Baton Rouge Commercial Real Estate Overview
The capital city of Louisiana and the second largest in the state, Baton Rouge is a major hub for industry, commerce, medical and healthcare, and technology. Home to Louisiana State University and several major industrial corporations, Baton Rouge’s economy has remained steady throughout dips and has ranked as one of the best ten cities for young adults in the United States.
Thanks to the city’s long history and modern development efforts, commercial real estate in Baton Rouge is plentiful, large, and affordable. With hundreds of available properties and a median rate of $20 per square foot/year, it’s easier than ever to set down roots (or expand your business) into Red Stick.
Economy of Baton Rouge
Due in large part to a strong economy supported by the oil and petrochemical industries, Baton Rouge has stayed largely out of the economic turmoil experienced by the rest of the country post-recession. Thanks to its position as the furthest inland port with access to the Mississippi River, the city is a major source for shipping large cargo as exports as well as accommodating ocean tankers and cargo carriers for distribution throughout the United States.
Dow, ExxonMobil, and Turner Industries all hold a steady presence in Baton Rouge, but the leading employer is the State of Louisiana. New businesses in the tech sector have begun to take hold and prominent creative and advertising companies call Baton Rouge home, but the biggest economic impact over the last decade is the film industry, which has contributed nearly $90 million per year to the local economy since 2013.
Baton Rougeans enjoy a median household income of $40,948. While below the national average, housing costs in the city have risen only slightly - and well below other cities its size - in the last decade, coming to rest at a median home value of $166,000.
Trends of Baton Rouge
Outside of the city’s long tradition as a staple of the oil and petrochemical industries, Baton Rouge has modernized in recent years, adding various tech sector jobs and made a concerted effort to avoid the stifling housing and commercial real estate strains experienced by other growing U.S. cities post-recession. Downtown Baton Rouge alone has nearly 40 projects underway or close to completion, promising to add millions of square footage to the city’s vibrant central core.
Despite the historic flooding that occurred in most of Louisiana in 2016, Baton Rouge has responded quickly, leading to a surge in home buying and a demand for new apartments - as well as commercial and industrial space as a result of a sudden influx of newcomers from affected areas further south.
