Long Term State Tenant 10.48% Cap

Office for Sale
Catylist Listing ID: 28706411
Property Subtypes: Governmental, Office Building
Building Size (RSF): 9,750 SF
Gross Building Area: See Agent
Gross Land Area: 63,340 SF
Sale Price: $1,000,000
Unit Price: $102.56 PSF
Property Use Type: Investment
Class of Space: Class B
Usable Size (USF): 8,943 SF
Sale Terms: Cash to Seller
Cap Rate: 10.48%
Last Updated: 9/14/2021

Overview / Comments

The site is a rectangular shaped tract fronting 181.5 feet on the west side of Northwest Central Avenue (Highway 51). The total area of the subject site is determined to be 65,340 square feet or 1.50 acres.
The improvements consist of a 9,747-square-foot office building that is wood framed with a reinforced concrete slab foundation, a pitched metal roof and brick veneer exterior walls. The building is currently leased and originally designed for a government office use. The space includes approximately 35 individual offices, a lobby, receptionist area, storage rooms, a kitchen/break room, a conference room, evidence room and multiple storage rooms. The interior components include vinyl tile floors, sheet rock walls, and acoustical hanging ceiling tiles.
Site improvements include one curb cut from NW Central and parking in the front of the office building. In total, there are 36 marked parking spots with several handicapped spots. There is also a concrete sidewalk around the front and side of the building.
The subject is was leased to the DEPARTMENT OF PUBLIC SAFETY AND CORRECTIONS on May 18, 2002.
A new lease has been signed that will end April 29,2024. The lease rate is $165,450 per year or $16.97 per square foot. This is a full service lease with the Lessor responsible for taxes, insurance, maintenance, janitorial services, electricity, gas, water, sewer and trash/garbage disposal. The Lessee is responsible for telephone and internet expenses.
The Lessee has the option to renew the leased for an additional five years at the same rate unless the U.S. Government CPI increases more than 15% during the primary term. If the increase in the CPI exceeds 15%, the rental rate will increase at the same rate not to exceed 20% of the primary rental payment.

Additional Details

Nearest MSA: Hammond
County: Tangipahoa
Submarket/Township: 86
Tax ID/APN: 2833T3R700136
Market Type: Small
Roof Type: Hip
Construction/Siding: Brick
Parking Type: Surface
Legal Description: A certain tract or parcel of land situated in Section 33, Township 3 South, Range 7 East, Town of Amite City, Tangipahoa Parish, State of Louisiana

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Demographic Statistics

Proximity: 1 mile 3 miles 5 miles
Total Population: 2,165 6,575 14,248
Median Age: 34.07 35.4 35.19
Households: 608 2,202 5,011


Photograph of Listing Agent

Mike Whitsell

Mike Whitsell & Associates, L.L.C. New Orleans, LA 70124
LACDB Member
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