Fully Occupied Three-Unit Office
New
For Sale
$350,000
614 E Arch Street, Madisonville, KY 42431
COMMERCIAL - Madisonville, KY
Property Size3,000 SF
Lot Size0.25 Acres
Price / SF$116.67
Days on Market2
Property Features for 614 E Arch Street
General Information
Property type
Commercial Sale
Property subtype
Other
Standard status
Active
Size
3,000 SF
Lot size
0.25 Acres
Utilities
Heating system
Electric (Heating), Forced Air, Natural Gas
Water source
Public
Building Details
Year built
1998
Floors in Building
1
Building materials
Brick
Roof type
Metal
Listing Agency:
Hoover's Auctions & Real Estate LLC
(270) 875-2128
Listed By:
Jonathan Hoover
(270) 839-5935
Added: Aug 5
Changed: Aug 6
Last Checked: Aug 6 at 9:06PM
MLS# 11914250
Copyright © 2026 My State MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 1998 office building contains approximately 3,000 square feet arranged across three separate office units. Each unit measures approximately 1,000 square feet, and all three are currently rented. Brick construction, a metal roof, electric and natural gas heating, forced-air service, and public water are among the property’s established features.
The property is located at 614 E Arch Street in Madisonville, Kentucky, near I-69. The 0.25-acre parcel provides an office setting with an existing multi-unit configuration and current occupancy. The layout allows the building to remain in its present office arrangement while retaining separate units for the existing occupants.
The property is located at 614 E Arch Street in Madisonville, Kentucky, near I-69. The 0.25-acre parcel provides an office setting with an existing multi-unit configuration and current occupancy. The layout allows the building to remain in its present office arrangement while retaining separate units for the existing occupants.
Key Highlights
- All three office units are currently rented
- Approximately 3,000 square feet across three office units
- Each office unit contains approximately 1,000 square feet
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
$25,272
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
7.22%
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%
$505,440
$505.4K
Cap Rate 7%
$361,029
$361.0K
Cap Rate 9%
$280,800
$280.8K
Market Conditions
NOI Build-Up for 3,000 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
$43.2K $14.40/SF
− Vacancy
−$9.5K −$3.17/SF
EGI
$33.7K $11.23/SF
− OpEx
−$8.4K −$2.81/SF
NOI
$25.3K $8.42/SF
Area
Hopkins County, KY
Vacancy
22.00%
Lease Rate
$14.40 /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%
$505,440
Cap Rate 7%
$361,029
Cap Rate 9%
$280,800
Alternative Uses
Best Use
Office B
$361.0K
$315.9K – $421.2K
NOI $25,272 @ 7.0% cap · market cap 7.22%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$506.1K
$442.8K – $590.4K
NOI $35,424 @ 7.0% cap · market cap 10.12%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Office units
100%
Occupancy
Multi-tenant
Tenancy
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
842
Businesses Nearby
Explore this area
Business Placement
Demographics for 42431, KY
26,566
Population
12,569
Households
2.1
Avg Household Size
41
Median Age
20%
College-Educated
88%
High-School Grad
166.7 sq mi
ZIP Area
159
Density / Sq Mi
$57,529
Median Household Income
$37,671
Median Earnings
$858
Median Rent
$151,800
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?
Office building - Brick construction, a metal roof, and current occupancy across all office units support continued commercial use.
Where is this office building located?
The property is located at 614 E Arch Street Madisonville, KY.
What is the asking price?
The asking price for this property is $350,000.
What are key features of this property?
This property features: All three office units are currently rented; Approximately 3,000 square feet across three office units; Each office unit contains approximately 1,000 square feet
