Flexible Warehouse-Production
For Sale
Contact for pricing
2409 Sycamore Dr, Knoxville, TN 37921
Heated and cooled flex warehouse-production facility with heavy electrical, sprinklers, and multiple loading and service doors.
Property Size26,200 SF
Price / SF$100
Days on Market175
Property Features for 2409 Sycamore Dr
General Information
Standard status
Active
Size
26,200 SF
Property subtype
Industrial
Zoning
IG
Lease Type
Modified Gross
Warehouse & Industrial
Clear Height
22 ft
Dock-High Doors
1
Drive-In Doors
1
Heavy Power
Yes
Sprinkler System
Yes
Additional Details
Highway Access
Yes
Amenities
conference/training area
Building Details
Year Built
1960
Buildings
1
Listing Agency:
Wallace Commercial
Listed By:
Jim Simpson · License #TN
(865) 690-1111
Source:
Crexi
Added: Mar 18
Changed: Sep 8
Last Checked: Jul 22 at 12:37PM
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 Wallace Commercial
Investment Insights
Based on property information with market context.
This flexible warehouse-production facility is fully heated and cooled throughout. The building is equipped with heavy electrical service and is fully sprinklered, with ceiling heights ranging from 12' to 22'. Loading and access include an 8' x 12' drive-in door, an 8' x 8' dock high door, and a 7' x 12' (wide) service door, along with upper level storage areas. A conference/training area is also included.
The industrial park location is convenient to I-640, I-40, and I-75. Tenant must verify all measurements and other statements.
The industrial park location is convenient to I-640, I-40, and I-75. Tenant must verify all measurements and other statements.
Key Highlights
- Heated and cooled warehouse‑production facility throughout
- Heavy electrical service and fully sprinklered for fire protection
- Ceiling heights range from 12' to 22'
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
$228,066
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
8.70%
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%
$4,561,320
$4.6M
Cap Rate 7%
$3,258,086
$3.3M
Cap Rate 9%
$2,534,067
$2.5M
Market Conditions
NOI Build-Up for 26,200 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
$377.3K $14.40/SF
− Vacancy
−$26.4K −$1.01/SF
EGI
$350.9K $13.39/SF
− OpEx
−$122.8K −$4.69/SF
NOI
$228.1K $8.70/SF
Area
Knoxville, TN
Vacancy
7.00%
Lease Rate
$14.40 /SF/Yr
Expense Ratio
35.00%
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%
$4,561,320
Cap Rate 7%
$3,258,086
Cap Rate 9%
$2,534,067
Alternative Uses
Best Use
Flex RnD
$3.26M
$2.85M – $3.80M
NOI $228,066 @ 7.0% cap · market cap 8.70%
Second Best
Warehouse
$3.25M
$2.84M – $3.79M
NOI $227,288 @ 7.0% cap · market cap 8.68%
Theoretical Best
Office A
$6.49M
$5.68M – $7.57M
NOI $454,245 @ 7.0% cap · market cap 17.34%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
22 ft
Clear height
1
Dock-high doors
1
Drive-in doors
Yes
Heavy power
Yes
Sprinkler system
Yes
Highway access
Location Intelligence
Trade Area within ½ mile
334
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 37921, TN
28,903
Population
12,969
Households
2.2
Avg Household Size
35
Median Age
27%
College-Educated
87%
High-School Grad
15.9 sq mi
ZIP Area
1,818
Density / Sq Mi
$57,813
Median Household Income
$37,518
Median Earnings
$1,147
Median Rent
$204,300
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - Heated and cooled flex warehouse-production facility with heavy electrical, sprinklers, and multiple loading and service doors.
Where is this flex space located?
The property is located at 2409 Sycamore Dr Knoxville, TN.
What is the asking price?
The asking price for this property is $2,620,000.
What are key features of this property?
This property features: Heated and cooled warehouse‑production facility throughout; Heavy electrical service and fully sprinklered for fire protection; Ceiling heights range from 12' to 22'
