Townhouse-Style Apartment
New
For Sale
$577,000
Pending
1721 Hill Rise Dr, Lexington, KY 40504
Business Opportunity, Lexington, KY
Property Size6,612 SF
Lot Size0.21 Acres
Days on Market3
Property Features for 1721 Hill Rise Dr
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning description
Residential
Subdivision
Versailles
Standard status
Pending
APN
11273025
Size
6,612 SF
Lot size
0.21 Acres
Building Details
Year built
1977
Floors in Building
2
Architectural style
Other
Listing Agency:
Schrader Commercial Properties Llc
Listed By:
(859) 288-5008
Added: Sep 14
Last Checked: Sep 16 at 12:06AM
MLS# 11979372
Copyright © 2026 My State MLS. 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 6,612-square-foot apartment property includes five townhouse-style units plus one apartment at the lower level. The building was constructed in 1977 and occupies a 0.21-acre corner lot at 1721 Hill Rise Dr in Lexington, Kentucky.
The unit mix combines larger townhouse layouts with a lower-level apartment, providing six residential units within the complex. Most current tenants have maintained long-term occupancy, offering an established resident base for the next owner.
The unit mix combines larger townhouse layouts with a lower-level apartment, providing six residential units within the complex. Most current tenants have maintained long-term occupancy, offering an established resident base for the next owner.
Key Highlights
- Six‑unit apartment complex totaling 6,612 square feet
- Five townhouse‑style units plus one lower level apartment
- Situated on a 0.21‑acre corner lot
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
$49,832
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
8.64%
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%
$996,640
$996.6K
Cap Rate 7%
$711,886
$711.9K
Cap Rate 9%
$553,689
$553.7K
Market Conditions
NOI Build-Up for 6,612 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
$96.8K $14.64/SF
− Vacancy
−$6.2K −$0.94/SF
EGI
$90.6K $13.70/SF
− OpEx
−$40.8K −$6.17/SF
NOI
$49.8K $7.54/SF
Area
Lexington, KY
Vacancy
6.40%
Lease Rate
$14.64 /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%
$996,640
Cap Rate 7%
$711,886
Cap Rate 9%
$553,689
Alternative Uses
Best Use
Apartment 5plus
$711.9K
$622.9K – $830.5K
NOI $49,832 @ 7.0% cap · market cap 8.64%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.38M
$1.21M – $1.61M
NOI $96,432 @ 7.0% cap · market cap 16.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
6
Residential units
Location Intelligence
Trade Area within ½ mile
318
Businesses Nearby
Explore this area
Business Placement
Demographics for 40504, KY
26,042
Population
13,175
Households
2
Avg Household Size
34
Median Age
32%
College-Educated
84%
High-School Grad
6.2 sq mi
ZIP Area
4,200
Density / Sq Mi
$43,015
Median Household Income
$29,195
Median Earnings
$888
Median Rent
$209,400
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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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 - Multifamily property with varied unit layouts and established occupancy.
Where is this apartment building located?
The property is located at 1721 Hill Rise Dr Lexington, KY.
What is the asking price?
The asking price for this property is $577,000.
What are key features of this property?
This property features: Six‑unit apartment complex totaling 6,612 square feet; Five townhouse‑style units plus one lower level apartment; Situated on a 0.21‑acre corner lot
