Dixie Highway Redevelopment
For Sale
Contact for pricing
Pending
7800 Dixie Hwy, Louisville, KY 40258
0.6-acre C-2 zoned property on Dixie Highway.
Property Size912 SF
Lot Size0.60 Acres
Days on Market196
Property Features for 7800 Dixie Hwy
General Information
Standard status
Pending
Size
912 SF
Lot size
0.60 Acres
Property subtype
Land, Mixed Use, Office, Retail
Zoning
C2
Building Details
Year Built
1995
Buildings
1
Stories
1
Listing Agency:
The Menish Group
Listed By:
Alex Lanham · License #KY 281423
Source:
Crexi
Added: Jan 28
Changed: Aug 8
Last Checked: Jul 25 at 9:09AM
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 The Menish Group
Investment Insights
Based on property information with market context.
This 0.6-acre commercial property is located along Dixie Highway in Louisville, Kentucky. Zoned C-2, the site offers significant exposure on one of Louisville’s most traveled corridors. Formerly a car lot, the property is now a blank canvas suitable for retail, automotive, office, or mixed-use redevelopment. The location provides exceptional visibility, strong traffic counts, and immediate market presence. Direct access to major roads and highways enhances connectivity and convenience. The property is positioned in a high-demand Dixie Highway corridor experiencing ongoing growth and redevelopment. The site is approximately 912 square feet and presents a compelling opportunity for value-add investors, developers, or owner-users seeking a long-term hold or repositioning play.
Key Highlights
- Prime Dixie Highway location with high visibility and strong traffic counts.
- C‑2 zoning allows for retail, automotive, office, or mixed‑use redevelopment.
- Online auction with a minimum bid of $325,000, significantly below appraised value of $560,000.
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
$11,778
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
3.62%
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%
$235,560
$235.6K
Cap Rate 7%
$168,257
$168.3K
Cap Rate 9%
$130,867
$130.9K
Market Conditions
NOI Build-Up for 912 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
$19.2K $21.00/SF
− Vacancy
−$3.4K −$3.78/SF
EGI
$15.7K $17.22/SF
− OpEx
−$3.9K −$4.31/SF
NOI
$11.8K $12.92/SF
Area
Louisville, KY
Vacancy
18.00%
Lease Rate
$21.00 /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%
$235,560
Cap Rate 7%
$168,257
Cap Rate 9%
$130,867
Alternative Uses
Best Use
Office B
$168.3K
$147.2K – $196.3K
NOI $11,778 @ 7.0% cap · market cap 3.62%
Second Best
Mixed Use
$154.8K
$135.4K – $180.6K
NOI $10,835 @ 7.0% cap · market cap 3.33%
Theoretical Best
Office A
$236.4K
$206.8K – $275.8K
NOI $16,547 @ 7.0% cap · market cap 5.09%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
403
Businesses Nearby
Explore this area
Business Placement
Demographics for 40258, KY
26,807
Population
11,568
Households
2.3
Avg Household Size
39
Median Age
15%
College-Educated
88%
High-School Grad
11.7 sq mi
ZIP Area
2,291
Density / Sq Mi
$66,263
Median Household Income
$42,525
Median Earnings
$1,146
Median Rent
$173,100
Median Home Value
Market
Vacancy Rate% for Office 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?
Commercial land - 0.6-acre C-2 zoned property on Dixie Highway.
Where is this commercial land located?
The property is located at 7800 Dixie Hwy Louisville, KY.
What is the asking price?
The asking price for this property is $325,000.
What are key features of this property?
This property features: Prime Dixie Highway location with high visibility and strong traffic counts.; C‑2 zoning allows for retail, automotive, office, or mixed‑use redevelopment.; Online auction with a minimum bid of $325,000, significantly below appraised value of $560,000.
