Listing Agency: Keller Williams Market Pro Realty · Keller Williams Realty k***@kw.com Show Phone

Listed By: Matt Ford · License #SA00066218 Show Phone

Added: Jun 8 Changed: Aug 19 Last Checked: Sep 7 at 2:06PM

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MLS# 1351229

Copyright © 2026 ArkansasONE MLS. 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.

This 4,580-square-foot restaurant building sits on 1.6 acres and is currently being used as an event center. The improvements include tables, chairs, and a fully stocked commercial kitchen, providing an existing setup for food service or hosted events. The property is not currently operating as a restaurant.

Located at 20674 Highway 59 in Evansville, Arkansas, the site offers a commercial building with land along a state highway. Potential future directions identified for the property include reopening restaurant operations, continuing event use, establishing a wedding venue, adding convenience retail or fuel service, or converting the building to a residence.

Key Highlights

• 4,580 sq ft building on 1.6 acres
• Fully stocked commercial kitchen included
• Tables and chairs convey with the property

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

$26,777

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

8.93%

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%

$535,540 $535.5K

Cap Rate 7%

$382,529 $382.5K

Cap Rate 9%

$297,522 $297.5K

Market Conditions

NOI Build-Up for 4,580 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

$41.2K $9.00/SF

− Vacancy

−$3.0K −$0.65/SF

EGI

$38.3K $8.35/SF

− OpEx

−$11.5K −$2.51/SF

NOI

$26.8K $5.85/SF

Area

Washington County, AR

Vacancy

7.20%

Lease Rate

$9.00 /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%

$535,540

Cap Rate 7%

$382,529

Cap Rate 9%

$297,522

Alternative Uses

Best Use

Specialty Retail

$825.0K

$721.9K – $962.5K (±1% cap)

NOI $57,749 @ 7.0% cap · market cap 19.26%

Second Best

Industrial

$382.5K

$334.7K – $446.3K (±1% cap)

NOI $26,777 @ 7.0% cap · market cap 8.93%

Theoretical Best

Office A

$1.23M

$1.08M – $1.43M (±1% cap)

NOI $86,054 @ 7.0% cap · market cap 28.69%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Conventional restaurants

Suggested Use

Top Pick Garden Center Hair Salon Nail Salon Grocery & Convenience Store Food Market Spa & Massage Center

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Location Intelligence

Trade Area within ½ mile

13

Businesses Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Demographics for 72729, AR

236

Population

111

Households

2.1

Avg Household Size

48

Median Age

100%

High-School Grad

11.4 sq mi

ZIP Area

21

Density / Sq Mi

$367,900

Median Home Value

Market

Vacancy Rate% for Retail in South region

7% 2020

6.2% 2021

5.1% 2022

4.8% 2023

4.9% 2024

5.4% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this conventional restaurants located? What is the asking price? Find similar properties What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Conventional restaurant - Existing event-center improvements include tables, chairs, and a fully stocked commercial kitchen.

Where is this conventional restaurant located?

The property is located at 20674 Highway 59 Evansville, AR.

What is the asking price?

The asking price for this property is $299,900.

What are key features of this property?

This property features: 4,580 sq ft building on 1.6 acres; Fully stocked commercial kitchen included; Tables and chairs convey with the property