Office Units with Creek
For Sale
Contact for pricing
1117 Oak Cluster Drive, Sevierville, TN 37862
C3-zoned commercial property with reception, offices, storage, and two bathrooms.
Property Size1,800 SF
Price / SF$194.39
Days on Market11
Property Features for 1117 Oak Cluster Drive
General Information
Standard status
Active
Size
1,800 SF
Class
B
Total Parking Spaces
12
Property subtype
Office, Retail
Zoning
C3
Building Details
Year Built
1997
Stories
1
Listing Agency:
Skye Realty
(865) 548-5577
Listed By:
Noreen McConnell · License #276187
Source:
Crexi
Added: Aug 13
Changed: Aug 18
Last Checked: Aug 22 at 5:49AM
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 Skye Realty
Investment Insights
Based on property information with market context.
This 1,800-square-foot office property, built in 1997, is configured with a reception area, three office rooms, two bathrooms, and two storage rooms. Two of the offices have private entrances, providing flexibility for separate occupants or varied business functions. The building is being sold as-is, with buyer inspections permitted and no repairs planned by the seller.
Located near LeConte Medical Center in Sevierville, the property offers proximity to an established medical destination. A creek runs behind the building, adding a natural setting to the site. C3 zoning and the existing office layout support consideration of individual office suites with shared reception and restroom areas, subject to applicable approvals.
Located near LeConte Medical Center in Sevierville, the property offers proximity to an established medical destination. A creek runs behind the building, adding a natural setting to the site. C3 zoning and the existing office layout support consideration of individual office suites with shared reception and restroom areas, subject to applicable approvals.
Key Highlights
- 1,800 SF office property built in 1997
- C3 zoning
- Three office spaces, including two with private entrances
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
$25,505
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
7.29%
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%
$510,100
$510.1K
Cap Rate 7%
$364,357
$364.4K
Cap Rate 9%
$283,389
$283.4K
Market Conditions
NOI Build-Up for 1,800 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
$41.5K $23.04/SF
− Vacancy
−$7.5K −$4.15/SF
EGI
$34.0K $18.89/SF
− OpEx
−$8.5K −$4.72/SF
NOI
$25.5K $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%
$510,100
Cap Rate 7%
$364,357
Cap Rate 9%
$283,389
Alternative Uses
Best Use
Office B
$364.4K
$318.8K – $425.1K
NOI $25,505 @ 7.0% cap · market cap 7.29%
Second Best
Retail
$314.6K
$275.3K – $367.0K
NOI $22,022 @ 7.0% cap · market cap 6.29%
Theoretical Best
Office A
$759.1K
$664.2K – $885.6K
NOI $53,136 @ 7.0% cap · market cap 15.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
597
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?
Office units - C3-zoned commercial property with reception, offices, storage, and two bathrooms.
Where is this office units located?
The property is located at 1117 Oak Cluster Drive Sevierville, TN.
What is the asking price?
The asking price for this property is $349,900.
What are key features of this property?
This property features: 1,800 SF office property built in 1997; C3 zoning; Three office spaces, including two with private entrances
