Historic Two-Story Restaurant
For Sale
$690,000
313 DESOTO Street, Alexandria, LA 71301
Downtown commercial property with a commercial kitchen, dining areas, restrooms, and adaptable upper-level space.
Property Size6,997 SF
Price / SF$98.61
Days on Market560
Property Features for 313 DESOTO Street
General Information
Standard status
Active
Size
6,997 SF
Property subtype
General Commercial
Amenities
commercial kitchen setup
3
COMM
Parking. Corner Lot.
Off Street.
Rectangular
118.82X50X107.4X7.42X38
Corner, Rectangular.
Building Details
Year Built
1920
Buildings
1
Stories
2
Listing Agency:
The Wilder Group
(318) 625-7475
Listed By:
DICKIE JOHNSON · License #995682285
Source:
Xome
Added: Feb 17, 2025
Changed: Aug 30
Last Checked: Aug 30 at 3:06PM
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 The Wilder Group
Investment Insights
Based on property information with market context.
Built in 1920, this two-story restaurant property contains 6,997 heated square feet. The first floor spans 5,332 square feet and provides room for dining, retail, storage, or related business functions. A 1,665-square-foot second floor adds space for offices, storage, or private dining.
The building includes a commercial kitchen setup with a walk-in refrigerator, dish room, and pizza oven, along with restroom facilities for staff and patrons. Located at 313 DeSoto Street in Alexandria, the property sits in a downtown setting surrounded by shops, offices, and residential spaces. The former restaurant configuration supports continued food-service use as well as retail, catering, event, or mixed-use applications identified for the property.
The building includes a commercial kitchen setup with a walk-in refrigerator, dish room, and pizza oven, along with restroom facilities for staff and patrons. Located at 313 DeSoto Street in Alexandria, the property sits in a downtown setting surrounded by shops, offices, and residential spaces. The former restaurant configuration supports continued food-service use as well as retail, catering, event, or mixed-use applications identified for the property.
Key Highlights
- 6,997 heated SF across two stories
- First floor measures 5,332 SF; second floor measures 1,665 SF
- Commercial kitchen includes a walk‑in refrigerator, dish room, and pizza oven
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
$43,275
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
6.27%
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%
$865,500
$865.5K
Cap Rate 7%
$618,214
$618.2K
Cap Rate 9%
$480,833
$480.8K
Market Conditions
NOI Build-Up for 6,997 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
$66.3K $9.48/SF
− Vacancy
−$4.5K −$0.64/SF
EGI
$61.8K $8.84/SF
− OpEx
−$18.5K −$2.65/SF
NOI
$43.3K $6.18/SF
Area
Rapides County, LA
Vacancy
6.80%
Lease Rate
$9.48 /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%
$865,500
Cap Rate 7%
$618,214
Cap Rate 9%
$480,833
Alternative Uses
Best Use
Specialty Retail
$1.22M
$1.07M – $1.42M
NOI $85,398 @ 7.0% cap · market cap 12.38%
Second Best
Industrial
$618.2K
$540.9K – $721.3K
NOI $43,275 @ 7.0% cap · market cap 6.27%
Theoretical Best
Office A
$1.93M
$1.69M – $2.25M
NOI $135,014 @ 7.0% cap · market cap 19.57%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Current Use
Location Intelligence
Trade Area within ½ mile
1,310
Businesses Nearby
9k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 58%
Hotels & Casinos 42%
Red River Bank
Shops & Services
5,168 visits/mo
0.1 miles
Holiday Inn Alexandria - Downtown, an IHG Hotel
Hotels & Casinos
3,674 visits/mo
0.2 miles
Demographics for 71301, LA
20,454
Population
9,173
Households
2.2
Avg Household Size
39
Median Age
21%
College-Educated
81%
High-School Grad
12.5 sq mi
ZIP Area
1,636
Density / Sq Mi
$44,330
Median Household Income
$31,233
Median Earnings
$919
Median Rent
$156,700
Median Home Value
Market
Vacancy Rate% for Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Conventional restaurant - Downtown commercial property with a commercial kitchen, dining areas, restrooms, and adaptable upper-level space.
Where is this conventional restaurant located?
The property is located at 313 DESOTO Street Alexandria, LA.
What is the asking price?
The asking price for this property is $690,000.
What are key features of this property?
This property features: 6,997 heated SF across two stories; First floor measures 5,332 SF; second floor measures 1,665 SF; Commercial kitchen includes a walk‑in refrigerator, dish room, and pizza oven
