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Restaurant Building with Kitchen
For Sale
$158,000

5408 Highway 527, Haughton, LA 71037

All-metal commercial building with kitchen, dining, office, restrooms, and on-site parking.

Property Size2,150 SF
Lot Size2.00 Acres
Price / SF$73.49
Days on Market9

Property Features for 5408 Highway 527

General Information

Standard status Active
Size 2,150 SF
Lot size 2.00 Acres

Site & Location

Highway Access Yes
Road Access Yes

Additional Details

Grease Trap Yes

Building Details

Year Built 2001
Buildings 1
Construction metal
Listing Agency: Pinnacle Realty Advisors
Listed By: Christopher Holloway · License #0912122915
Source: Heritance
Added: Aug 22 Changed: Aug 29 Last Checked: Aug 25 at 4:50AM

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 Pinnacle Realty Advisors

Investment Insights

Based on property information with market context.

Built in 2001, the all-metal restaurant building provides 2,150+ square feet with a commercial kitchen, two restrooms, office space, and an open dining area. The improvements are supported by a 1,000-gallon grease trap and a 2,000 GPD septic system. The building can also accommodate other commercial uses, as supported by the existing layout and infrastructure.

The property occupies over 2 acres at the corner of Highway 527 and includes ample parking. Cleared land provides additional room for expansion or outdoor concepts. The site is zoned Commercial and is located at 5408 Highway 527 in Haughton, Louisiana.

Key Highlights

  • 2,150+ sq ft all‑metal restaurant building built in 2001
  • Over 2 acres at a corner location on Highway 527
  • Commercial kitchen, open dining area, office, and two restrooms

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
$14,169
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
8.97%
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%
$283,380 $283.4K
Cap Rate 7%
$202,414 $202.4K
Cap Rate 9%
$157,433 $157.4K
Market Conditions
NOI Build-Up for 2,150 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
$19.9K $9.24/SF
− Vacancy
−$973 −$0.45/SF
EGI
$18.9K $8.79/SF
− OpEx
−$4.7K −$2.20/SF
NOI
$14.2K $6.59/SF
Area
Bossier County, LA
Vacancy
4.90%
Lease Rate
$9.24 /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%
$283,380
Cap Rate 7%
$202,414
Cap Rate 9%
$157,433

Alternative Uses

Best Use
Specialty Retail
$202.4K
$177.1K – $236.2K (±1% cap)
NOI $14,169 @ 7.0% cap · market cap 8.97%
Second Best
Industrial
$180.3K
$157.8K – $210.4K (±1% cap)
NOI $12,624 @ 7.0% cap · market cap 7.99%
Theoretical Best
Office A
$366.0K
$320.2K – $427.0K (±1% cap)
NOI $25,619 @ 7.0% cap · market cap 16.21%
Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Current Use

Conventional restaurants

Suggested Use

Top Pick Auto Repair Shop Grocery & Convenience Store Food Market Department Store

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
Grease trap

Location Intelligence

Trade Area within ½ mile

14
Businesses Nearby
Well-served
Demand for This Use

Demographics for 71037, LA

21,469
Population
8,554
Households
2.5
Avg Household Size
38
Median Age
22%
College-Educated
90%
High-School Grad
128.8 sq mi
ZIP Area
167
Density / Sq Mi
$71,175
Median Household Income
$39,825
Median Earnings
$1,304
Median Rent
$205,200
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
Rey
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Frequently Asked Questions

What type of property is this?
Conventional restaurant - All-metal commercial building with kitchen, dining, office, restrooms, and on-site parking.
Where is this conventional restaurant located?
The property is located at 5408 Highway 527 Haughton, LA.
What is the asking price?
The asking price for this property is $158,000.
What are key features of this property?
This property features: 2,150+ sq ft all‑metal restaurant building built in 2001; Over 2 acres at a corner location on Highway 527; Commercial kitchen, open dining area, office, and two restrooms
More about this property
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