Renovated
For Sale
$479,000
2254 56 N Derbigny St, New Orleans, LA 70117
Three-unit residential property featuring refreshed fixtures, wood floors, tiled bathrooms, and ceiling fans.
Property Size3,106 SF
Price / SF$154.22
Days on Market45
Property Features for 2254 56 N Derbigny St
General Information
Standard status
Active
Size
3,106 SF
Property subtype
Multi-Family
Additional Details
Multifamily Units
3
Amenities
ceiling fans
Building Details
Year Built
1925
Listing Agency:
Investors' Realty
(504) 228-6666
Listed By:
Joseph Hermo · License #000034853
Source:
Dominionplace
Added: Jul 18
Changed: Aug 27
Last Checked: Aug 31 at 6:59PM
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 Investors' Realty
Investment Insights
Based on property information with market context.
This three-unit residential property contains 3,106 square feet and was originally built in 1925. The interior has been renovated with wood flooring, ceramic tile in the bathrooms, and tiled tub surrounds. Updated fixtures and ceiling fans are also included throughout the property.
Key Highlights
- 3,106‑square‑foot triplex
- Interior renovation completed with new fixtures
- Wood flooring throughout 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
$39,330
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
8.21%
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%
$786,600
$786.6K
Cap Rate 7%
$561,857
$561.9K
Cap Rate 9%
$437,000
$437.0K
Market Conditions
NOI Build-Up for 3,106 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
$61.5K $19.80/SF
− Vacancy
−$5.3K −$1.71/SF
EGI
$56.2K $18.09/SF
− OpEx
−$16.9K −$5.43/SF
NOI
$39.3K $12.66/SF
Area
New Orleans, LA
Vacancy
8.64%
Lease Rate
$19.80 /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%
$786,600
Cap Rate 7%
$561,857
Cap Rate 9%
$437,000
Alternative Uses
Best Use
Multifamily LT 5
$561.9K
$491.6K – $655.5K
NOI $39,330 @ 7.0% cap · market cap 8.21%
Second Best
Apartment 5plus
$516.4K
$451.9K – $602.5K
NOI $36,150 @ 7.0% cap · market cap 7.55%
Theoretical Best
Office A
$789.4K
$690.8K – $921.0K
NOI $55,261 @ 7.0% cap · market cap 11.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Lease Details
3
Residential units
Location Intelligence
Trade Area within ½ mile
1,177
Businesses Nearby
Explore this area
Business Placement
Demographics for 70117, LA
28,528
Population
15,821
Households
1.8
Avg Household Size
38
Median Age
35%
College-Educated
89%
High-School Grad
5.5 sq mi
ZIP Area
5,187
Density / Sq Mi
$41,645
Median Household Income
$31,744
Median Earnings
$1,191
Median Rent
$247,600
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Triplex - Three-unit residential property featuring refreshed fixtures, wood floors, tiled bathrooms, and ceiling fans.
Where is this triplex located?
The property is located at 2254 56 N Derbigny St New Orleans, LA.
What is the asking price?
The asking price for this property is $479,000.
What are key features of this property?
This property features: 3,106‑square‑foot triplex; Interior renovation completed with new fixtures; Wood flooring throughout the property
