Building Details

Year built 1951

Listing Agency: Benchmark Realty LLC Show Phone

Listed By: Lavena Cavanaugh · License #265940 Show Phone

Added: Aug 27 Last Checked: Aug 29 at 9:06AM

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MLS# 122214

Copyright © 2026 Madisonville-Hopkins County Board of Realtors. 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 1,100-square-foot restaurant building at 130 Cross St. includes a dining area and a fully furnished kitchen setup. The sale includes updated kitchen appliances, restaurant tools, fixtures, and furniture, providing a substantial complement of existing equipment for continued restaurant use.

Constructed in 1951, the property occupies 0.05 acres in Mortons Gap, Kentucky, within Hopkins County. The included furnishings and equipment extend throughout the kitchen and customer dining areas.

Key Highlights

• 1,100‑square‑foot commercial restaurant building
• Updated kitchen appliances and restaurant equipment included
• Dining area, kitchen tools, fixtures, and furniture convey

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

$12,089

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

7.33%

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%

$241,780 $241.8K

Cap Rate 7%

$172,700 $172.7K

Cap Rate 9%

$134,322 $134.3K

Market Conditions

NOI Build-Up for 1,100 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

$18.1K $16.44/SF

− Vacancy

−$814 −$0.74/SF

EGI

$17.3K $15.70/SF

− OpEx

−$5.2K −$4.71/SF

NOI

$12.1K $10.99/SF

Area

Hopkins County, KY

Vacancy

4.50%

Lease Rate

$16.44 /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%

$241,780

Cap Rate 7%

$172,700

Cap Rate 9%

$134,322

Alternative Uses

Best Use

Retail

$172.7K

$151.1K – $201.5K (±1% cap)

NOI $12,089 @ 7.0% cap · market cap 7.33%

Second Best

Specialty Retail

$158.5K

$138.7K – $185.0K (±1% cap)

NOI $11,097 @ 7.0% cap · market cap 6.73%

Theoretical Best

Office A

$185.6K

$162.4K – $216.5K (±1% cap)

NOI $12,989 @ 7.0% cap · market cap 7.87%

Zoning and permitted uses should be independently verified with authorities.

Property Analytics

Property Profile

Current Use

Reflections By Jean ... Hair Salon

Suggested Use

Top Pick Auto Repair Shop Computer & Electronic Repair Hair Salon Nail Salon Restaurant Spa & Massage Center

Score = modeled unmet demand for each use within ~1 mi (higher = bigger opportunity). Zoning and permitted uses should be independently verified with local authorities.

Lease Details

Turnkey business

Opportunity

Location Intelligence

Trade Area within ½ mile

41

Businesses Nearby

5k

Monthly Visits Nearby

Well-served

Demand for This Use

Explore this area Business Placement

Foot Traffic Nearby

Shops & Services 100%

Dollar General Shops & Services

4,539 visits/mo 0.3 miles

U.S. Bank Shops & Services

202 visits/mo 0.2 miles

Demographics for 42440, KY

729

Population

367

Households

2

Avg Household Size

44

Median Age

7%

College-Educated

89%

High-School Grad

1.4 sq mi

ZIP Area

521

Density / Sq Mi

$38,750

Median Household Income

$38,167

Median Earnings

$688

Median Rent

$99,000

Median Home Value

Market

Vacancy Rate% for Retail in South region

7% 2020

6.2% 2021

5.1% 2022

4.8% 2023

4.9% 2024

5.4% 2025

Questions? Ask Rey

Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.

What type of property is this? Where is this conventional restaurants located? What is the asking price? Find similar properties ... What are key features of this property?

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Frequently Asked Questions

What type of property is this?

Conventional restaurant - Includes a furnished dining area, commercial kitchen, updated appliances, fixtures, and restaurant equipment.

Where is this conventional restaurant located?

The property is located at 130 Cross St. Mortons Gap, KY.

What is the asking price?

The asking price for this property is $165,000.

What are key features of this property?

This property features: 1,100‑square‑foot commercial restaurant building; Updated kitchen appliances and restaurant equipment included; Dining area, kitchen tools, fixtures, and furniture convey