4-Unit Multifamily
For Sale
$775,000
Pending
1640 Nicholasville Road, Lexington, KY 40503
Residential Income, Lexington, KY
Property Size4,097 SF
Lot Size0.69 Acres
Days on Market147
Property Features for 1640 Nicholasville Road
General Information
Property type
Residential Multi Family
Property subtype
Quadruplex
Bedrooms
8
Bathrooms
8
Full bathrooms
8
Rooms
Bedroom 7, Bathroom 7, Bedroom 4, Bedroom 5, Bathroom 1, Bedroom 1, Bathroom 2, Bathroom 6, Bedroom 2, Laundry Room, Bathroom 5, Bathroom 3, Bathroom 8, Bedroom 6, Bedroom 3, Bathroom 4, Bedroom 8
Subdivision
Commercial
Elementary school
Glendover
Middle school
Mary E Britton
High school
Lafayette
Elementary school district
Fayette County - 1
Middle school district
Fayette County - 1
High school district
Fayette County - 1
Directions
Outbound Nicholasville Road, toward Central Baptist, Building is behind 1638 Nicholasville Road on the left just before Central Baptist.
Standard status
Pending
APN
10028140, 10028150, 10028160, 10028170
Size
4,097 SF
Lot size
0.69 Acres
Utilities
Heating system
Natural Gas, Heat Pump (Heating)
Cooling system
Heat Pump, Ceiling Fan(s), Central Air, Electric
Amenities
common laundry area
onsite paved parking lot
Building Details
Year built
1985
Floors in Building
3
Number of units
4
Roof type
Shingle
Listing Agency:
Keller Williams Commonwealth · Keller Williams Realty
(859) 721-2121
Listed By:
Jon Bentley
(502) 542-8041
Added: Apr 9
Changed: Aug 26
Last Checked: Sep 2 at 1:06AM
MLS# 26007439
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 offering consists of four residential condominium units on the top floor of a professional office building, rather than the full building. The units total 4,097 square feet and provide a combined eight bedrooms and eight full bathrooms. Each residence includes a living room, kitchen with cabinet storage, and updated interiors. Access is provided by both elevator and stairs, and the property has a shared laundry area with coin-operated machines.
The 0.688-acre property is located at 1640 Nicholasville Road in Lexington, Kentucky, next to Central Baptist Hospital and just over a mile from the University of Kentucky. On-site paved parking serves the residential component. The building was constructed in 1985 and uses natural gas and heat-pump heating, with heat-pump and central-air cooling systems.
The 0.688-acre property is located at 1640 Nicholasville Road in Lexington, Kentucky, next to Central Baptist Hospital and just over a mile from the University of Kentucky. On-site paved parking serves the residential component. The building was constructed in 1985 and uses natural gas and heat-pump heating, with heat-pump and central-air cooling systems.
Key Highlights
- Four residential units totaling 4,097 square feet
- Each unit includes 2 bedrooms and 2 full baths
- All units occupy the building’s top floor; offering excludes the rest of the building
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
$27,401
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
3.54%
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%
$548,020
$548.0K
Cap Rate 7%
$391,443
$391.4K
Cap Rate 9%
$304,456
$304.5K
Market Conditions
NOI Build-Up for 4,097 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
$52.1K $12.72/SF
− Vacancy
−$2.3K −$0.56/SF
EGI
$49.8K $12.16/SF
− OpEx
−$22.4K −$5.47/SF
NOI
$27.4K $6.69/SF
Area
ZIP 40503
Vacancy
4.40%
Lease Rate
$12.72 /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%
$548,020
Cap Rate 7%
$391,443
Cap Rate 9%
$304,456
Alternative Uses
Best Use
Apartment 5plus
$391.4K
$342.5K – $456.7K
NOI $27,401 @ 7.0% cap · market cap 3.54%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$853.6K
$746.9K – $995.9K
NOI $59,752 @ 7.0% cap · market cap 7.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
4
Residential units
Location Intelligence
Trade Area within ½ mile
1,088
Businesses Nearby
Explore this area
Business Placement
Demographics for 40503, KY
28,073
Population
13,437
Households
2.1
Avg Household Size
39
Median Age
57%
College-Educated
96%
High-School Grad
8.8 sq mi
ZIP Area
3,190
Density / Sq Mi
$74,161
Median Household Income
$43,061
Median Earnings
$1,110
Median Rent
$280,000
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?
Multifamily property - Four updated residential units occupy the top floor of a professional office building with shared laundry and paved parking.
Where is this multifamily property located?
The property is located at 1640 Nicholasville Road Lexington, KY.
What is the asking price?
The asking price for this property is $775,000.
What are key features of this property?
This property features: Four residential units totaling 4,097 square feet; Each unit includes 2 bedrooms and 2 full baths; All units occupy the building’s top floor; offering excludes the rest of the building
