77-Key Spark by Hilton
For Sale
Contact for pricing
3402 Winfield Dunn Pkwy, Sevierville, TN 37764
Recently renovated, Hilton-branded hotel in Kodak, Tennessee.
Property Size42,424 SF
Price / SF$176.79
Days on Market152
Property Features for 3402 Winfield Dunn Pkwy
General Information
Standard status
Active
Size
42,424 SF
Total Parking Spaces
83
Property subtype
Hospitality
Investment Type
Value Add
Building Details
Year Built
1997
Year Renovated
2025
Buildings
1
Listing Agency:
ParaSell Inc
(949) 942-6585
Listed By:
Scott Reid · License #000127148-0
Source:
Crexi
Added: Mar 23
Changed: Aug 19
Last Checked: Aug 20 at 4:45AM
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 ParaSell Inc
Investment Insights
Based on property information with market context.
This 77-key Spark by Hilton, located in Kodak, Tennessee, presents an opportunity to acquire a recently converted and renovated Hilton-branded hotel. Positioned within the Upper Economy segment, the property benefits from Hilton’s reservation system, brand recognition, and operational efficiencies. The repositioning to a Spark by Hilton is expected to improve operating performance, increase market penetration, and enhance rate positioning. The property benefits from its positioning as a renovated, Hilton-affiliated asset in a market with limited comparable branded inventory. Meaningful upside exists through occupancy growth, ADR expansion, and margin improvement as the property integrates into Hilton’s distribution channels. The asset is well-positioned to benefit from its proximity to the Smoky Mountains tourism corridor. The market’s drive-to accessibility and diverse demand generators provide a strong foundation for long-term performance. The Spark by Hilton brand is designed to capture value-oriented travelers seeking consistency and quality. The offering represents a combination of brand strength, recent capital investment, and forward-looking upside, positioning investors to benefit from both near-term operational improvements and long-term market fundamentals. The property size is 42424 square feet.
Key Highlights
- Newly renovated 77‑key Spark by Hilton, offering a fresh, modern experience
- Benefits from Hilton's brand recognition, reservation system, and operational efficiencies
- Located near the Smoky Mountains tourism corridor, a major US leisure destination
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
$210,381
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
2.81%
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%
$4,207,620
$4.2M
Cap Rate 7%
$3,005,443
$3.0M
Cap Rate 9%
$2,337,567
$2.3M
Market Conditions
NOI Build-Up for 42,424 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
$763.6K $18.00/SF
− Vacancy
−$320.7K −$7.56/SF
EGI
$442.9K $10.44/SF
− OpEx
−$232.5K −$5.48/SF
NOI
$210.4K $4.96/SF
Area
Sevier County, TN
Vacancy
42.00%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
52.50%
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%
$4,207,620
Cap Rate 7%
$3,005,443
Cap Rate 9%
$2,337,567
Alternative Uses
Best Use
Hotel Hospitality
$3.01M
$2.63M – $3.51M
NOI $210,381 @ 7.0% cap · market cap 2.81%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$17.89M
$15.65M – $20.87M
NOI $1,252,356 @ 7.0% cap · market cap 16.70%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
85
Businesses Nearby
Explore this area
Business Placement
Demographics for 37764, TN
10,583
Population
4,673
Households
2.3
Avg Household Size
42
Median Age
19%
College-Educated
88%
High-School Grad
34.1 sq mi
ZIP Area
310
Density / Sq Mi
$69,028
Median Household Income
$31,986
Median Earnings
$1,095
Median Rent
$226,200
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Hotel - Recently renovated, Hilton-branded hotel in Kodak, Tennessee.
Where is this hotel located?
The property is located at 3402 Winfield Dunn Pkwy Sevierville, TN.
What is the asking price?
The asking price for this property is $7,500,000.
What are key features of this property?
This property features: Newly renovated 77‑key Spark by Hilton, offering a fresh, modern experience; Benefits from Hilton's brand recognition, reservation system, and operational efficiencies; Located near the Smoky Mountains tourism corridor, a major US leisure destination
