Flex Space with
New
For Sale
$249,900
506 N Main Street, Winchester, KY 40391
Commercial Sale, Winchester, KY
Property Size550 SF
Lot Size0.08 Acres
Price / SF$454.36
Days on Market2
Property Features for 506 N Main Street
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
B-3
Zoning description
B-3
Parking
6
Subdivision
North Park
Directions
I-64 toward Winchester. Exit 94, right onto Bypass Rd/KY-1958. Left onto W Lexington Ave/US-60 toward downtown Winchester. Continue to N. Main,
Standard status
Active
APN
053-4014-011-00
Size
550 SF
Lot size
0.08 Acres
Utilities
Utilities
Phone Available
Heating system
Heat Pump (Heating)
Cooling system
Ductless
Building Details
Year built
1970
Floors in Building
1
Building materials
Steel Frame, Block, Concrete, Wood Siding
Roof type
Flat, Composition, Metal
Listing Agency:
Century 21 Advantage Realty - Georgetown
(502) 557-8600
Listed By:
Susan B Wilburn
(859) 621-0424
Added: Aug 21
Last Checked: Aug 22 at 8:06AM
MLS# 26022811
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 flex property at 506 N Main Street includes approximately 550 square feet of finished office space and approximately 1,500 square feet of shop/warehouse area. The office portion includes one restroom and can accommodate private office, reception, workspace, or storage functions. The rear work area features two 14-foot by 14-foot overhead doors with openers, new LED lighting, and a gas heater, supporting vehicle, equipment, and inventory storage needs.
Recent improvements include fresh interior and exterior paint, new flooring throughout, and a brand-new blacktop parking lot. The property is zoned B-3 and sits on 0.08 acres in Winchester, with convenient access to I-64, Lexington, and surrounding Central Kentucky communities. The configuration is suited to a contractor, service-based operation, or small business requiring dedicated office and work areas.
Recent improvements include fresh interior and exterior paint, new flooring throughout, and a brand-new blacktop parking lot. The property is zoned B-3 and sits on 0.08 acres in Winchester, with convenient access to I-64, Lexington, and surrounding Central Kentucky communities. The configuration is suited to a contractor, service-based operation, or small business requiring dedicated office and work areas.
Key Highlights
- Approximately 1,500 square feet of shop/warehouse space
- Approximately 550 square feet of finished office space with one restroom
- Two 14' x 14' overhead doors with openers
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
$7,734
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
3.09%
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%
$154,680
$154.7K
Cap Rate 7%
$110,486
$110.5K
Cap Rate 9%
$85,933
$85.9K
Market Conditions
NOI Build-Up for 550 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
$11.9K $21.60/SF
− Vacancy
−$1.6K −$2.85/SF
EGI
$10.3K $18.75/SF
− OpEx
−$2.6K −$4.69/SF
NOI
$7.7K $14.06/SF
Area
Clark County, KY
Vacancy
13.20%
Lease Rate
$21.60 /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%
$154,680
Cap Rate 7%
$110,486
Cap Rate 9%
$85,933
Alternative Uses
Best Use
Office B
$110.5K
$96.7K – $128.9K
NOI $7,734 @ 7.0% cap · market cap 3.09%
Second Best
Warehouse
$56.5K
$49.4K – $65.9K
NOI $3,955 @ 7.0% cap · market cap 1.58%
Theoretical Best
Office A
$139.4K
$122.0K – $162.6K
NOI $9,757 @ 7.0% cap · market cap 3.90%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Drive-in doors
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
221
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 - B-3-zoned property combining finished office space with practical shop and warehouse areas.
Where is this flex space located?
The property is located at 506 N Main Street Winchester, KY.
What is the asking price?
The asking price for this property is $249,900.
What are key features of this property?
This property features: Approximately 1,500 square feet of shop/warehouse space; Approximately 550 square feet of finished office space with one restroom; Two 14' x 14' overhead doors with openers
