Flex Industrial
For Sale
$900,000
1602 W 7th Street, Owensboro, KY 42301
COMMERCIAL SALES, Owensboro, KY
Property Size13,920 SF
Lot Size0.98 Acres
Price / SF$64.66
Days on Market193
Property Features for 1602 W 7th Street
General Information
Property type
Residential
Property subtype
Office
Parking features
Off Street
Subdivision
WEST
Standard status
Active
Lot size
0.98 Acres
Utilities
Heating system
Natural Gas
Building Details
Building materials
Block, Steel Frame
Listing Agency:
Triple Crown Realty Group
(270) 926-9999
Listed By:
DAUGHERTY - PHELPS TEAM
(270) 313-7964
Added: Feb 17
Changed: Aug 20
Last Checked: Aug 29 at 5:06PM
MLS# 94129
Copyright © 2026 Greater Owensboro Realtor® Association. 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.
Located at 1602 W 7th Street in Owensboro, this flex property combines office areas with warehouse space in a 0.98-acre commercial setting. The building uses block and steel-frame construction and includes two 14-foot overhead doors for receiving, loading, or equipment movement.
I-2 zoning is in place, with the property identified for distribution, light manufacturing, and contractor use. Additional site features include off-street parking and natural gas heat. The property is offered for sale and is also available for lease.
I-2 zoning is in place, with the property identified for distribution, light manufacturing, and contractor use. Additional site features include off-street parking and natural gas heat. The property is offered for sale and is also available for lease.
Key Highlights
- 0.98‑acre commercial property in Owensboro, KY
- Two 14‑foot overhead doors
- I‑2 zoning
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
$78,398
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
8.71%
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%
$1,567,960
$1.6M
Cap Rate 7%
$1,119,971
$1.1M
Cap Rate 9%
$871,089
$871.1K
Market Conditions
NOI Build-Up for 13,920 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
$96.9K $6.96/SF
− Vacancy
−$4.7K −$0.33/SF
EGI
$92.2K $6.63/SF
− OpEx
−$13.8K −$0.99/SF
NOI
$78.4K $5.63/SF
Area
Daviess County, KY
Vacancy
4.80%
Lease Rate
$6.96 /SF/Yr
Expense Ratio
15.00%
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%
$1,567,960
Cap Rate 7%
$1,119,971
Cap Rate 9%
$871,089
Alternative Uses
Best Use
Flex RnD
$2.41M
$2.11M – $2.81M
NOI $168,629 @ 7.0% cap · market cap 18.74%
Second Best
Office B
$1.52M
$1.33M – $1.77M
NOI $106,488 @ 7.0% cap · market cap 11.83%
Theoretical Best
Specialty Retail
$2.49M
$2.18M – $2.91M
NOI $174,492 @ 7.0% cap · market cap 19.39%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
443
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 42301, KY
44,883
Population
19,833
Households
2.3
Avg Household Size
39
Median Age
26%
College-Educated
91%
High-School Grad
173.0 sq mi
ZIP Area
259
Density / Sq Mi
$62,010
Median Household Income
$37,305
Median Earnings
$883
Median Rent
$180,600
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
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Frequently Asked Questions
What type of property is this?
Flex space - Office and warehouse areas support distribution, light manufacturing, or contractor operations.
Where is this flex space located?
The property is located at 1602 W 7th Street Owensboro, KY.
What is the asking price?
The asking price for this property is $900,000.
What are key features of this property?
This property features: 0.98‑acre commercial property in Owensboro, KY; Two 14‑foot overhead doors; I‑2 zoning
