Two-Building Flex
New
For Sale
$499,000
26 N Highland Street, Winchester, KY 40391
Commercial Sale, Winchester, KY
Property Size8,000 SF
Lot Size0.34 Acres
Price / SF$62.38
Days on Market2
Property Features for 26 N Highland Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
B-2
Directions
N. Main Street to a right on E. Broadway and left onto N. Highland. Property will be on the left.
Subdivision
007 - Clark County
Standard status
Active
APN
054-3221-006-00
Size
8,000 SF
Lot size
0.34 Acres
Building Details
Year built
1965
Listing Agency:
Block + Lot Homes
(859) 309-0099
Listed By:
Lara Thornbury · License #SL3587398
(859) 771-2552
Added: Aug 27
Last Checked: Aug 28 at 6:06PM
MLS# 26023469
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 8,000-square-foot flex property includes two separate buildings on a 0.34-acre parcel. The front structure is finished for professional office use and retains tall ceilings and exposed metal trusses above the drop ceiling. Its prior warehouse configuration included a dock door, supporting potential adaptation for showroom, storage, or combined office and industrial functions. The rear building has a concrete floor, tall ceilings, and two distinct warehouse areas.
A private parking lot and rear alley access serve the property at 26 N Highland Street in Winchester. B-2 zoning supports the stated commercial classification, while the two-building layout provides separation for different operations, occupants, or storage needs. The property was built in 1965 and is positioned near downtown retail and high-density residential development.
A private parking lot and rear alley access serve the property at 26 N Highland Street in Winchester. B-2 zoning supports the stated commercial classification, while the two-building layout provides separation for different operations, occupants, or storage needs. The property was built in 1965 and is positioned near downtown retail and high-density residential development.
Key Highlights
- 8,000‑square‑foot flex property on a 0.34‑acre parcel
- Two separate buildings with office and warehouse configurations
- Front building includes tall ceilings and exposed metal trusses above the drop ceiling
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
$43,992
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
8.82%
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%
$879,840
$879.8K
Cap Rate 7%
$628,457
$628.5K
Cap Rate 9%
$488,800
$488.8K
Market Conditions
NOI Build-Up for 8,000 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
$72.0K $9.00/SF
− Vacancy
−$4.3K −$0.54/SF
EGI
$67.7K $8.46/SF
− OpEx
−$23.7K −$2.96/SF
NOI
$44.0K $5.50/SF
Area
Clark County, KY
Vacancy
6.00%
Lease Rate
$9.00 /SF/Yr
Expense Ratio
35.00%
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%
$879,840
Cap Rate 7%
$628,457
Cap Rate 9%
$488,800
Alternative Uses
Best Use
Office B
$1.61M
$1.41M – $1.87M
NOI $112,493 @ 7.0% cap · market cap 22.54%
Second Best
Warehouse
$821.8K
$719.1K – $958.8K
NOI $57,528 @ 7.0% cap · market cap 11.53%
Theoretical Best
Office A
$2.03M
$1.77M – $2.37M
NOI $141,926 @ 7.0% cap · market cap 28.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
659
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 40391, KY
36,461
Population
16,125
Households
2.3
Avg Household Size
41
Median Age
22%
College-Educated
90%
High-School Grad
237.3 sq mi
ZIP Area
154
Density / Sq Mi
$67,910
Median Household Income
$40,323
Median Earnings
$884
Median Rent
$197,200
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.
Frequently Asked Questions
What type of property is this?
Flex space - Office and warehouse configurations provide adaptable space for owner-users, investors, or multiple commercial occupants.
Where is this flex space located?
The property is located at 26 N Highland Street Winchester, KY.
What is the asking price?
The asking price for this property is $499,000.
What are key features of this property?
This property features: 8,000‑square‑foot flex property on a 0.34‑acre parcel; Two separate buildings with office and warehouse configurations; Front building includes tall ceilings and exposed metal trusses above the drop ceiling
