Former Bank Branch
For Sale
Contact for pricing
5205 E Johnson Ave, Jonesboro, AR 72405
Former Arvest Bank branch with strong highway visibility near the NEA Baptist Hospital campus.
Property Size1,584 SF
Price / SF$369.32
Days on Market52
Property Features for 5205 E Johnson Ave
General Information
Standard status
Active
Size
1,584 SF
Property subtype
RETAIL
Lease Type
NNN
Properties For Sale
at 5205 E Johnson Ave Contact us- Floor
- Bldg
- Size
- 1,584 SF
- Type
- RETAIL
- Lease Type
- NNN
- Availability
- AVAILABLE, Now
- Sublease
- No
5205 E Johnson Ave
- Former Arvest Bank Branch
- Excellent Curb Appeal & Visibility to Highway 49 North
-...
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Contact us
Listing Agency:
Haag Brown Commercial
(870) 336-8000
Listed By:
Zac Qualls
Source:
Moodyscre
Added: Jul 17
Changed: Aug 8
Last Checked: Sep 5 at 7:43AM
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 Haag Brown Commercial
Investment Insights
Based on property information with market context.
The property is a former Arvest Bank branch. It offers curb appeal and is positioned for prominent visibility from Highway 49 North.
Public remarks indicate exposure to over 23,000 cars per day and convenience to the NEA Baptist Hospital campus, with quick access described as within minutes.
The bank deed restriction has expired, providing flexibility for a bank location at Hilltop as noted in the remarks.
Public remarks indicate exposure to over 23,000 cars per day and convenience to the NEA Baptist Hospital campus, with quick access described as within minutes.
The bank deed restriction has expired, providing flexibility for a bank location at Hilltop as noted in the remarks.
Key Highlights
- Former Arvest Bank branch building
- Visibility to Highway 49 North with exposure to over 23,000 cars per day
- Located within minutes of the NEA Baptist Hospital campus
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
$16,733
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
2.86%
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%
$334,660
$334.7K
Cap Rate 7%
$239,043
$239.0K
Cap Rate 9%
$185,922
$185.9K
Market Conditions
NOI Build-Up for 1,584 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
$23.8K $15.00/SF
− Vacancy
−$1.4K −$0.92/SF
EGI
$22.3K $14.09/SF
− OpEx
−$5.6K −$3.52/SF
NOI
$16.7K $10.56/SF
Area
Craighead County, AR
Vacancy
6.10%
Lease Rate
$15.00 /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%
$334,660
Cap Rate 7%
$239,043
Cap Rate 9%
$185,922
Alternative Uses
Best Use
Specialty Retail
$239.0K
$209.2K – $278.9K
NOI $16,733 @ 7.0% cap · market cap 2.86%
Second Best
Retail
$192.8K
$168.7K – $224.9K
NOI $13,493 @ 7.0% cap · market cap 2.31%
Theoretical Best
Office A
$277.3K
$242.7K – $323.5K
NOI $19,412 @ 7.0% cap · market cap 3.32%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
330
Businesses Nearby
18k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 56%
Home Improvements & Furnishings 32%
Hotels & Casinos 13%
Dollar General
Shops & Services
9,977 visits/mo
0.5 miles
Gazaway Ace-Hilltop
Home Improvements & Furnishings
5,622 visits/mo
0.3 miles
Courtyard Jonesboro
Hotels & Casinos
2,242 visits/mo
0.4 miles
Demographics for 72405, AR
17,109
Population
7,049
Households
2.4
Avg Household Size
33
Median Age
39%
College-Educated
91%
High-School Grad
35.9 sq mi
ZIP Area
477
Density / Sq Mi
$84,722
Median Household Income
$42,329
Median Earnings
$1,009
Median Rent
$240,300
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?
Bank - Former Arvest Bank branch with strong highway visibility near the NEA Baptist Hospital campus.
Where is this bank located?
The property is located at 5205 E Johnson Ave Jonesboro, AR.
What is the asking price?
The asking price for this property is $585,000.
What are key features of this property?
This property features: Former Arvest Bank branch building; Visibility to Highway 49 North with exposure to over 23,000 cars per day; Located within minutes of the NEA Baptist Hospital campus
