Apartment Building with
For Sale
$2,600,000
109-119 N Mill Street, Lexington, KY 40507
COMMERCIAL - Lexington, KY
Property Size11,000 SF
Lot Size0.10 Acres
Price / SF$236.36
Days on Market149
Property Features for 109-119 N Mill Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
B-2B
Rooms
Basement
Basement
Crawl Space, Unfinished
Subdivision
Downtown
Directions
West Main, right on North Mill Street. Buildings are on your left
Standard status
Active
APN
38234110
Size
11,000 SF
Lot size
0.10 Acres
Utilities
Sewer type
Public Sewer
Heating system
Heat Pump (Heating)
Cooling system
Multi Units
Building Details
Year built
1886
Floors in Building
3
Building materials
Brick
Roof type
Membrane
Listing Agency:
Bluegrass Sotheby's International Realty
(859) 268-0099
Listed By:
Christopher Mitchell · License #197495
(859) 321-2898
Added: Mar 27
Changed: Aug 4
Last Checked: Aug 22 at 7:06AM
MLS# 26006199
Copyright © 2026 ImagineMLS. 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 multifamily property comprises three contiguous brick buildings totaling 11,000 square feet on 0.1033 acres. The configuration includes six apartments and two retail storefronts, creating a mixed residential and commercial layout. A basement is also included. Originally built in 1886, the buildings were renovated in 2010 and feature heat-pump heating, multi-unit cooling, a membrane roof, and public sewer service.
The property is located at 109-119 N Mill Street in Lexington, within ZIP Code 40507. Its combination of residential units and storefront space provides a distinct two-use configuration within a single contiguous property.
The property is located at 109-119 N Mill Street in Lexington, within ZIP Code 40507. Its combination of residential units and storefront space provides a distinct two-use configuration within a single contiguous property.
Key Highlights
- Six apartments and two retail storefronts across three contiguous buildings
- 11,000 square feet on a 0.1033‑acre parcel
- Brick construction with 1886 original build date
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
$104,671
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
4.03%
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%
$2,093,420
$2.1M
Cap Rate 7%
$1,495,300
$1.5M
Cap Rate 9%
$1,163,011
$1.2M
Market Conditions
NOI Build-Up for 11,000 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
$158.4K $14.40/SF
− Vacancy
−$8.9K −$0.81/SF
EGI
$149.5K $13.59/SF
− OpEx
−$44.9K −$4.08/SF
NOI
$104.7K $9.52/SF
Area
Lexington, KY
Vacancy
5.60%
Lease Rate
$14.40 /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%
$2,093,420
Cap Rate 7%
$1,495,300
Cap Rate 9%
$1,163,011
Alternative Uses
Best Use
Retail
$1.50M
$1.31M – $1.74M
NOI $104,671 @ 7.0% cap · market cap 4.03%
Second Best
Apartment 5plus
$1.18M
$1.04M – $1.38M
NOI $82,903 @ 7.0% cap · market cap 3.19%
Theoretical Best
Office A
$2.29M
$2.01M – $2.67M
NOI $160,428 @ 7.0% cap · market cap 6.17%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Residential units
Multi-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
3,572
Businesses Nearby
Explore this area
Business Placement
Demographics for 40507, KY
2,043
Population
1,765
Households
1.2
Avg Household Size
44
Median Age
54%
College-Educated
93%
High-School Grad
0.4 sq mi
ZIP Area
5,108
Density / Sq Mi
$34,543
Median Household Income
$40,826
Median Earnings
$642
Median Rent
$391,000
Median Home Value
Market
Vacancy Rate% for Multifamily 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?
Apartment building - Three connected brick buildings combine apartment residences with street-level storefront space in downtown Lexington.
Where is this apartment building located?
The property is located at 109-119 N Mill Street Lexington, KY.
What is the asking price?
The asking price for this property is $2,600,000.
What are key features of this property?
This property features: Six apartments and two retail storefronts across three contiguous buildings; 11,000 square feet on a 0.1033‑acre parcel; Brick construction with 1886 original build date
