Freestanding Retail Investment
For Sale
Contact for pricing
3450 Millbranch Rd, Memphis, TN 38116
Single tenant retail property 100% occupied by Title Max.
Property Size2,800 SF
Price / SF$142.86
Days on Market640
Property Features for 3450 Millbranch Rd
General Information
Standard status
Active
Size
2,800 SF
Class
B
Property subtype
Retail, Office
Occupancy
100%
Building Details
Year Built
1972
Tenancy
Single
Listing Agency:
NAI Saig Company Memphis
(901) 526-3100
Listed By:
Brian Califf · License #TN 299669
Source:
Crexi
Added: Nov 20, 2024
Changed: Aug 13
Last Checked: Aug 20 at 7:38PM
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 NAI Saig Company Memphis
Investment Insights
Based on property information with market context.
This freestanding retail property, located at 3450 Millbranch Rd in Memphis, TN, presents an investment opportunity. The 2,800 square foot building is 100% occupied by Title Max through February 28, 2027, with one option to extend the lease from March 1, 2027, through February 28, 2030, at $2,645.09 per month. The net operating income (NOI) is $28,526.60 per year, resulting in a cap rate of 7.1%. The surrounding area offers a dynamic blend of amenities and attractions, including destinations such as Graceland and the National Civil Rights Museum. The location also boasts a thriving culinary scene, including local BBQ joints and eclectic dining experiences. With convenient access to major highways and a bustling business community, the location is ideal for investors.
Key Highlights
- Freestanding retail building 100% occupied by a single tenant (Title Max).
- Lease in place through February 28, 2027, with one option to extend through February 28, 2030.
- Net Operating Income (NOI) of $28,526.60 per year.
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
$32,810
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
8.20%
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%
$656,200
$656.2K
Cap Rate 7%
$468,714
$468.7K
Cap Rate 9%
$364,556
$364.6K
Market Conditions
NOI Build-Up for 2,800 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
$50.4K $18.00/SF
− Vacancy
−$3.5K −$1.26/SF
EGI
$46.9K $16.74/SF
− OpEx
−$14.1K −$5.02/SF
NOI
$32.8K $11.72/SF
Area
ZIP 38116
Vacancy
7.00%
Lease Rate
$18.00 /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%
$656,200
Cap Rate 7%
$468,714
Cap Rate 9%
$364,556
Alternative Uses
Best Use
Retail
$468.7K
$410.1K – $546.8K
NOI $32,810 @ 7.0% cap · market cap 8.20%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$686.9K
$601.0K – $801.4K
NOI $48,083 @ 7.0% cap · market cap 12.02%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
496
Businesses Nearby
55k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 65%
Dining 35%
McDonald's
Dining
18,973 visits/mo
0.2 miles
Dollar General
Shops & Services
10,632 visits/mo
0.1 miles
Marathon
Shops & Services
6,592 visits/mo
0.1 miles
Mobil
Shops & Services
6,452 visits/mo
0.5 miles
Valero Energy
Shops & Services
5,284 visits/mo
0.1 miles
Demographics for 38116, TN
39,107
Population
18,526
Households
2.1
Avg Household Size
35
Median Age
21%
College-Educated
88%
High-School Grad
19.6 sq mi
ZIP Area
1,995
Density / Sq Mi
$44,663
Median Household Income
$31,593
Median Earnings
$1,035
Median Rent
$125,800
Median Home Value
Market
Vacancy Rate% for Retail in Memphis, TN
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Single tenant retail property 100% occupied by Title Max.
Where is this retail space located?
The property is located at 3450 Millbranch Rd Memphis, TN.
What is the asking price?
The asking price for this property is $400,000.
What are key features of this property?
This property features: Freestanding retail building 100% occupied by a single tenant (Title Max).; Lease in place through February 28, 2027, with one option to extend through February 28, 2030.; Net Operating Income (NOI) of $28,526.60 per year.
