Flex Space with Office and
For Sale
Contact for pricing
2827 Calhoun Ave, Chattanooga, TN 37407
One-story commercial facility combines dedicated office areas, a shop, rear-yard access, and industrial zoning.
Property Size4,004 SF
Price / SF$148.60
Days on Market117
Property Features for 2827 Calhoun Ave
General Information
Standard status
Active
Size
4,004 SF
Class
B
Property subtype
Office, Industrial
Zoning
I-H
Investment Type
Owner/User
Site & Location
Highway Access
Yes
Road Access
Yes
Outdoor Storage
Yes
Warehouse & Industrial
Office Build-Out
3,284 SF
Drive-In Doors
1
Additional Details
Asking Price
$595,000
Amenities
reception area
conference room
private offices
break room
secured storage
covered walkway
Building Details
Stories
1
Units
12
Building Size
4,004 SF
Listing Agency:
Hunt Commercial Real Estate, LLC
Listed By:
Steve Hunt · License #TN 218803
Source:
Crexi
Added: May 6
Changed: Aug 29
Last Checked: Aug 29 at 6:48PM
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 Hunt Commercial Real Estate, LLC
Investment Insights
Based on property information with market context.
This one-story flex property provides approximately 4,004 SF under roof, organized around 3,284 SF of office space and an additional 720 SF shop and shed area. The office component includes reception, a conference room, 8 private offices, a break room, and secured storage. A covered connection between the office and shop allows vehicle passage to the rear yard, while a roll-up door and on-site parking support day-to-day operations.
The property is located at 2827 Calhoun Ave in Chattanooga, one block south of I-24 and near Rossville Blvd and 28th Street. I-H zoning supports the property’s industrial and business orientation. The combination of office infrastructure, enclosed work or storage space, and outdoor yard area creates a practical configuration for an owner-user or investor.
The property is located at 2827 Calhoun Ave in Chattanooga, one block south of I-24 and near Rossville Blvd and 28th Street. I-H zoning supports the property’s industrial and business orientation. The combination of office infrastructure, enclosed work or storage space, and outdoor yard area creates a practical configuration for an owner-user or investor.
Key Highlights
- Approximately 4,004 SF under roof
- 3,284 SF of office space with reception, conference room, 8 private offices, break room, and secured storage
- Additional 720 SF shop and shed area
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
$45,946
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
7.72%
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%
$918,920
$918.9K
Cap Rate 7%
$656,371
$656.4K
Cap Rate 9%
$510,511
$510.5K
Market Conditions
NOI Build-Up for 4,004 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
$72.1K $18.00/SF
− Vacancy
−$10.8K −$2.70/SF
EGI
$61.3K $15.30/SF
− OpEx
−$15.3K −$3.82/SF
NOI
$45.9K $11.48/SF
Area
Chattanooga, TN
Vacancy
15.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
25.00%
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%
$918,920
Cap Rate 7%
$656,371
Cap Rate 9%
$510,511
Alternative Uses
Best Use
Office B
$656.4K
$574.3K – $765.8K
NOI $45,946 @ 7.0% cap · market cap 7.72%
Second Best
Flex RnD
$539.4K
$472.0K – $629.3K
NOI $37,759 @ 7.0% cap · market cap 6.35%
Theoretical Best
Office A
$884.3K
$773.8K – $1.03M
NOI $61,901 @ 7.0% cap · market cap 10.40%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Drive-in doors
Yes
Highway access
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
399
Businesses Nearby
Balanced
Demand for This Use
Explore this area
Business Placement
Demographics for 37407, TN
9,779
Population
3,540
Households
2.8
Avg Household Size
28
Median Age
7%
College-Educated
57%
High-School Grad
3.4 sq mi
ZIP Area
2,876
Density / Sq Mi
$33,785
Median Household Income
$27,018
Median Earnings
$891
Median Rent
$84,600
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - One-story commercial facility combines dedicated office areas, a shop, rear-yard access, and industrial zoning.
Where is this flex space located?
The property is located at 2827 Calhoun Ave Chattanooga, TN.
What is the asking price?
The asking price for this property is $595,000.
What are key features of this property?
This property features: Approximately 4,004 SF under roof; 3,284 SF of office space with reception, conference room, 8 private offices, break room, and secured storage; Additional 720 SF shop and shed area
