Louisville Rental Portfolio: 16
For Sale
Contact for pricing
602 Colorado Ave, Louisville, KY 40208
16-unit rental portfolio in Louisville, 100% occupied, $225,036 annual rent.
Property Size17,100 SF
Price / SF$124.17
Days on Market177
Property Features for 602 Colorado Ave
General Information
Standard status
Active
Size
17,100 SF
Class
C
Property subtype
Multifamily
Occupancy
100%
Investment Type
Stabilized
Building Details
Year Built
1900
Year Renovated
2021
Buildings
16
Units
16
Listing Agency:
eXp Commercial LLC
(502) 817-6484
Listed By:
Stephanie Gilezan · License #KY 199560
Source:
Crexi
Added: Feb 16
Changed: Aug 11
Last Checked: Aug 10 at 2:59PM
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 eXp Commercial LLC
Investment Insights
Based on property information with market context.
This 16-door rental portfolio is located in the Taylor-Berry submarket of Louisville, KY. The portfolio consists of fourteen single-family homes and one duplex, totaling 16 units and 17,100 square feet. The properties are currently 100% occupied, generating $18,753 in monthly gross rent, which equates to $225,036 annually. The portfolio features an average tenant tenure of 26.9 months and includes 3 and 4-bedroom homes, as well as one duplex. Under current ownership, many of the homes have been updated with new AC units, furnaces, kitchen improvements, LVP/wood flooring, and roof replacements, representing a total capital expenditure of $226,120. This portfolio is suitable for investors seeking scale in one closing, operators looking to expand their Louisville presence, buy-and-hold cash flow investors, and 1031-exchange buyers.
Key Highlights
- 100% Occupancy: Portfolio is fully occupied, ensuring immediate rental income.
- Strong Cash Flow: Generates $18,753 monthly gross rent ($225,036 annually).
- Scale in One Closing: 16‑door portfolio (14 single‑family homes and 1 duplex) allows for immediate scaling.
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
$116,374
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
5.48%
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%
$2,327,480
$2.3M
Cap Rate 7%
$1,662,486
$1.7M
Cap Rate 9%
$1,293,044
$1.3M
Market Conditions
NOI Build-Up for 17,100 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
$223.7K $13.08/SF
− Vacancy
−$12.1K −$0.71/SF
EGI
$211.6K $12.37/SF
− OpEx
−$95.2K −$5.57/SF
NOI
$116.4K $6.81/SF
Area
Louisville, KY
Vacancy
5.40%
Lease Rate
$13.08 /SF/Yr
Expense Ratio
45.00%
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%
$2,327,480
Cap Rate 7%
$1,662,486
Cap Rate 9%
$1,293,044
Alternative Uses
Best Use
Apartment 5plus
$1.66M
$1.45M – $1.94M
NOI $116,374 @ 7.0% cap · market cap 5.48%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$4.43M
$3.88M – $5.17M
NOI $310,262 @ 7.0% cap · market cap 14.61%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
714
Businesses Nearby
Explore this area
Business Placement
Demographics for 40208, KY
17,048
Population
6,675
Households
2.6
Avg Household Size
27
Median Age
34%
College-Educated
88%
High-School Grad
2.6 sq mi
ZIP Area
6,557
Density / Sq Mi
$37,714
Median Household Income
$17,255
Median Earnings
$914
Median Rent
$153,100
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - 16-unit rental portfolio in Louisville, 100% occupied, $225,036 annual rent.
Where is this apartment building located?
The property is located at 602 Colorado Ave Louisville, KY.
What is the asking price?
The asking price for this property is $2,123,250.
What are key features of this property?
This property features: 100% Occupancy: Portfolio is fully occupied, ensuring immediate rental income.; Strong Cash Flow: Generates $18,753 monthly gross rent ($225,036 annually).; Scale in One Closing: 16‑door portfolio (14 single‑family homes and 1 duplex) allows for immediate scaling.
