Turn-Key Nashville Townhome
For Sale
$799,000
505 Wedgewood Ave, Nashville, TN 37203
Commercially zoned, fully furnished short-term rental in Wedgwood-Houston.
Property Size2,324 SF
Price / SF$343.80
Days on Market245
Property Features for 505 Wedgewood Ave
General Information
Standard status
Active
Size
2,324 SF
Listing Agency:
eXp Realty
(615) 456-4982
Listed By:
Michael Swift, Guild Certified Luxury Home Marketing Specialist
(615) 456-4982
Source:
Exprealty
Added: Dec 29, 2025
Changed: Aug 28
Last Checked: Aug 30 at 10:46PM
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 eXp Realty
Investment Insights
Based on property information with market context.
This commercially zoned, fully furnished single-family townhome is located in the Wedgwood-Houston neighborhood and is currently operating as an Airbnb. The property is offered in excellent condition for immediate income generation. Interior features include hardwood floors on the upper levels and stained concrete on the main level. Granite countertops are present throughout, along with tile bathrooms. The kitchen is well-equipped with a gas range, stainless appliances, under-cabinet lighting, tile backsplash, and an oversized pantry/storage area. The property includes a covered patio with views. It is located across the street from a school and park, and within walking distance of restaurants and retail. Geodis Park is located directly behind the property. The location is 2–5 minutes from downtown Nashville and adjacent to 12 South, The Gulch, and SoBro. The property has a strong future upside as Wedgwood-Houston continues to see new hotels, restaurants, and mixed-use development. The property size is 2324 square feet. The property is suitable for 1031 Exchange.
Key Highlights
- Turn‑Key, Non‑Owner‑Occupied Short‑Term Rental (NOO STR) opportunity for immediate income generation.
- Commercially Zoned property in the rapidly growing Wedgwood‑Houston neighborhood.
- Prime location: 2‑5 minutes from downtown Nashville and adjacent to 12 South, The Gulch, and SoBro.
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
$24,224
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
3.03%
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%
$484,480
$484.5K
Cap Rate 7%
$346,057
$346.1K
Cap Rate 9%
$269,156
$269.2K
Market Conditions
NOI Build-Up for 2,324 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
$47.4K $20.40/SF
− Vacancy
−$3.4K −$1.45/SF
EGI
$44.0K $18.95/SF
− OpEx
−$19.8K −$8.53/SF
NOI
$24.2K $10.42/SF
Area
Nashville, TN
Vacancy
7.10%
Lease Rate
$20.40 /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%
$484,480
Cap Rate 7%
$346,057
Cap Rate 9%
$269,156
Alternative Uses
Best Use
Apartment 5plus
$346.1K
$302.8K – $403.7K
NOI $24,224 @ 7.0% cap · market cap 3.03%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$591.6K
$517.7K – $690.2K
NOI $41,414 @ 7.0% cap · market cap 5.18%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,041
Businesses Nearby
Explore this area
Business Placement
Demographics for 37203, TN
20,429
Population
16,422
Households
1.2
Avg Household Size
30
Median Age
67%
College-Educated
93%
High-School Grad
4.2 sq mi
ZIP Area
4,864
Density / Sq Mi
$69,671
Median Household Income
$55,399
Median Earnings
$1,881
Median Rent
$519,600
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 - Commercially zoned, fully furnished short-term rental in Wedgwood-Houston.
Where is this short term rental property located?
The property is located at 505 Wedgewood Ave Nashville, TN.
What is the asking price?
The asking price for this property is $799,000.
What are key features of this property?
This property features: Turn‑Key, Non‑Owner‑Occupied Short‑Term Rental (NOO STR) opportunity for immediate income generation.; Commercially Zoned property in the rapidly growing Wedgwood‑Houston neighborhood.; Prime location: 2‑5 minutes from downtown Nashville and adjacent to 12 South, The Gulch, and SoBro.
