Two-Building Mixed-Use
For Sale
$1,300,000
628 and 638 PAPWORTH Avenue, Metairie, LA 70005
Combined commercial and residential space with multiple occupied tenant areas and on-site parking in Metairie.
Property Size7,215 SF
Price / SF$180.18
Days on Market367
Property Features for 628 and 638 PAPWORTH Avenue
General Information
Standard status
Active
Size
7,215 SF
Property subtype
General Commercial
Amenities
3
C1
Parking.
Off Street, Lot.
145 X 120
Oversized Lot.
Building Details
Year Built
1975
Listing Agency:
Berkshire Hathaway HomeServices Preferred, REALTOR
(504) 259-0328
Listed By:
Heather Tedesco · License #995708799
(504) 259-0328
Source:
Xome
Added: Sep 1, 2025
Changed: Aug 30
Last Checked: Aug 31 at 2:26PM
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 Berkshire Hathaway HomeServices Preferred, REALTOR
Investment Insights
Based on property information with market context.
This mixed-use property includes two buildings totaling 7,215 SF on five lots. The 638 building provides 3,673 SF of commercial space in a one-story layout, with parking at the front and rear and four commercial tenants in place. The 628 building contains 3,542 SF across commercial and residential areas, including two two-bedroom, one-bath residences, one one-bedroom, one-bath residence, a separate commercial unit, two garage bays, and fenced storage. Three residential tenants and one commercial tenant currently occupy the building.
Located at 628 and 638 Papworth Avenue in Metairie, the property has approximately 145 feet by 120 feet of combined site dimensions, with frontage and parking serving both buildings. The asset is identified as being in Flood Zone X and was built in 1975.
Located at 628 and 638 Papworth Avenue in Metairie, the property has approximately 145 feet by 120 feet of combined site dimensions, with frontage and parking serving both buildings. The asset is identified as being in Flood Zone X and was built in 1975.
Key Highlights
- Two buildings totaling 7,215 SF on five lots
- 638 building offers 3,673 SF of commercial space with four commercial tenants
- 628 building includes 3,542 SF of mixed commercial and residential space
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
$90,394
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
6.95%
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%
$1,807,880
$1.8M
Cap Rate 7%
$1,291,343
$1.3M
Cap Rate 9%
$1,004,378
$1.0M
Market Conditions
NOI Build-Up for 7,215 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
$135.9K $18.84/SF
− Vacancy
−$6.8K −$0.94/SF
EGI
$129.1K $17.90/SF
− OpEx
−$38.7K −$5.37/SF
NOI
$90.4K $12.53/SF
Area
Metairie, LA
Vacancy
5.00%
Lease Rate
$18.84 /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%
$1,807,880
Cap Rate 7%
$1,291,343
Cap Rate 9%
$1,004,378
Alternative Uses
Best Use
Retail
$1.29M
$1.13M – $1.51M
NOI $90,394 @ 7.0% cap · market cap 6.95%
Second Best
Mixed Use
$1.25M
$1.10M – $1.46M
NOI $87,662 @ 7.0% cap · market cap 6.74%
Theoretical Best
Office A
$1.69M
$1.48M – $1.97M
NOI $118,270 @ 7.0% cap · market cap 9.10%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,185
Businesses Nearby
Explore this area
Business Placement
Demographics for 70005, LA
25,431
Population
12,447
Households
2
Avg Household Size
45
Median Age
50%
College-Educated
94%
High-School Grad
4.2 sq mi
ZIP Area
6,055
Density / Sq Mi
$86,048
Median Household Income
$53,258
Median Earnings
$1,160
Median Rent
$381,000
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?
Mixed-use property - Combined commercial and residential space with multiple occupied tenant areas and on-site parking in Metairie.
Where is this mixed-use property located?
The property is located at 628 and 638 PAPWORTH Avenue Metairie, LA.
What is the asking price?
The asking price for this property is $1,300,000.
What are key features of this property?
This property features: Two buildings totaling 7,215 SF on five lots; 638 building offers 3,673 SF of commercial space with four commercial tenants; 628 building includes 3,542 SF of mixed commercial and residential space
