Gallatin Industrial Building For
For Sale
$850,000
Pending
1126 Old Highway 109 N, Gallatin, TN 37066
8,000 sq ft industrial building suitable for various uses.
Property Size8,000 SF
Days on Market90
Property Features for 1126 Old Highway 109 N
General Information
Standard status
Pending
Size
8,000 SF
Listing Agency:
Gene Carman R. E. & Auction
(615) 210-7168
Listed By:
Lloyd Andrews · License #14193
(615) 210-7168
Source:
Exprealty
Added: May 26
Changed: Aug 23
Last Checked: Jul 26 at 9:38AM
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 Gene Carman R. E. & Auction
Investment Insights
Based on property information with market context.
This 8,000 sq ft building, constructed in 1994, was previously used as a tool and die shop. It features a concrete parking lot and is located just outside of Gallatin. The property includes approximately 25' x 25' of office space with central heat and air, along with two half bathrooms. The building has 3-phase current and includes a tow motor. The property is located in a flood hazard area and is suitable for many uses.
Key Highlights
- 8000 sq. ft. building suitable for various uses
- Includes a tow motor
- Features 3‑phase electrical current
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
$52,907
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
6.22%
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%
$1,058,140
$1.1M
Cap Rate 7%
$755,814
$755.8K
Cap Rate 9%
$587,856
$587.9K
Market Conditions
NOI Build-Up for 8,000 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
$78.0K $9.75/SF
− Vacancy
−$2.4K −$0.30/SF
EGI
$75.6K $9.45/SF
− OpEx
−$22.7K −$2.83/SF
NOI
$52.9K $6.61/SF
Area
Sumner County, TN
Vacancy
3.10%
Lease Rate
$9.75 /SF/Yr
Expense Ratio
30.00%
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%
$1,058,140
Cap Rate 7%
$755,814
Cap Rate 9%
$587,856
Alternative Uses
Best Use
Industrial
$755.8K
$661.3K – $881.8K
NOI $52,907 @ 7.0% cap · market cap 6.22%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$2.80M
$2.45M – $3.27M
NOI $196,017 @ 7.0% cap · market cap 23.06%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
14
Businesses Nearby
Explore this area
Business Placement
Demographics for 37066, TN
59,370
Population
25,939
Households
2.3
Avg Household Size
40
Median Age
34%
College-Educated
91%
High-School Grad
116.3 sq mi
ZIP Area
510
Density / Sq Mi
$78,049
Median Household Income
$43,311
Median Earnings
$1,305
Median Rent
$376,100
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Manufacturing property - 8,000 sq ft industrial building suitable for various uses.
Where is this manufacturing property located?
The property is located at 1126 Old Highway 109 N Gallatin, TN.
What is the asking price?
The asking price for this property is $850,000.
What are key features of this property?
This property features: 8000 sq. ft. building suitable for various uses; Includes a tow motor; Features 3‑phase electrical current
