Building Details

Year built 1986

Listing Agency: Keller Williams Market Pro Realty Branch · Keller Williams Realty Show Phone

Listed By: Matthew Ford · License #146078 Show Phone

Added: Jun 1 Changed: Sep 7 Last Checked: Sep 7 at 5:06PM

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MLS# 1089442

Copyright © 2026 Western River Valley 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.

This conventional restaurant property is a 4,580-square-foot block building constructed in 1986. The facility is currently used as an event center and includes tables, chairs, a commercial kitchen, four bathrooms, and two handicap-accessible restrooms. Three heat pumps serve the all-electric building, which also has rural water and fiber internet service.

The property occupies 0.87 acres at 20674 S Highway 59 in Evansville, with Highway 59 frontage and a location 7 miles from Stilwell. The building is not currently operating as a restaurant, allowing the existing improvements to support continued event use or a return to restaurant operations. The source information also identifies potential for a convenience store, fuel station, wedding venue, or residential conversion.

Key Highlights

• 4,580‑square‑foot restaurant building on 0.87 acres
• Highway 59 frontage at 20674 S Highway 59
• Currently utilized as an event center

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.

Lease Details

Yes

Highway access

Yes

Paved road access

Yes

Utilities to site

Location Intelligence

Trade Area within ½ mile

12

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 a commercial kitchen, dining furnishings, and multiple restrooms.

Where is this conventional restaurant located?

The property is located at 20674 S 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‑square‑foot restaurant building on 0.87 acres; Highway 59 frontage at 20674 S Highway 59; Currently utilized as an event center