Historic Duplex with Off-Street
For Sale
$475,000
424 East Scott Avenue, Knoxville, TN 37917
Fully leased two-unit property with separate three-bedroom and two-bedroom residences in Old North Knoxville.
Property Size1,902 SF
Price / SF$249.74
Days on Market581
Property Features for 424 East Scott Avenue
General Information
Standard status
Active
Size
1,902 SF
Property subtype
Multi-Family
Occupancy
100%
Units
Unit Mix
1 x 3BR, 1 x 2BR
Multifamily Units
2
Taxes and HOA fees
Annual Taxes
$2,965
Amenities
Central Cooling
Yes
Laminate
True
Central, Electric
Prof Landscaped
Brick
Building Details
Year Built
1920
Buildings
1
Listing Agency:
Alliance Sotheby's International
(865) 357-3232
Listed By:
Jackson Higley
Source:
Compass
Added: Jan 27, 2025
Changed: Aug 29
Last Checked: Aug 31 at 1:14AM
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 Alliance Sotheby's International
Investment Insights
Based on property information with market context.
Built in 1920, this 1,902-square-foot duplex contains a three-bedroom lower residence and a two-bedroom upper residence. The property is fully leased and includes central cooling, electric heating, laminate finishes, brick construction, and professionally landscaped grounds. A roof replacement is noted for December 2025.
Located at 424 East Scott Avenue in Knoxville’s Old North Knoxville area, the property provides off-street parking. A portion of the parking area is subject to an easement for shared trash service with the neighboring building.
Located at 424 East Scott Avenue in Knoxville’s Old North Knoxville area, the property provides off-street parking. A portion of the parking area is subject to an easement for shared trash service with the neighboring building.
Key Highlights
- Fully leased duplex with 1,902 square feet of building area
- Three‑bedroom lower unit paired with a two‑bedroom upper unit
- 1920 construction with brick exterior and landscaped grounds
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
$18,549
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
3.91%
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%
$370,980
$371.0K
Cap Rate 7%
$264,986
$265.0K
Cap Rate 9%
$206,100
$206.1K
Market Conditions
NOI Build-Up for 1,902 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
$28.5K $15.00/SF
− Vacancy
−$2.0K −$1.07/SF
EGI
$26.5K $13.93/SF
− OpEx
−$7.9K −$4.18/SF
NOI
$18.5K $9.75/SF
Area
Knoxville, TN
Vacancy
7.12%
Lease Rate
$15.00 /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%
$370,980
Cap Rate 7%
$264,986
Cap Rate 9%
$206,100
Alternative Uses
Best Use
Multifamily LT 5
$265.0K
$231.9K – $309.2K
NOI $18,549 @ 7.0% cap · market cap 3.91%
Second Best
Apartment 5plus
$243.8K
$213.4K – $284.5K
NOI $17,069 @ 7.0% cap · market cap 3.59%
Theoretical Best
Office A
$471.1K
$412.2K – $549.6K
NOI $32,976 @ 7.0% cap · market cap 6.94%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
100%
Occupancy
Location Intelligence
Trade Area within ½ mile
964
Businesses Nearby
Explore this area
Business Placement
Demographics for 37917, TN
25,013
Population
14,216
Households
1.8
Avg Household Size
39
Median Age
31%
College-Educated
87%
High-School Grad
9.5 sq mi
ZIP Area
2,633
Density / Sq Mi
$51,232
Median Household Income
$37,853
Median Earnings
$1,063
Median Rent
$189,100
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?
Duplex - Fully leased two-unit property with separate three-bedroom and two-bedroom residences in Old North Knoxville.
Where is this duplex located?
The property is located at 424 East Scott Avenue Knoxville, TN.
What is the asking price?
The asking price for this property is $475,000.
What are key features of this property?
This property features: Fully leased duplex with 1,902 square feet of building area; Three‑bedroom lower unit paired with a two‑bedroom upper unit; 1920 construction with brick exterior and landscaped grounds
