Renovated Office
New
For Sale
$649,900
116 Shivel Drive, Hendersonville, TN 37075
Flexible commercial layout with multiple offices, an adaptable work area, and additional upstairs space.
Property Size2,045 SF
Price / SF$317.80
Days on Market7
Property Features for 116 Shivel Drive
General Information
Standard status
Active
Size
2,045 SF
Property subtype
Commercial
Zoning
General Commercial
Building Details
Year Built
1940
Year Renovated
2016
Listing Agency:
(615) 957-7444
Listed By:
Kevin Pigg
(615) 957-7444
Source:
Benchmarkrealtytn
Added: Aug 5
Changed: Aug 10
Last Checked: Aug 10 at 6:52AM
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 Kevin Pigg
Investment Insights
Based on property information with market context.
This General Commercial-zoned office property provides 2,045 square feet arranged around five offices, two bathrooms, and a generous multipurpose room. The room can support meetings, training, retail, or collaborative work, while the private upper level offers additional space for offices or storage. A kitchen is also included.
Renovation work completed in 2016 addressed the electrical system, plumbing, windows, flooring, and kitchen. More recent improvements include a new furnace and professionally encapsulated basement in 2024, followed by new roof and siding in 2025. The property includes on-site parking and is located near Main Street, with access from Shivel Drive.
Renovation work completed in 2016 addressed the electrical system, plumbing, windows, flooring, and kitchen. More recent improvements include a new furnace and professionally encapsulated basement in 2024, followed by new roof and siding in 2025. The property includes on-site parking and is located near Main Street, with access from Shivel Drive.
Key Highlights
- 2,045 SF office building with five offices and two bathrooms
- General Commercial (GC) zoning
- Multipurpose room suited to meetings, training, retail, or collaborative workspace
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
$34,215
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
5.26%
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%
$684,300
$684.3K
Cap Rate 7%
$488,786
$488.8K
Cap Rate 9%
$380,167
$380.2K
Market Conditions
NOI Build-Up for 2,045 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
$54.0K $26.40/SF
− Vacancy
−$8.4K −$4.09/SF
EGI
$45.6K $22.31/SF
− OpEx
−$11.4K −$5.58/SF
NOI
$34.2K $16.73/SF
Area
Sumner County, TN
Vacancy
15.50%
Lease Rate
$26.40 /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%
$684,300
Cap Rate 7%
$488,786
Cap Rate 9%
$380,167
Alternative Uses
Best Use
Office B
$488.8K
$427.7K – $570.3K
NOI $34,215 @ 7.0% cap · market cap 5.26%
Second Best
Healthcare Medical
$395.3K
$345.9K – $461.2K
NOI $27,674 @ 7.0% cap · market cap 4.26%
Theoretical Best
Specialty Retail
$715.8K
$626.3K – $835.1K
NOI $50,107 @ 7.0% cap · market cap 7.71%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,222
Businesses Nearby
Explore this area
Business Placement
Demographics for 37075, TN
71,023
Population
29,600
Households
2.4
Avg Household Size
39
Median Age
42%
College-Educated
95%
High-School Grad
59.0 sq mi
ZIP Area
1,204
Density / Sq Mi
$97,597
Median Household Income
$50,323
Median Earnings
$1,552
Median Rent
$403,400
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 building - Flexible commercial layout with multiple offices, an adaptable work area, and additional upstairs space.
Where is this office building located?
The property is located at 116 Shivel Drive Hendersonville, TN.
What is the asking price?
The asking price for this property is $649,900.
What are key features of this property?
This property features: 2,045 SF office building with five offices and two bathrooms; General Commercial (GC) zoning; Multipurpose room suited to meetings, training, retail, or collaborative workspace
