Office/Warehouse Space For
For Sale
Contact for pricing
601 S Galvez, New Orleans, LA 70119
82,300 SF office/warehouse space, ideal for storage and distribution.
Property Size82,300 SF
Price / SF$71.69
Days on Market701
Property Features for 601 S Galvez
General Information
Standard status
Active
Size
82,300 SF
Class
C
Total Parking Spaces
20
Property subtype
Industrial
Zoning
MU-2
Lease Type
NNN
Investment Type
Owner/User
Building Details
Year Built
2006
Buildings
2
Stories
1
Tenancy
Multi
Listing Agency:
The Industrial Group, LLC
(504) 569-9412
Listed By:
Trimble Green · License #38278
Source:
Crexi
Added: Oct 1, 2024
Changed: Aug 27
Last Checked: Aug 31 at 2:41AM
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 The Industrial Group, LLC
Investment Insights
Based on property information with market context.
This property offers approximately 82,300 square feet of office and warehouse space, situated at the corner of South Galvez Street and Poydras Street. It presents an ideal location for storage and distribution, providing access to Mid-City, the Central Business District, and the French Quarter. The property includes approximately 12,000 square feet of office and showroom space in varying conditions. Loading is facilitated by six dock-high rolling doors. The warehouse area is partially climate-controlled. Previously, the property was occupied by a large-scale moving and storage company. The building is fully sprinklered. Approximately 17,500 square feet is currently leased to Grainger, and this lease will transfer to the buyer.
Key Highlights
- Prime location at the corner of South Galvez St. and Poydras St., ideal for storage and distribution to Mid‑City, CBD, and French Quarter.
- Significant warehouse space of approximately 82,300 sf.
- Existing lease to Grainger for +/-17,500 SF transfers to the buyer, providing immediate income.
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
$542,237
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
9.19%
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%
$10,844,740
$10.8M
Cap Rate 7%
$7,746,243
$7.7M
Cap Rate 9%
$6,024,856
$6.0M
Market Conditions
NOI Build-Up for 82,300 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
$819.7K $9.96/SF
− Vacancy
−$45.1K −$0.55/SF
EGI
$774.6K $9.41/SF
− OpEx
−$232.4K −$2.82/SF
NOI
$542.2K $6.59/SF
Area
ZIP 70119
Vacancy
5.50%
Lease Rate
$9.96 /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%
$10,844,740
Cap Rate 7%
$7,746,243
Cap Rate 9%
$6,024,856
Alternative Uses
Best Use
Office B
$17.46M
$15.28M – $20.37M
NOI $1,222,155 @ 7.0% cap · market cap 20.71%
Second Best
Warehouse
$9.46M
$8.27M – $11.03M
NOI $661,914 @ 7.0% cap · market cap 11.22%
Theoretical Best
Office A
$21.54M
$18.84M – $25.12M
NOI $1,507,473 @ 7.0% cap · market cap 25.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
4,631
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Demographics for 70119, LA
38,048
Population
21,595
Households
1.8
Avg Household Size
37
Median Age
47%
College-Educated
89%
High-School Grad
4.5 sq mi
ZIP Area
8,455
Density / Sq Mi
$50,854
Median Household Income
$44,278
Median Earnings
$1,298
Median Rent
$359,300
Median Home Value
Market
Vacancy Rate% for Office in New Orleans, LA
Questions? Ask Rey
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Similar Off Market Nearby
- Spacebox Storage New Orleans — 2250 Earhart Blvd, New Orleans, LA 70113
- Dummer's Grain Service — 1100 Poydras St, New Orleans, LA 70163
- Self Storage — 920 poydras st, new orleans, la 70112
- The Quality Group — 1100 Poydras St, New Orleans, LA 70163
- Nannybag Luggage Storage — 625 Baronne St, New Orleans, LA 70113
Frequently Asked Questions
What type of property is this?
Warehouse - 82,300 SF office/warehouse space, ideal for storage and distribution.
Where is this warehouse located?
The property is located at 601 S Galvez New Orleans, LA.
What is the asking price?
The asking price for this property is $5,900,000.
What are key features of this property?
This property features: Prime location at the corner of South Galvez St. and Poydras St., ideal for storage and distribution to Mid‑City, CBD, and French Quarter.; Significant warehouse space of approximately 82,300 sf.; Existing lease to Grainger for +/-17,500 SF transfers to the buyer, providing immediate income.
