Renovated Office Building with Covered
For Sale
$1,999,000
71677 Riverside Dr, Covington, LA 70433
HC-2-zoned property includes an adjacent land parcel and a fully updated interior.
Property Size7,200 SF
Lot Size0.48 Acres
Price / SF$277.64
Days on Market76
Property Features for 71677 Riverside Dr
General Information
Standard status
Active
Size
7,200 SF
Class
Class A
Total Parking Spaces
30
Lot size
0.48 Acres
Property subtype
Office
Zoning
HC-2
Amenities
Power
Water
Sewer
Natural Gas
30 Parking Spaces
Building Details
Year Renovated
2022
Buildings
1
Building Size
7,200 SF
Listing Agency:
Coldwell Banker Commercial TEC Realtors
(504) 782-9373
Listed By:
Ron Patron · License #0995701890
(504) 782-9373
Source:
Lacdb.resimplifi
Added: Jun 17
Changed: Aug 30
Last Checked: Aug 30 at 1:28PM
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 Coldwell Banker Commercial TEC Realtors
Investment Insights
Based on property information with market context.
This office property includes a 7,200 SF building renovated in 2022 through a comprehensive interior reconstruction. The improvements feature wood flooring, high-end finishes, a well-maintained exterior, and covered parking. The layout is configured for a single office user, with a floor plan available for review.
Located at 71677 Riverside Dr in Covington, Louisiana, the property is near downtown Covington and the Northshore area. Nearby amenities described for the surrounding area include shops, cafes, art galleries, Bogue Falaya Park, and the Tammany Trace trail. HC-2 zoning and an adjacent land parcel add flexibility to the overall property configuration.
Located at 71677 Riverside Dr in Covington, Louisiana, the property is near downtown Covington and the Northshore area. Nearby amenities described for the surrounding area include shops, cafes, art galleries, Bogue Falaya Park, and the Tammany Trace trail. HC-2 zoning and an adjacent land parcel add flexibility to the overall property configuration.
Key Highlights
- 7,200 SF office building
- Comprehensive renovation completed in 2022
- HC‑2 zoning
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
$81,700
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
4.09%
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%
$1,634,000
$1.6M
Cap Rate 7%
$1,167,143
$1.2M
Cap Rate 9%
$907,778
$907.8K
Market Conditions
NOI Build-Up for 7,200 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
$140.8K $19.56/SF
− Vacancy
−$31.9K −$4.43/SF
EGI
$108.9K $15.13/SF
− OpEx
−$27.2K −$3.78/SF
NOI
$81.7K $11.35/SF
Area
St. Tammany County, LA
Vacancy
22.65%
Lease Rate
$19.56 /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%
$1,634,000
Cap Rate 7%
$1,167,143
Cap Rate 9%
$907,778
Alternative Uses
Best Use
Office B
$1.17M
$1.02M – $1.36M
NOI $81,700 @ 7.0% cap · market cap 4.09%
Second Best
—
—
no second resolved use
Theoretical Best
Multifamily LT 5
$77.62M
$67.91M – $90.55M
NOI $5,433,178 @ 7.0% cap · market cap 271.79%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,160
Businesses Nearby
Explore this area
Business Placement
Demographics for 70433, LA
41,423
Population
18,712
Households
2.2
Avg Household Size
42
Median Age
45%
College-Educated
93%
High-School Grad
48.7 sq mi
ZIP Area
851
Density / Sq Mi
$79,354
Median Household Income
$47,406
Median Earnings
$1,373
Median Rent
$316,200
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - HC-2-zoned property includes an adjacent land parcel and a fully updated interior.
Where is this office building located?
The property is located at 71677 Riverside Dr Covington, LA.
What is the asking price?
The asking price for this property is $1,999,000.
What are key features of this property?
This property features: 7,200 SF office building; Comprehensive renovation completed in 2022; HC‑2 zoning
