Aircraft Hangar with Pilot's Lounge
For Sale
$750,000
159 Industrial Park Drive, Sevierville, TN 37862
COMMERCIAL - Sevierville, TN
Property Size3,900 SF
Lot Size0.01 Acres
Price / SF$192.31
Days on Market20
Property Features for 159 Industrial Park Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Property condition
Under Construction
Zoning
Airport
Rooms
Basement
Parking
2
Parking features
Driveway
Directions
Main St from Sevierville heading east out of town. Turn right at Walmart across from Sevier County High School onto Industrial Park Dr. Drive to the end, past fire station and turn right at the fence. Drive to the gate and call Randy to get access.
Subdivision
Sevierville
Special listing conditions
Third Party Approval
Standard status
Active
Size
3,900 SF
Lot size
0.01 Acres
Taxes and HOA fees
Tax Year
2026
Utilities
Sewer type
Public Sewer
Heating system
Ductless (Heating), Wall Furnace
Cooling system
Ductless, Ceiling Fan(s)
Water source
Public
Building Details
Year built
2025
Floors in Building
2
Flooring type
Concrete
Building materials
Metal Siding, Steel Frame, Steel Siding
Additional Structures
Airplane Hangar
Listing Agency:
10 Realty, LLC
(865) 364-6868
Listed By:
Randy Bable · License #340077
(865) 364-6868
Added: Jul 24
Changed: Aug 4
Last Checked: Aug 12 at 8:06AM
MLS# 312957
Copyright © 2026 Great Smoky Mountains Association of Realtors. 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 new aircraft hangar offers approximately 3,000 square feet of hangar space, constructed with a steel frame and insulated construction. The ground-level hangar includes a bi-fold door measuring 50' x 20', plus an office, full bathroom, storage room, and gas heat with a tankless gas water heater. Interior finishes include concrete flooring. The property is under construction with a 2025 build year, and the heating and cooling setup includes ductless systems and wall furnace, along with ceiling fans. A driveway provides on-site parking access.
Above the hangar is an approximately 900-square-foot pilot’s lounge apartment with a full kitchen, living area, bedroom, and bathroom. The sale is for the hangar improvements only and includes the assignment of the existing airport ground lease.
The hangar improvements are currently in Year 4 of a 30-year ground lease with Gatlinburg Pigeon Forge Airport, and the purchaser will assume the remaining term of the ground lease subject to airport approval. No fee simple real estate is being conveyed.
Above the hangar is an approximately 900-square-foot pilot’s lounge apartment with a full kitchen, living area, bedroom, and bathroom. The sale is for the hangar improvements only and includes the assignment of the existing airport ground lease.
The hangar improvements are currently in Year 4 of a 30-year ground lease with Gatlinburg Pigeon Forge Airport, and the purchaser will assume the remaining term of the ground lease subject to airport approval. No fee simple real estate is being conveyed.
Key Highlights
- Approximately 3,000 SF aircraft hangar space with insulated steel‑frame construction
- 50' x 20' bi‑fold hangar door
- Approximately 900 SF finished pilot’s lounge apartment with full kitchen, bedroom, and bathroom
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
$55,261
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
7.37%
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%
$1,105,220
$1.1M
Cap Rate 7%
$789,443
$789.4K
Cap Rate 9%
$614,011
$614.0K
Market Conditions
NOI Build-Up for 3,900 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
$89.9K $23.04/SF
− Vacancy
−$16.2K −$4.15/SF
EGI
$73.7K $18.89/SF
− OpEx
−$18.4K −$4.72/SF
NOI
$55.3K $14.17/SF
Area
Sevier County, TN
Vacancy
18.00%
Lease Rate
$23.04 /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%
$1,105,220
Cap Rate 7%
$789,443
Cap Rate 9%
$614,011
Alternative Uses
Best Use
Office B
$789.4K
$690.8K – $921.0K
NOI $55,261 @ 7.0% cap · market cap 7.37%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.64M
$1.44M – $1.92M
NOI $115,128 @ 7.0% cap · market cap 15.35%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
444
Businesses Nearby
Explore this area
Business Placement
Demographics for 37862, TN
23,236
Population
13,676
Households
1.7
Avg Household Size
43
Median Age
23%
College-Educated
87%
High-School Grad
81.8 sq mi
ZIP Area
284
Density / Sq Mi
$58,110
Median Household Income
$31,490
Median Earnings
$956
Median Rent
$283,800
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?
Aviation real estate - Steel-framed hangar with an office, full bathroom, storage, and a finished pilot’s lounge apartment above it.
Where is this aviation real estate located?
The property is located at 159 Industrial Park Drive Sevierville, TN.
What is the asking price?
The asking price for this property is $750,000.
What are key features of this property?
This property features: Approximately 3,000 SF aircraft hangar space with insulated steel‑frame construction; 50' x 20' bi‑fold hangar door; Approximately 900 SF finished pilot’s lounge apartment with full kitchen, bedroom, and bathroom
