Office Building with Private
New
For Sale
$225,000
224 Berger Road, Paducah, KY 42003
COMMERCIAL - Paducah, KY
Property Size2,035 SF
Lot Size0.38 Acres
Price / SF$110.57
Days on Market1
Property Features for 224 Berger Road
General Information
Property type
Commercial Sale
Property subtype
Office
Zoning
R-4
Directions
I-24 E Exit 7, left onto Alben Barkley, right onto Lone Oak Rd, left onto Berger Rd, and turn right into the parking lot and continue to the back to find the building.
Subdivision
119 - McCracken County
Standard status
Active
APN
096-34-17-004
Size
2,035 SF
Lot size
0.38 Acres
Building Details
Year built
1984
Floors in Building
1
Listing Agency:
HRE Advisors
(270) 705-5355
Listed By:
Dustin Hawkins · License #215644
(270) 705-5355
Added: Aug 11
Last Checked: Aug 11 at 7:06PM
MLS# 26021685
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 office building at 224 Berger Road contains 2,035 square feet on a 0.38-acre parcel. Built in 1984, the property features a lobby and reception area along with multiple private offices, creating a defined professional workspace within the existing structure. The configuration also provides a foundation for office-based operations or a future medical or dental conversion, subject to applicable requirements.
Located just off Lone Oak Road in Paducah, the property offers access to the interstate, nearby schools, and everyday amenities. The site carries R-4 zoning, and its office-oriented improvements provide an established commercial setting for professional use.
Located just off Lone Oak Road in Paducah, the property offers access to the interstate, nearby schools, and everyday amenities. The site carries R-4 zoning, and its office-oriented improvements provide an established commercial setting for professional use.
Key Highlights
- 2,035‑square‑foot office building on a 0.38‑acre parcel
- Lobby and reception area included
- Multiple private offices within the existing layout
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
$19,460
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
8.65%
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%
$389,200
$389.2K
Cap Rate 7%
$278,000
$278.0K
Cap Rate 9%
$216,222
$216.2K
Market Conditions
NOI Build-Up for 2,035 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
$30.5K $15.00/SF
− Vacancy
−$4.6K −$2.25/SF
EGI
$25.9K $12.75/SF
− OpEx
−$6.5K −$3.19/SF
NOI
$19.5K $9.56/SF
Area
McCracken County, KY
Vacancy
15.00%
Lease Rate
$15.00 /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%
$389,200
Cap Rate 7%
$278,000
Cap Rate 9%
$216,222
Alternative Uses
Best Use
Healthcare Medical
$302.3K
$264.5K – $352.7K
NOI $21,159 @ 7.0% cap · market cap 9.40%
Second Best
Office B
$278.0K
$243.3K – $324.3K
NOI $19,460 @ 7.0% cap · market cap 8.65%
Theoretical Best
Warehouse
$424.0K
$371.0K – $494.7K
NOI $29,680 @ 7.0% cap · market cap 13.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
259
Businesses Nearby
Explore this area
Business Placement
Demographics for 42003, KY
28,592
Population
14,132
Households
2
Avg Household Size
43
Median Age
22%
College-Educated
92%
High-School Grad
69.0 sq mi
ZIP Area
414
Density / Sq Mi
$54,052
Median Household Income
$33,566
Median Earnings
$696
Median Rent
$160,700
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Existing layout includes a reception area and several enclosed workspaces.
Where is this office building located?
The property is located at 224 Berger Road Paducah, KY.
What is the asking price?
The asking price for this property is $225,000.
What are key features of this property?
This property features: 2,035‑square‑foot office building on a 0.38‑acre parcel; Lobby and reception area included; Multiple private offices within the existing layout
