Black Mountain Investment
For Sale
$985,000
508 W State Street, Black Mountain, NC 28711
Highway business zoned property near downtown Black Mountain.
Property Size4,700 SF
Lot Size0.95 Acres
Price / SF$209.57
Days on Market162
Property Features for 508 W State Street
General Information
Standard status
Active
Size
4,700 SF
Lot size
0.95 Acres
Property subtype
Retail
Building Details
Year Built
1945
Listing Agency:
HOWARD HANNA BEVERLY-HANKS ASHEVILLE-DOWNTOWN
(828) 258-6399
Listed By:
Rick Tisdale · License #197215
(828) 258-6399
Source:
Naiglobal
Added: Mar 6
Changed: Jul 6
Last Checked: Aug 15 at 4:01AM
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 HOWARD HANNA BEVERLY-HANKS ASHEVILLE-DOWNTOWN
Investment Insights
Based on property information with market context.
This commercial property offers an investment opportunity in a location within walking distance of downtown Black Mountain. The property, formerly a restaurant, features over 4700 square feet of space on a 0.95-acre lot. Zoned for highway business, the site allows for various commercial uses. It has over 230 feet of road frontage on W. State St. (Old US Hwy 70). The property includes new wiring and a new HVAC system, along with ample on-site parking. It is located minutes from Asheville. Restaurant equipment and chattel are negotiable.
Key Highlights
- Fantastic location walking distance to downtown Black Mountain.
- Highway business zoning allows for many commercial uses.
- Over 4700 sqft on a .95 acre lot.
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
$65,698
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
6.67%
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%
$1,313,960
$1.3M
Cap Rate 7%
$938,543
$938.5K
Cap Rate 9%
$729,978
$730.0K
Market Conditions
NOI Build-Up for 4,700 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
$89.1K $18.96/SF
− Vacancy
−$1.5K −$0.32/SF
EGI
$87.6K $18.64/SF
− OpEx
−$21.9K −$4.66/SF
NOI
$65.7K $13.98/SF
Area
Buncombe County, NC
Vacancy
1.70%
Lease Rate
$18.96 /SF/Yr
Expense Ratio
25.00%
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%
$1,313,960
Cap Rate 7%
$938,543
Cap Rate 9%
$729,978
Alternative Uses
Best Use
Specialty Retail
$938.5K
$821.2K – $1.09M
NOI $65,698 @ 7.0% cap · market cap 6.67%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$1.49M
$1.30M – $1.73M
NOI $104,034 @ 7.0% cap · market cap 10.56%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
697
Businesses Nearby
8k
Monthly Visits Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Foot Traffic Nearby
Shops & Services 51%
Dining 22%
Hotels & Casinos 17%
Home Improvements & Furnishings 11%
State Employees Credit Union
Shops & Services
3,790 visits/mo
0.4 miles
Thai Basil
Dining
1,870 visits/mo
0.5 miles
Hampton Inn by Hilton Black Mountain
Hotels & Casinos
1,384 visits/mo
0.5 miles
Sherwin-Williams Paint Store
Home Improvements & Furnishings
892 visits/mo
0.5 miles
Napa Auto Parts
Shops & Services
446 visits/mo
0.3 miles
Demographics for 28711, NC
14,047
Population
7,563
Households
1.9
Avg Household Size
49
Median Age
54%
College-Educated
92%
High-School Grad
103.9 sq mi
ZIP Area
135
Density / Sq Mi
$69,177
Median Household Income
$38,677
Median Earnings
$1,319
Median Rent
$358,400
Median Home Value
Market
Vacancy Rate% for Retail 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?
Conventional restaurant - Highway business zoned property near downtown Black Mountain.
Where is this conventional restaurant located?
The property is located at 508 W State Street Black Mountain, NC.
What is the asking price?
The asking price for this property is $985,000.
What are key features of this property?
This property features: Fantastic location walking distance to downtown Black Mountain.; Highway business zoning allows for many commercial uses.; Over 4700 sqft on a .95 acre lot.
