Five-Unit Apartment
For Sale
$775,000
5216 Tillery Rd, Knoxville, TN 37912
Two-story townhome-style units offer private patios, dedicated laundry rooms, and separately metered utilities.
Property Size5,000 SF
Price / SF$155
Days on Market27
Property Features for 5216 Tillery Rd
General Information
Standard status
Active
Size
5,000 SF
Property subtype
Multi-Family
Occupancy
100%
Property Condition
Severity
Repairs Needed
Evidence
would benefit from further updating
Site & Location
Public Transit
Yes
Utilities to Site
Yes
Units
Unit Mix
5 x 2BR/1.5BA
Multifamily Units
5
Amenities
laundry room
paved parking lot
backyard space
Building Details
Year Built
1972
Tenancy
Multi
Listing Agency:
(865) 518-4324
Listed By:
Southern Charm Homes
(865) 518-4324
Source:
Southerncharm
Added: Aug 3
Changed: Aug 28
Last Checked: Aug 29 at 8:59AM
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 Southern Charm Homes
Investment Insights
Based on property information with market context.
This five-unit apartment building consists of two-story townhome-style residences, each with two bedrooms, one-and-a-half bathrooms, a defined living area, closet storage, and a dedicated laundry room. Every unit also includes a private rear patio. The property has a paved parking lot, backyard space, and a low-maintenance exterior. Built in 1972, the asset would benefit from additional updating, while all five tenants are currently on month-to-month agreements.
Utilities are separately metered by unit, with tenants responsible for their own utility costs. The property sits along the city bus line near Victor Ashe Park, downtown Knoxville, and the University of Tennessee. Schools, a library, medical facilities, shopping, and dining are within walking distance.
Utilities are separately metered by unit, with tenants responsible for their own utility costs. The property sits along the city bus line near Victor Ashe Park, downtown Knoxville, and the University of Tennessee. Schools, a library, medical facilities, shopping, and dining are within walking distance.
Key Highlights
- Five‑unit apartment building with two‑story townhome‑style residences
- Each unit includes 2 bedrooms, 1.5 bathrooms, and a dedicated laundry room
- Private rear patios, paved parking lot, and backyard space
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
$44,872
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
5.79%
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%
$897,440
$897.4K
Cap Rate 7%
$641,029
$641.0K
Cap Rate 9%
$498,578
$498.6K
Market Conditions
NOI Build-Up for 5,000 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
$88.2K $17.64/SF
− Vacancy
−$6.6K −$1.32/SF
EGI
$81.6K $16.32/SF
− OpEx
−$36.7K −$7.34/SF
NOI
$44.9K $8.97/SF
Area
Knoxville, TN
Vacancy
7.50%
Lease Rate
$17.64 /SF/Yr
Expense Ratio
45.00%
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%
$897,440
Cap Rate 7%
$641,029
Cap Rate 9%
$498,578
Alternative Uses
Best Use
Apartment 5plus
$641.0K
$560.9K – $747.9K
NOI $44,872 @ 7.0% cap · market cap 5.79%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.24M
$1.08M – $1.44M
NOI $86,688 @ 7.0% cap · market cap 11.19%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
5
Residential units
100%
Occupancy
Multi-tenant
Tenancy
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
548
Businesses Nearby
Explore this area
Business Placement
Demographics for 37912, TN
22,313
Population
10,916
Households
2
Avg Household Size
36
Median Age
23%
College-Educated
88%
High-School Grad
10.6 sq mi
ZIP Area
2,105
Density / Sq Mi
$44,754
Median Household Income
$30,859
Median Earnings
$1,050
Median Rent
$185,600
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Apartment building - Two-story townhome-style units offer private patios, dedicated laundry rooms, and separately metered utilities.
Where is this apartment building located?
The property is located at 5216 Tillery Rd Knoxville, TN.
What is the asking price?
The asking price for this property is $775,000.
What are key features of this property?
This property features: Five‑unit apartment building with two‑story townhome‑style residences; Each unit includes 2 bedrooms, 1.5 bathrooms, and a dedicated laundry room; Private rear patios, paved parking lot, and backyard space
