Single-Story Medical Office
For Sale
$1,895,000
177 Burt Rd, Lexington, KY 40503
Medical facility positioned beside retail, restaurants, office properties, and other medical office space.
Property Size13,004 SF
Price / SF$145.72
Days on Market144
Property Features for 177 Burt Rd
General Information
Standard status
Active
Size
13,004 SF
Property subtype
Office
Zoning
P-1
Building Details
Year Built
1985
Listing Agency:
NAI Isaac
(859) 224-2000
Listed By:
Jim Holbrook · License ##223721
(859) 224-2000
Source:
Kcrea.resimplifi
Added: Apr 11
Changed: Aug 29
Last Checked: Sep 1 at 3:46PM
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 NAI Isaac
Investment Insights
Based on property information with market context.
This 13,004-square-foot, single-story medical office building is located at 177 Burt Rd in Lexington, Kentucky. The property is positioned alongside retail, restaurants, office space, and additional medical office uses, creating a surrounding mix of commercial and healthcare-related properties.
Baptist Health Hospital is approximately ½ mile away, while the University of Kentucky campus is 2 miles from the building. Downtown Lexington is 3 miles away, and Blue Grass Airport is 5 miles from the property. The location offers proximity to established institutional, business, medical, and retail destinations.
Baptist Health Hospital is approximately ½ mile away, while the University of Kentucky campus is 2 miles from the building. Downtown Lexington is 3 miles away, and Blue Grass Airport is 5 miles from the property. The location offers proximity to established institutional, business, medical, and retail destinations.
Key Highlights
- 13,004 SF single‑story medical office building
- Located at 177 Burt Rd in Lexington, KY 40503
- Approximately ½ mile from Baptist Health Hospital
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
$172,460
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
9.10%
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%
$3,449,200
$3.4M
Cap Rate 7%
$2,463,714
$2.5M
Cap Rate 9%
$1,916,222
$1.9M
Market Conditions
NOI Build-Up for 13,004 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
$265.3K $20.40/SF
− Vacancy
−$35.3K −$2.72/SF
EGI
$229.9K $17.68/SF
− OpEx
−$57.5K −$4.42/SF
NOI
$172.5K $13.26/SF
Area
ZIP 40503
Vacancy
13.32%
Lease Rate
$20.40 /SF/Yr
Expense Ratio
25.00%
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%
$3,449,200
Cap Rate 7%
$2,463,714
Cap Rate 9%
$1,916,222
Alternative Uses
Best Use
Office B
$2.46M
$2.16M – $2.87M
NOI $172,460 @ 7.0% cap · market cap 9.10%
Second Best
Healthcare Medical
$2.09M
$1.83M – $2.44M
NOI $146,435 @ 7.0% cap · market cap 7.73%
Theoretical Best
Office A
$2.71M
$2.37M – $3.16M
NOI $189,654 @ 7.0% cap · market cap 10.01%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,930
Businesses Nearby
Balanced
Demand for This Use
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 Office in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
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Frequently Asked Questions
What type of property is this?
Medical Office Space - Medical facility positioned beside retail, restaurants, office properties, and other medical office space.
Where is this medical office space located?
The property is located at 177 Burt Rd Lexington, KY.
What is the asking price?
The asking price for this property is $1,895,000.
What are key features of this property?
This property features: 13,004 SF single‑story medical office building; Located at 177 Burt Rd in Lexington, KY 40503; Approximately ½ mile from Baptist Health Hospital
