6-Unit Short-Term Rental Townhome
For Sale
$1,800,000
3729 Plaza Way, Pigeon Forge, TN 37863
COMMERCIAL - Pigeon Forge, TN
Property Size7,648 SF
Lot Size5.72 Acres
Price / SF$235.36
Days on Market202
Property Features for 3729 Plaza Way
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
C4
Parking
6
Lot features
City Lot, Irregular Lot, Many Trees, Views, Wooded
Directions
From I-40 exit 407 take TN-66 S/Winfield Dunn Parkway 8.3 miles, turn left onto TN-448 S/N Parkway, drive .6 miles, turn left onto E. Main Street, drive .5 miles, continue onto US-411 N/Dolly Parton Parkway, drive .7 miles, continue 5.9 miles and turn right onto Veterans Boulevard, drive 5.3 miles, turn left onto Plaza Way. Destination will be on your left.
Subdivision
Pigeon Forge
Standard status
Active
APN
095 031.01
Size
7,648 SF
Lot size
5.72 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
3493
Utilities
Sewer type
Public Sewer
Heating system
Heat Pump (Heating)
Cooling system
Central Air
Water source
Public
Amenities
washer and dryer
fireplace
private balcony
firepit
grilling area
clubhouse
indoor swimming pool
Building Details
Year built
1948
Floors in Building
2
Flooring type
Carpet, Vinyl
Building materials
Frame
Listing Agency:
PWA Properties
(865) 233-6441
Listed By:
Kevin Tipton · License #275491
(865) 210-0228
Added: Jan 29
Changed: Aug 4
Last Checked: Aug 19 at 3:06AM
MLS# 309957
Copyright © 2026 Great Smoky Mountains Association of Realtors. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This 6-unit short-term rental townhome building is part of a larger 21-unit townhome community in Pigeon Forge. The property is currently operated as short-term rentals, with multiple use options including continued vacation rental operations, conversion to traditional apartments, or individual sale as condominium units. All six units are two-bedroom, two-and-a-half-bath townhomes that have recently been renovated with higher-end finishes. Each unit includes a washer and dryer, a fireplace, and a private balcony.
The community includes a firepit and grilling area, and shared ownership in an adjacent HOA that provides access to a clubhouse and an indoor swimming pool. The property is directly adjacent to Dollywood.
Constructed in 1948 with frame construction, the building includes heat pump heating and central air conditioning. Flooring includes carpet and vinyl. Water service is public, and sewer is public sewer. The lot size is 5.72 acres and the property size is 7,648 square feet.
The community includes a firepit and grilling area, and shared ownership in an adjacent HOA that provides access to a clubhouse and an indoor swimming pool. The property is directly adjacent to Dollywood.
Constructed in 1948 with frame construction, the building includes heat pump heating and central air conditioning. Flooring includes carpet and vinyl. Water service is public, and sewer is public sewer. The lot size is 5.72 acres and the property size is 7,648 square feet.
Key Highlights
- 6‑unit short‑term rental townhome building with recently renovated two‑bedroom units
- Each unit features a washer/dryer, fireplace, and private balcony
- C4 zoning with 5.72 acres and 7,648 square feet
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
$56,786
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
3.15%
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%
$1,135,720
$1.1M
Cap Rate 7%
$811,229
$811.2K
Cap Rate 9%
$630,956
$631.0K
Market Conditions
NOI Build-Up for 7,648 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
$114.7K $15.00/SF
− Vacancy
−$11.5K −$1.50/SF
EGI
$103.2K $13.50/SF
− OpEx
−$46.5K −$6.08/SF
NOI
$56.8K $7.43/SF
Area
Sevier County, TN
Vacancy
10.00%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
45.00%
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%
$1,135,720
Cap Rate 7%
$811,229
Cap Rate 9%
$630,956
Alternative Uses
Best Use
Apartment 5plus
$811.2K
$709.8K – $946.4K
NOI $56,786 @ 7.0% cap · market cap 3.15%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$3.23M
$2.82M – $3.76M
NOI $225,769 @ 7.0% cap · market cap 12.54%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
6
Residential units
Location Intelligence
Trade Area within ½ mile
351
Businesses Nearby
Explore this area
Business Placement
Demographics for 37863, TN
6,988
Population
5,570
Households
1.3
Avg Household Size
40
Median Age
12%
College-Educated
74%
High-School Grad
17.2 sq mi
ZIP Area
406
Density / Sq Mi
$53,587
Median Household Income
$31,235
Median Earnings
$933
Median Rent
$253,400
Median Home Value
Market
Vacancy Rate% for Multifamily in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Short term rental property - Six renovated two-bedroom townhomes in C4 zoning, each with washer/dryer, fireplace, and private balcony.
Where is this short term rental property located?
The property is located at 3729 Plaza Way Pigeon Forge, TN.
What is the asking price?
The asking price for this property is $1,800,000.
What are key features of this property?
This property features: 6‑unit short‑term rental townhome building with recently renovated two‑bedroom units; Each unit features a washer/dryer, fireplace, and private balcony; C4 zoning with 5.72 acres and 7,648 square feet
