Office Building with Eight
For Sale
$445,000
601 W University Avenue, Lafayette, LA 70506
COMMERCIAL - Lafayette, LA
Property Size2,600 SF
Lot Size0.14 Acres
Price / SF$171.15
Days on Market161
Property Features for 601 W University Avenue
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
Commercial
Bathrooms
2
Full bathrooms
2
Rooms
Bathroom 2, Bathroom 1
Parking
10
Security features
Security System
Subdivision
Elmhurst Park
Lot features
Corner
Directions
Johnston towards Evangeline throughway, left on University and Office is on the corner of St. John and University Ave.
Standard status
Active
APN
6052967
Size
2,600 SF
Lot size
0.14 Acres
Taxes and HOA fees
Tax Description
Lot 33 & P Lot 34 & N 15FT Lot 32 BLK 5 Elmhurst Park ADD (42 x 125)
Legal Description
Lot 33 & P Lot 34 & N 15FT Lot 32 BLK 5 Elmhurst Park ADD (42 x 125)
Utilities
Sewer type
Private Sewer
Heating system
Electric (Heating), Central
Cooling system
Central Air
Water source
Public
Building Details
Flooring type
Tile - Ceramic
Roof type
Composition
Listing Agency:
Compass · ERA Real Estate
(337) 233-9700
Listed By:
Michele Montesano · License #0995688543
(337) 298-8899
Added: Mar 24
Changed: Aug 7
Last Checked: Aug 31 at 9:06PM
MLS# 2600002406
Copyright © 2026 Realtor Association of Acadiana. 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 2,600-square-foot office building is arranged with 8 offices, 2 bathrooms, a kitchen, a mail and copy room, and a multi-use room. Ceramic tile flooring, central air conditioning, and electric central heating support the interior, while the composition roof completes the building improvements. The property occupies 0.14 acres and carries Commercial zoning.
Located at 601 W University Avenue in Lafayette, the property offers access to downtown and the University. Public water and private sewer serve the site, providing established utility infrastructure for the existing office configuration.
Located at 601 W University Avenue in Lafayette, the property offers access to downtown and the University. Public water and private sewer serve the site, providing established utility infrastructure for the existing office configuration.
Key Highlights
- 2,600 square feet of office space on 0.14 acres
- 8 offices with 2 bathrooms
- Kitchen, mail and copy room, plus multi‑use room
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
$30,256
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
6.80%
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%
$605,120
$605.1K
Cap Rate 7%
$432,229
$432.2K
Cap Rate 9%
$336,178
$336.2K
Market Conditions
NOI Build-Up for 2,600 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
$46.8K $18.00/SF
− Vacancy
−$6.5K −$2.48/SF
EGI
$40.3K $15.52/SF
− OpEx
−$10.1K −$3.88/SF
NOI
$30.3K $11.64/SF
Area
Lafayette, LA
Vacancy
13.80%
Lease Rate
$18.00 /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%
$605,120
Cap Rate 7%
$432,229
Cap Rate 9%
$336,178
Alternative Uses
Best Use
Office B
$432.2K
$378.2K – $504.3K
NOI $30,256 @ 7.0% cap · market cap 6.80%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$614.7K
$537.9K – $717.2K
NOI $43,031 @ 7.0% cap · market cap 9.67%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
8
Office units
Location Intelligence
Trade Area within ½ mile
2,106
Businesses Nearby
Explore this area
Business Placement
Demographics for 70506, LA
39,801
Population
20,296
Households
2
Avg Household Size
36
Median Age
37%
College-Educated
91%
High-School Grad
20.8 sq mi
ZIP Area
1,914
Density / Sq Mi
$55,553
Median Household Income
$38,764
Median Earnings
$1,024
Median Rent
$215,700
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Commercial office property with private workrooms, shared support areas, and central heating and cooling.
Where is this office building located?
The property is located at 601 W University Avenue Lafayette, LA.
What is the asking price?
The asking price for this property is $445,000.
What are key features of this property?
This property features: 2,600 square feet of office space on 0.14 acres; 8 offices with 2 bathrooms; Kitchen, mail and copy room, plus multi‑use room
