Two-Building Apartment
For Sale
$415,000
4006 Memorial Boulevard, Kingsport, TN 37664
Commercial Sale, Kingsport, TN
Property Size4,045 SF
Lot Size1.28 Acres
Price / SF$102.60
Days on Market68
Property Features for 4006 Memorial Boulevard
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
R 4
Parking
15
Directions
From the intersection of Hwy 93/John B Dennis Hwy and Hwy 126/Memorial Blvd, travel .6 miles east towards Cooks Valley. Apartments will be on your left, adjacent to Amy Avenue.
Subdivision
409 - Greenacres, Preston Woods
Standard status
Active
APN
062c E 017.00
Size
4,045 SF
Lot size
1.28 Acres
Taxes and HOA fees
Tax Annual Amount
1503
Utilities
Utilities
Natural Gas Available
Sewer type
Public Sewer
Heating system
Heat Pump (Heating), Space Heater, Wall Furnace
Cooling system
Ceiling Fan(s), Window Unit(s), Heat Pump
Water source
Public
Building Details
Year built
1947
Building materials
Brick, Concrete, Vinyl Siding
Roof type
Metal
Listing Agency:
CENTURY 21 Legacy Fort Henry · EXIT Realty
(423) 239-6112
Listed By:
Abigail Weaver · License #357811
(423) 335-3937
Added: Jul 7
Changed: Sep 8
Last Checked: Sep 12 at 11:06PM
MLS# 9997872
Copyright © 2026 Tennessee Virginia Regional Multiple Listing Service. 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 apartment property includes two buildings with seven units across 4,045 square feet on 1.28 acres. Two vacant units are being remodeled, while existing tenants have a reported good rental history. The property includes an unfinished basement and garage workshop for on-site storage and management needs.
Building 1 has a metal roof installed 5 years ago, and Building 2 received a metal roof 2 years ago. Plumbing and electrical improvements have also been completed in some areas. The property is zoned R 4 and served by public water and public sewer, with natural gas available. Heating includes heat pumps, space heaters, and wall furnaces; cooling is provided by heat pumps, window units, and ceiling fans. At full capacity, the property is associated with an 8.7% cap rate.
Building 1 has a metal roof installed 5 years ago, and Building 2 received a metal roof 2 years ago. Plumbing and electrical improvements have also been completed in some areas. The property is zoned R 4 and served by public water and public sewer, with natural gas available. Heating includes heat pumps, space heaters, and wall furnaces; cooling is provided by heat pumps, window units, and ceiling fans. At full capacity, the property is associated with an 8.7% cap rate.
Key Highlights
- Two buildings with seven apartment units
- 4,045 square feet on 1.28 acres
- 8.7% cap rate at full capacity
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
$28,256
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
6.81%
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%
$565,120
$565.1K
Cap Rate 7%
$403,657
$403.7K
Cap Rate 9%
$313,956
$314.0K
Market Conditions
NOI Build-Up for 4,045 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
$54.4K $13.44/SF
− Vacancy
−$3.0K −$0.74/SF
EGI
$51.4K $12.70/SF
− OpEx
−$23.1K −$5.72/SF
NOI
$28.3K $6.99/SF
Area
Sullivan County, TN
Vacancy
5.50%
Lease Rate
$13.44 /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%
$565,120
Cap Rate 7%
$403,657
Cap Rate 9%
$313,956
Alternative Uses
Best Use
Apartment 5plus
$403.7K
$353.2K – $470.9K
NOI $28,256 @ 7.0% cap · market cap 6.81%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.51M
$1.33M – $1.77M
NOI $106,035 @ 7.0% cap · market cap 25.55%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
7
Residential units
Location Intelligence
Trade Area within ½ mile
67
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
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Market
Vacancy Rate% for Multifamily in South region
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Frequently Asked Questions
What type of property is this?
Apartment building - Seven-unit rental property with ongoing improvements, storage areas, and public utilities in Kingsport.
Where is this apartment building located?
The property is located at 4006 Memorial Boulevard Kingsport, TN.
What is the asking price?
The asking price for this property is $415,000.
What are key features of this property?
This property features: Two buildings with seven apartment units; 4,045 square feet on 1.28 acres; 8.7% cap rate at full capacity
