Updated Two-Unit
For Sale
$265,000
Pending
1754 Ocoee St, Chattanooga, TN 37406
Two matching residences provide separate electric metering and individual central heating and air conditioning.
Property Size2,100 SF
Days on Market26
Property Features for 1754 Ocoee St
General Information
Standard status
Pending
Size
2,100 SF
Property subtype
Residential Income
Additional Details
Multifamily Units
2
Building Details
Year Built
2003
Year Renovated
2022
Listing Agency:
Real Broker
(423) 529-0696
Listed By:
Corey Ballew 4235290696 · License #332263
Source:
Nashvillehouses
Added: Aug 5
Changed: Aug 28
Last Checked: Aug 25 at 7:22AM
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 Real Broker
Investment Insights
Based on property information with market context.
This duplex at 1754 Ocoee St in Chattanooga, Tennessee, contains two matching residences. Each unit offers three bedrooms, one and one-half bathrooms, more than 1,000 square feet of living space, a functional kitchen, and comfortable living areas. The property size is 2,100 square feet, and both units are currently vacant.
Separate electric meters serve the units, while each residence has its own central heating and air conditioning. A major renovation was completed in late 2022, following the property's 2003 construction. The matching floor plans create a consistent configuration across both sides and allow the two residences to be evaluated using the same layout.
Separate electric meters serve the units, while each residence has its own central heating and air conditioning. A major renovation was completed in late 2022, following the property's 2003 construction. The matching floor plans create a consistent configuration across both sides and allow the two residences to be evaluated using the same layout.
Key Highlights
- Two 3‑bedroom, 1.5‑bathroom units
- Each unit provides over 1,000 square feet of living space
- 2,100 square feet property size
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
$20,617
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
7.78%
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%
$412,340
$412.3K
Cap Rate 7%
$294,529
$294.5K
Cap Rate 9%
$229,078
$229.1K
Market Conditions
NOI Build-Up for 2,100 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
$31.5K $15.00/SF
− Vacancy
−$2.0K −$0.98/SF
EGI
$29.5K $14.03/SF
− OpEx
−$8.8K −$4.21/SF
NOI
$20.6K $9.82/SF
Area
Chattanooga, TN
Vacancy
6.50%
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%
$412,340
Cap Rate 7%
$294,529
Cap Rate 9%
$229,078
Alternative Uses
Best Use
Multifamily LT 5
$294.5K
$257.7K – $343.6K
NOI $20,617 @ 7.0% cap · market cap 7.78%
Second Best
Apartment 5plus
$264.3K
$231.3K – $308.3K
NOI $18,500 @ 7.0% cap · market cap 6.98%
Theoretical Best
Office A
$463.8K
$405.8K – $541.1K
NOI $32,466 @ 7.0% cap · market cap 12.25%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
2
Residential units
Location Intelligence
Trade Area within ½ mile
275
Businesses Nearby
Explore this area
Business Placement
Demographics for 37406, TN
12,422
Population
5,894
Households
2.1
Avg Household Size
36
Median Age
16%
College-Educated
85%
High-School Grad
12.1 sq mi
ZIP Area
1,027
Density / Sq Mi
$42,993
Median Household Income
$31,076
Median Earnings
$944
Median Rent
$150,300
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 - Two matching residences provide separate electric metering and individual central heating and air conditioning.
Where is this duplex located?
The property is located at 1754 Ocoee St Chattanooga, TN.
What is the asking price?
The asking price for this property is $265,000.
What are key features of this property?
This property features: Two 3‑bedroom, 1.5‑bathroom units; Each unit provides over 1,000 square feet of living space; 2,100 square feet property size
