Mixed-Use Property with Four Commercial
For Sale
$699,000
4821 S Hwy 27, Somerset, KY 42501
Commercial property with private offices, an updated apartment, multiple entrances, and garage or storage space.
Property Size6,254 SF
Price / SF$111.77
Days on Market78
Property Features for 4821 S Hwy 27
General Information
Standard status
Active
Size
6,254 SF
Property subtype
Commercial
Additional Details
Highway Access
Yes
Amenities
multiple private offices
multiple entrances
common-area restrooms
secure vault rooms
garage/storage space
large updated apartment with private entrance
Building Details
Year Built
1970
Listing Agency:
CENTURY 21 Advantage Realty
(606) 416-4660
Listed By:
J Daniel Hicks · License #222060
Source:
Centralkyhomefinder
Added: Jun 15
Changed: Aug 29
Last Checked: Aug 30 at 5:49PM
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 CENTURY 21 Advantage Realty
Investment Insights
Based on property information with market context.
This 6,254-square-foot mixed-use property, built in 1970, contains four large commercial spaces along with multiple private offices. The layout also includes several entrances, common-area restrooms, secure vault rooms, and garage or storage space. An updated apartment with its own private entrance is part of the property, providing an additional residential component.
The building fronts Hwy 27 at 4821 S Hwy 27 in Somerset, Kentucky. A new roof and gutters were installed within the last 12 months. An additional lot with a billboard is also available for purchase with the property.
The building fronts Hwy 27 at 4821 S Hwy 27 in Somerset, Kentucky. A new roof and gutters were installed within the last 12 months. An additional lot with a billboard is also available for purchase with the property.
Key Highlights
- 6,254‑square‑foot mixed‑use property built in 1970
- Four large commercial spaces with multiple private offices
- Hwy 27 frontage at 4821 S Hwy 27, Somerset, KY 42501
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
$55,311
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%
$1,106,220
$1.1M
Cap Rate 7%
$790,157
$790.2K
Cap Rate 9%
$614,567
$614.6K
Market Conditions
NOI Build-Up for 6,254 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
$85.6K $13.68/SF
− Vacancy
−$11.8K −$1.89/SF
EGI
$73.7K $11.79/SF
− OpEx
−$18.4K −$2.95/SF
NOI
$55.3K $8.84/SF
Area
Pulaski County, KY
Vacancy
13.80%
Lease Rate
$13.68 /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%
$1,106,220
Cap Rate 7%
$790,157
Cap Rate 9%
$614,567
Alternative Uses
Best Use
Retail
$1.02M
$891.2K – $1.19M
NOI $71,292 @ 7.0% cap · market cap 10.20%
Second Best
Office B
$790.2K
$691.4K – $921.9K
NOI $55,311 @ 7.0% cap · market cap 7.91%
Theoretical Best
Specialty Retail
$1.07M
$932.3K – $1.24M
NOI $74,583 @ 7.0% cap · market cap 10.67%
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
495
Businesses Nearby
Explore this area
Business Placement
Demographics for 42501, KY
18,047
Population
8,039
Households
2.2
Avg Household Size
43
Median Age
17%
College-Educated
84%
High-School Grad
199.7 sq mi
ZIP Area
90
Density / Sq Mi
$49,449
Median Household Income
$38,121
Median Earnings
$808
Median Rent
$131,400
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?
Mixed-use property - Commercial property with private offices, an updated apartment, multiple entrances, and garage or storage space.
Where is this mixed-use property located?
The property is located at 4821 S Hwy 27 Somerset, KY.
What is the asking price?
The asking price for this property is $699,000.
What are key features of this property?
This property features: 6,254‑square‑foot mixed‑use property built in 1970; Four large commercial spaces with multiple private offices; Hwy 27 frontage at 4821 S Hwy 27, Somerset, KY 42501
