Sherwin Williams Retail
For Sale
$1,302,000
2305 Callahan Drive, Knoxville, TN 37912
Established retail property with a 2007 construction date and an identified Sherwin Williams occupant.
Property Size5,000 SF
Days on Market37
Property Features for 2305 Callahan Drive
General Information
Standard status
Active
Size
5,000 SF
Property subtype
Retail - Freestanding
Building Details
Building Size
5,000 SF
Year Built
2007
Listing Agency:
Encore Real Estate Investment Services
(248) 702-0285
Listed By:
Matt Weber · License #6501365625
Source:
Commercialcafe
Added: Jul 26
Changed: Aug 30
Last Checked: Aug 30 at 2:51PM
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 Encore Real Estate Investment Services
Investment Insights
Based on property information with market context.
This storefront retail property is located at 2305 Callahan Drive in Knoxville, Tennessee. The building was constructed in 2007 and is identified with Sherwin Williams, providing a clearly defined retail-oriented asset profile.
Knoxville is an established East Tennessee market with economic activity spanning health care, education, manufacturing, energy, technology, logistics, and tourism. The city is served by Interstates 40, 75, and 81 and functions as a regional center for commerce, employment, and cultural activity. Downtown destinations, major institutions, and nearby outdoor attractions contribute to the broader market context.
Knoxville is an established East Tennessee market with economic activity spanning health care, education, manufacturing, energy, technology, logistics, and tourism. The city is served by Interstates 40, 75, and 81 and functions as a regional center for commerce, employment, and cultural activity. Downtown destinations, major institutions, and nearby outdoor attractions contribute to the broader market context.
Key Highlights
- Storefront retail property at 2305 Callahan Drive, Knoxville, TN 37912
- Identified with Sherwin Williams
- Constructed in 2007
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
$71,820
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
5.52%
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%
$1,436,400
$1.4M
Cap Rate 7%
$1,026,000
$1.0M
Cap Rate 9%
$798,000
$798.0K
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
$108.0K $21.60/SF
− Vacancy
−$5.4K −$1.08/SF
EGI
$102.6K $20.52/SF
− OpEx
−$30.8K −$6.16/SF
NOI
$71.8K $14.36/SF
Area
Knoxville, TN
Vacancy
5.00%
Lease Rate
$21.60 /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%
$1,436,400
Cap Rate 7%
$1,026,000
Cap Rate 9%
$798,000
Alternative Uses
Best Use
Retail
$1.03M
$897.8K – $1.20M
NOI $71,820 @ 7.0% cap · market cap 5.52%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.24M
$1.08M – $1.44M
NOI $86,688 @ 7.0% cap · market cap 6.66%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
452
Businesses Nearby
278k
Monthly Visits Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Superstores 34%
Shops & Services 22%
Home Improvements & Furnishings 20%
Groceries 14%
Target
Superstores
94,227 visits/mo
0.2 miles
Lowe's
Home Improvements & Furnishings
52,965 visits/mo
0.1 miles
Hobby Lobby
Shops & Services
43,870 visits/mo
0.2 miles
Kroger
Groceries
39,239 visits/mo
0.3 miles
Scooter's Coffee
Dining
9,809 visits/mo
0.4 miles
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 Retail in Knoxville, TN
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Storefront property - Established retail property with a 2007 construction date and an identified Sherwin Williams occupant.
Where is this storefront property located?
The property is located at 2305 Callahan Drive Knoxville, TN.
What is the asking price?
The asking price for this property is $1,302,000.
What are key features of this property?
This property features: Storefront retail property at 2305 Callahan Drive, Knoxville, TN 37912; Identified with Sherwin Williams; Constructed in 2007
