Highway 75 Commercial
For Sale
Contact for pricing
3450-3460 highway 75, Kingsport, TN 37663
Income-producing property with high visibility and development potential.
Property Size10,000 SF
Lot Size7.69 Acres
Price / SF$94.90
Days on Market189
Property Features for 3450-3460 highway 75
General Information
Standard status
Active
Size
10,000 SF
Lot size
7.69 Acres
Property subtype
Industrial, Mixed Use, Multifamily, Retail
Zoning
B-3/R-4 General Business
Building Details
Buildings
1
Stories
2
Listing Agency:
TCI Group – Jerry Petzoldt Agency LLC
Listed By:
Edward Mahaffey · License #TN 355986
Source:
Crexi
Added: Feb 3
Changed: Aug 8
Last Checked: Aug 10 at 10:35AM
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 TCI Group – Jerry Petzoldt Agency LLC
Investment Insights
Based on property information with market context.
This commercial property, located at 3450 & 3460 Highway 75 in Sullivan County, Tennessee, offers a 10,000 square foot building on 7.69 acres. The property is zoned B-3/R-4 general business and features 446 feet of highway frontage, excellent tractor-trailer access, a wide entry, night lighting, and full public utilities. It benefits from an average traffic count of approximately 11,000 vehicles per day. The property is currently income producing, utilized for RV storage, business rental space, and three residential apartments, generating $6,500 in monthly income. An additional nearby parcel is also available, well-suited for equipment storage or display, model homes, or a lay-down yard, further enhancing expansion or development potential. The site is located 2.5 miles from Tri-Cities Airport and within 15 minutes of Bristol, Kingsport, and Johnson City. It is also 4 miles to Interstate 26 and 10 miles to Interstate 81. The property's proximity to Boone Lake and the Boone Lake Recreation Area adds appeal for businesses serving both commercial and recreational markets.
Key Highlights
- High‑visibility location on Highway 75 with 11,000 vehicles per day traffic count.
- Income‑producing property generating $6,500 monthly with a 7.1% cap rate.
- Flexible B‑3/R‑4 zoning suitable for various commercial and residential uses.
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
$85,008
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
8.96%
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%
$1,700,160
$1.7M
Cap Rate 7%
$1,214,400
$1.2M
Cap Rate 9%
$944,533
$944.5K
Market Conditions
NOI Build-Up for 10,000 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
$132.0K $13.20/SF
− Vacancy
−$10.6K −$1.06/SF
EGI
$121.4K $12.14/SF
− OpEx
−$36.4K −$3.64/SF
NOI
$85.0K $8.50/SF
Area
Sullivan County, TN
Vacancy
8.00%
Lease Rate
$13.20 /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%
$1,700,160
Cap Rate 7%
$1,214,400
Cap Rate 9%
$944,533
Alternative Uses
Best Use
Retail
$2.21M
$1.93M – $2.58M
NOI $154,506 @ 7.0% cap · market cap 16.28%
Second Best
Mixed Use
$1.25M
$1.10M – $1.46M
NOI $87,750 @ 7.0% cap · market cap 9.25%
Theoretical Best
Office A
$3.74M
$3.28M – $4.37M
NOI $262,138 @ 7.0% cap · market cap 27.62%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
15
Businesses Nearby
Explore this area
Business Placement
Demographics for 37663, TN
14,392
Population
6,679
Households
2.2
Avg Household Size
47
Median Age
34%
College-Educated
95%
High-School Grad
25.8 sq mi
ZIP Area
558
Density / Sq Mi
$76,122
Median Household Income
$45,399
Median Earnings
$886
Median Rent
$224,900
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Mixed-use property - Income-producing property with high visibility and development potential.
Where is this mixed-use property located?
The property is located at 3450-3460 highway 75 Kingsport, TN.
What is the asking price?
The asking price for this property is $949,000.
What are key features of this property?
This property features: High‑visibility location on Highway 75 with 11,000 vehicles per day traffic count.; Income‑producing property generating $6,500 monthly with a 7.1% cap rate.; Flexible B‑3/R‑4 zoning suitable for various commercial and residential uses.
