Renovated Corner Retail
For Sale
$305,000
2801 W Madison St, Louisville, KY 40211
Established salon property with modern finishes, a separate lot across the street, and R6 zoning.
Property Size2,092 SF
Price / SF$145.79
Days on Market528
Property Features for 2801 W Madison St
General Information
Standard status
Active
Size
2,092 SF
Property subtype
Retail
Zoning
R6
Occupancy
100%
Additional Details
Business Included
Yes
Corner Location
Yes
Amenities
Water
Sewer
Building Details
Year Built
1933
Listing Agency:
Semonin Realtors
(502) 224-3301
Listed By:
Carter Martin Jr. · License #242751
(502) 224-3301
Source:
Kcrea.resimplifi
Added: Mar 21, 2025
Changed: Aug 29
Last Checked: Aug 30 at 1:46PM
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 Semonin Realtors
Investment Insights
Based on property information with market context.
This 2,092-square-foot retail property at 2801 W Madison St in Louisville, Kentucky, operates as an upscale salon and has been completely renovated with modern, high-end finishes. The building was constructed in 1933 and has been owner-occupied for over 20 years. A new roof was completed in February 2026.
The property occupies a corner position and includes an additional lot directly across the street. That lot is included in the sale and provides a separate component to the offering. The property is zoned R6 and combines an established salon layout with updated improvements and an adjoining off-site parcel.
The property occupies a corner position and includes an additional lot directly across the street. That lot is included in the sale and provides a separate component to the offering. The property is zoned R6 and combines an established salon layout with updated improvements and an adjoining off-site parcel.
Key Highlights
- 2,092 SF renovated retail property operating as an upscale salon
- Owner‑occupied for over 20 years
- Modern, high‑end interior finishes
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
$24,119
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
7.91%
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%
$482,380
$482.4K
Cap Rate 7%
$344,557
$344.6K
Cap Rate 9%
$267,989
$268.0K
Market Conditions
NOI Build-Up for 2,092 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
$37.7K $18.00/SF
− Vacancy
−$3.2K −$1.53/SF
EGI
$34.5K $16.47/SF
− OpEx
−$10.3K −$4.94/SF
NOI
$24.1K $11.53/SF
Area
Louisville, KY
Vacancy
8.50%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
30.00%
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%
$482,380
Cap Rate 7%
$344,557
Cap Rate 9%
$267,989
Alternative Uses
Best Use
Retail
$344.6K
$301.5K – $402.0K
NOI $24,119 @ 7.0% cap · market cap 7.91%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$542.2K
$474.5K – $632.6K
NOI $37,957 @ 7.0% cap · market cap 12.44%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
100%
Occupancy
Turnkey business
Opportunity
Location Intelligence
Trade Area within ½ mile
828
Businesses Nearby
123k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 35%
Dining 31%
Groceries 25%
Home Improvements & Furnishings 5%
Kroger
Groceries
30,150 visits/mo
0.4 miles
McDonald's
Dining
20,510 visits/mo
0.4 miles
Kroger Fuel Center
Shops & Services
16,929 visits/mo
0.3 miles
Dollar Tree
Shops & Services
13,150 visits/mo
0.3 miles
Taco Bell
Dining
11,380 visits/mo
0.3 miles
Demographics for 40211, KY
21,310
Population
11,450
Households
1.9
Avg Household Size
37
Median Age
11%
College-Educated
86%
High-School Grad
7.3 sq mi
ZIP Area
2,919
Density / Sq Mi
$32,598
Median Household Income
$28,245
Median Earnings
$925
Median Rent
$97,900
Median Home Value
Market
Vacancy Rate% for Retail in Louisville, KY
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Retail space - Established salon property with modern finishes, a separate lot across the street, and R6 zoning.
Where is this retail space located?
The property is located at 2801 W Madison St Louisville, KY.
What is the asking price?
The asking price for this property is $305,000.
What are key features of this property?
This property features: 2,092 SF renovated retail property operating as an upscale salon; Owner‑occupied for over 20 years; Modern, high‑end interior finishes
