Modernized Multifamily Apartment
For Sale
$10,000,000
512 W Ormsby Ave, Louisville, KY 40203
Seven-story residential income property with studio and one-bedroom units, modern amenities, secure entry, and updated elevators.
Property Size85,000 SF
Days on Market90
Property Features for 512 W Ormsby Ave
General Information
Standard status
Active
Size
85,000 SF
Property subtype
Multifamily
Occupancy
95%
Additional Details
Cap Rate
6.25%
Amenities
Separate Gated Parking Lot, New Heated Swimming Pool, Luxurious Amenity Package
Near the University of Louisville and Downtown
Strong Occupancy with Rent Upside
Building Details
Building Size
85,000 SF
Stories
7
Units
128
Listing Agency:
Louisville Office
Listed By:
Aaron Johnson · License #License(s): KY: 204560
(502) 329-5920
Source:
Marcusmillichap
Added: Jun 9
Changed: Aug 8
Last Checked: Sep 5 at 4:02AM
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 Louisville Office
Investment Insights
Based on property information with market context.
This seven-story multifamily property offers a mix of studio and one-bedroom apartments. The building has been modernized with a heated swimming pool, new recreational rooms, and a business center. Residents also benefit from high-speed internet access, secure entryways, and updated elevators.
Located at 512 W Ormsby Ave in Louisville, the property provides a centralized, purpose-built setting for day-to-day apartment operations and resident use. Common-area amenities such as the heated pool, recreation spaces, and business center are designed to support both leisure and work-from-home needs.
For buyers, this asset combines unit variety with a modern amenity package that can appeal to prospective tenants seeking in-building conveniences. The secure entryways and updated elevators support controlled access and reliable vertical transportation. With a mix of studios and one-bedroom homes, the building may fit multiple household types looking for a turnkey residential experience within a maintained, modernized multifamily structure.
Located at 512 W Ormsby Ave in Louisville, the property provides a centralized, purpose-built setting for day-to-day apartment operations and resident use. Common-area amenities such as the heated pool, recreation spaces, and business center are designed to support both leisure and work-from-home needs.
For buyers, this asset combines unit variety with a modern amenity package that can appeal to prospective tenants seeking in-building conveniences. The secure entryways and updated elevators support controlled access and reliable vertical transportation. With a mix of studios and one-bedroom homes, the building may fit multiple household types looking for a turnkey residential experience within a maintained, modernized multifamily structure.
Key Highlights
- Seven‑story residential income property with studio and one‑bedroom apartments
- Heated swimming pool
- New recreational rooms and a business center
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
$578,470
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
5.78%
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%
$11,569,400
$11.6M
Cap Rate 7%
$8,263,857
$8.3M
Cap Rate 9%
$6,427,444
$6.4M
Market Conditions
NOI Build-Up for 85,000 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
$1.11M $13.08/SF
− Vacancy
−$60.0K −$0.71/SF
EGI
$1.05M $12.37/SF
− OpEx
−$473.3K −$5.57/SF
NOI
$578.5K $6.81/SF
Area
Louisville, KY
Vacancy
5.40%
Lease Rate
$13.08 /SF/Yr
Expense Ratio
45.00%
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%
$11,569,400
Cap Rate 7%
$8,263,857
Cap Rate 9%
$6,427,444
Alternative Uses
Best Use
Apartment 5plus
$8.26M
$7.23M – $9.64M
NOI $578,470 @ 7.0% cap · market cap 5.78%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$22.03M
$19.28M – $25.70M
NOI $1,542,240 @ 7.0% cap · market cap 15.42%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,202
Businesses Nearby
Explore this area
Business Placement
Demographics for 40203, KY
16,801
Population
10,754
Households
1.6
Avg Household Size
37
Median Age
22%
College-Educated
86%
High-School Grad
2.9 sq mi
ZIP Area
5,793
Density / Sq Mi
$31,430
Median Household Income
$32,581
Median Earnings
$828
Median Rent
$179,300
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Seven-story residential income property with studio and one-bedroom units, modern amenities, secure entry, and updated elevators.
Where is this apartment building located?
The property is located at 512 W Ormsby Ave Louisville, KY.
What is the asking price?
The asking price for this property is $10,000,000.
What are key features of this property?
This property features: Seven‑story residential income property with studio and one‑bedroom apartments; Heated swimming pool; New recreational rooms and a business center
