Mixed-Use Property with Motel and
For Sale
$550,000
3209 Memorial Boulevard, Kingsport, TN 37664
Package includes a historic home, lodging units, an office building, and two additional lots.
Property Size3,996 SF
Price / SF$137.64
Days on Market26
Property Features for 3209 Memorial Boulevard
General Information
Standard status
Active
Size
3,996 SF
Zoning
B-3 and R-1
Additional Details
Road Access
Yes
Land Use
mixed-use, residential, commercial, lodging, office
Building Details
Year Built
1950
Buildings
3
Listing Agency:
Selling Stateline Real Estate Group
(423) 773-9374
Listed By:
Brittany Reed · License #330034
Source:
Thecolinandcarlygroup
Added: Aug 3
Changed: Aug 28
Last Checked: Aug 28 at 1:07PM
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 Selling Stateline Real Estate Group
Investment Insights
Based on property information with market context.
This mixed-use property package at 3209 Memorial Boulevard includes an 8-unit motel, a separate office building, an approximately 2,706-square-foot historic home, and two additional lots. The home contains three bedrooms and two bathrooms, along with original character and a layout described as suitable for residential or commercial use subject to zoning. The office structure provides space for multiple office suites or business operations.
The motel is included as part of the package and is described as suitable for renovation and continued lodging use or other permitted uses. The property has frontage on Memorial Boulevard and includes parcels 062H H 001.00, 062H H 010.00, and 062H H 011.00. Zoning identified for the property includes B-3 and R-1. The buildings date to 1950.
The motel is included as part of the package and is described as suitable for renovation and continued lodging use or other permitted uses. The property has frontage on Memorial Boulevard and includes parcels 062H H 001.00, 062H H 010.00, and 062H H 011.00. Zoning identified for the property includes B-3 and R-1. The buildings date to 1950.
Key Highlights
- 8‑unit motel included in the property package
- Approximately 2,706 square feet in the historic home
- Historic home with 3 bedrooms and 2 bathrooms
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
$35,065
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
6.38%
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%
$701,300
$701.3K
Cap Rate 7%
$500,929
$500.9K
Cap Rate 9%
$389,611
$389.6K
Market Conditions
NOI Build-Up for 3,996 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
$62.3K $15.60/SF
− Vacancy
−$6.2K −$1.56/SF
EGI
$56.1K $14.04/SF
− OpEx
−$21.0K −$5.27/SF
NOI
$35.1K $8.77/SF
Area
Sullivan County, TN
Vacancy
10.00%
Lease Rate
$15.60 /SF/Yr
Expense Ratio
37.50%
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%
$701,300
Cap Rate 7%
$500,929
Cap Rate 9%
$389,611
Alternative Uses
Best Use
Office B
$833.5K
$729.4K – $972.5K
NOI $58,348 @ 7.0% cap · market cap 10.61%
Second Best
Mixed Use
$500.9K
$438.3K – $584.4K
NOI $35,065 @ 7.0% cap · market cap 6.38%
Theoretical Best
Office A
$1.50M
$1.31M – $1.75M
NOI $104,750 @ 7.0% cap · market cap 19.05%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
315
Businesses Nearby
Explore this area
Business Placement
Demographics for 37664, TN
28,748
Population
13,914
Households
2.1
Avg Household Size
44
Median Age
34%
College-Educated
92%
High-School Grad
33.9 sq mi
ZIP Area
848
Density / Sq Mi
$61,164
Median Household Income
$37,047
Median Earnings
$817
Median Rent
$204,900
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?
Mixed-use property - Package includes a historic home, lodging units, an office building, and two additional lots.
Where is this mixed-use property located?
The property is located at 3209 Memorial Boulevard Kingsport, TN.
What is the asking price?
The asking price for this property is $550,000.
What are key features of this property?
This property features: 8‑unit motel included in the property package; Approximately 2,706 square feet in the historic home; Historic home with 3 bedrooms and 2 bathrooms
