4, Bathroom 1, Bathroom 2
Parking
39
Exterior features
Pole Sign
Accessibility
Accessible Approach with Ramp
Subdivision
Corporate Acres
Directions
From West Tunnel Blvd. left onto Corporate Drive, building on right.
Standard status
Active
Size
10,853 SF
Lot size
1.12 Acres
Taxes and HOA fees
Tax Description
Tract 5-A (Redivision) Block 4, Adden. No. 1, Corporate Acres Subdivision
Legal Description
Tract 5-A (Redivision) Block 4, Adden. No. 1, Corporate Acres Subdivision
Utilities
Utilities
Natural Gas Available
Sewer type
Public Sewer
Amenities
covered drop off/pick up area
fire alarm system
Building Details
Floors in Building
1
Flooring type
Carpet - Full, Concrete, Tile, Tile - Ceramic, Vinyl
Building materials
Brick, Metal Const
Roof type
Metal, Rubber
Listing Agency:
KELLER WILLIAMS REALTY BAYOU P
(985) 262-4400
Listed By:
Hank Babin · License #37498
(985) 804-9991
Added: May 6, 2025
Changed: Aug 19
Last Checked: Aug 22 at 2:06PM
MLS# 2025008292
Copyright © 2026 Bayou Board 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.
A built-in 2008 ambulatory healthcare facility designed for clinical care, currently configured with treatment rooms, exam rooms, and an operating room. The layout includes a covered drop off/pick up area that opens to a large check-in and waiting area, with additional support spaces including a business/insurance center and Administrator’s Office. Clinical areas include a Mammography Suite with its own waiting area, four treatment/exam rooms, and a dressing room with a separate bathroom. The Surgical Suite provides a Pre-Op and Recovery Room with nurse’s station and space for five patients, followed by a sterile corridor and operating room setup with an area for surgical instruments and supplies. The remainder of the facility includes multiple exam rooms, doctor offices, nurse’s stations, break room, supply rooms, locked medicine room, and staff lockers.
The 10,853 SF, one-story steel frame building uses non-combustible construction, with a 2 ply membrane roof over steel beams and bar joists. It is protected by an automatic sprinkler fire protection system and fire alarm system. The site totals 1.12 acres on Corporate Dr. between Tunnel Blvd. and Hollywood Road, and the entire building is in FEMA Flood Zone X, with a small portion of the parking lot in Zone AE (El 6). The property has 39 total parking spaces, including 4 handicap access spaces, and an accessible approach with ramp.
Portions of the building are structured to support adding a future 6,843 SF second floor for additional doctor’s offices, including an elevator.
The 10,853 SF, one-story steel frame building uses non-combustible construction, with a 2 ply membrane roof over steel beams and bar joists. It is protected by an automatic sprinkler fire protection system and fire alarm system. The site totals 1.12 acres on Corporate Dr. between Tunnel Blvd. and Hollywood Road, and the entire building is in FEMA Flood Zone X, with a small portion of the parking lot in Zone AE (El 6). The property has 39 total parking spaces, including 4 handicap access spaces, and an accessible approach with ramp.
Portions of the building are structured to support adding a future 6,843 SF second floor for additional doctor’s offices, including an elevator.
Key Highlights
- 10,853 SF medical office building with treatment/exam rooms and an operating room
- Constructed in 2008; one‑story steel frame with non‑combustible construction
- Covered patient drop off/pick up to large check‑in and waiting area
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
$170,104
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
4.48%
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%
$3,402,080
$3.4M
Cap Rate 7%
$2,430,057
$2.4M
Cap Rate 9%
$1,890,044
$1.9M
Market Conditions
NOI Build-Up for 10,853 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
$293.0K $27.00/SF
− Vacancy
−$66.2K −$6.10/SF
EGI
$226.8K $20.90/SF
− OpEx
−$56.7K −$5.22/SF
NOI
$170.1K $15.67/SF
Area
Terrebonne County, LA
Vacancy
22.60%
Lease Rate
$27.00 /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%
$3,402,080
Cap Rate 7%
$2,430,057
Cap Rate 9%
$1,890,044
Alternative Uses
Best Use
Office B
$2.43M
$2.13M – $2.84M
NOI $170,104 @ 7.0% cap · market cap 4.48%
Second Best
Healthcare Medical
$2.17M
$1.90M – $2.53M
NOI $151,790 @ 7.0% cap · market cap 3.99%
Theoretical Best
Office A
$2.99M
$2.62M – $3.49M
NOI $209,419 @ 7.0% cap · market cap 5.51%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Sprinkler system
Location Intelligence
Trade Area within ½ mile
973
Businesses Nearby
Explore this area
Business Placement
Demographics for 70360, LA
28,014
Population
12,283
Households
2.3
Avg Household Size
40
Median Age
32%
College-Educated
90%
High-School Grad
60.1 sq mi
ZIP Area
466
Density / Sq Mi
$82,365
Median Household Income
$44,925
Median Earnings
$1,085
Median Rent
$297,100
Median Home Value
Market
Vacancy Rate% for Office 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?
Medical center - 2008 one-story medical office building with treatment and exam rooms, plus an operating room and covered patient drop-off.
Where is this medical center located?
The property is located at 166 Corporate Drive Houma, LA.
What is the asking price?
The asking price for this property is $3,800,000.
What are key features of this property?
This property features: 10,853 SF medical office building with treatment/exam rooms and an operating room; Constructed in 2008; one‑story steel frame with non‑combustible construction; Covered patient drop off/pick up to large check‑in and waiting area
