Mixed-Use Property with Office
For Sale
$299,000
524 McGhee Drive, Dalton, GA 30720
Commercial Sale, DALTON, GA
Property Size3,365 SF
Lot Size0.31 Acres
Price / SF$88.86
Days on Market842
Property Features for 524 McGhee Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Elementary school district
12
Middle school district
12
High school district
12
Subdivision
2-Dalton City-East
Standard status
Active
APN
12-241-03-039
Size
3,365 SF
Lot size
0.31 Acres
Taxes and HOA fees
Tax Year
2023
Tax Annual Amount
2389
Building Details
Year built
1988
Floors in Building
2
Listing Agency:
Trackside Realty, LLC
(706) 508-4370
Listed By:
Rudy Ownbey
(706) 313-6092
Added: May 13, 2024
Changed: Aug 19
Last Checked: Sep 1 at 1:06PM
MLS# 125917
Copyright © 2026 Carpet Capital 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 3,365-square-foot mixed-use property, built in 1988, combines an apartment and garage with office-oriented space across two floors. The ground level can accommodate seven offices, while the upper level includes five offices and 25 cubicles for additional workspace or rental configurations. The apartment and garage are currently rented, providing an existing occupied component within the property.
Set on 0.31 acres at 524 McGhee Drive in Dalton, Georgia, the property offers a combination of office, residential, and garage space in a single commercial asset. Its existing layout supports multiple occupancy arrangements without relying on a single office configuration.
Set on 0.31 acres at 524 McGhee Drive in Dalton, Georgia, the property offers a combination of office, residential, and garage space in a single commercial asset. Its existing layout supports multiple occupancy arrangements without relying on a single office configuration.
Key Highlights
- 3,365‑square‑foot mixed‑use property on 0.31 acres
- Built in 1988
- Ground floor can accommodate seven offices
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
$22,714
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
7.60%
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%
$454,280
$454.3K
Cap Rate 7%
$324,486
$324.5K
Cap Rate 9%
$252,378
$252.4K
Market Conditions
NOI Build-Up for 3,365 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
$40.4K $12.00/SF
− Vacancy
−$4.0K −$1.20/SF
EGI
$36.3K $10.80/SF
− OpEx
−$13.6K −$4.05/SF
NOI
$22.7K $6.75/SF
Area
Whitfield County, GA
Vacancy
10.00%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
37.50%
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%
$454,280
Cap Rate 7%
$324,486
Cap Rate 9%
$252,378
Alternative Uses
Best Use
Office B
$394.8K
$345.5K – $460.6K
NOI $27,638 @ 7.0% cap · market cap 9.24%
Second Best
Mixed Use
$324.5K
$283.9K – $378.6K
NOI $22,714 @ 7.0% cap · market cap 7.60%
Theoretical Best
Office A
$537.4K
$470.2K – $626.9K
NOI $37,615 @ 7.0% cap · market cap 12.58%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Location Intelligence
Trade Area within ½ mile
581
Businesses Nearby
Explore this area
Business Placement
Demographics for 30720, GA
27,547
Population
10,731
Households
2.6
Avg Household Size
37
Median Age
29%
College-Educated
77%
High-School Grad
48.6 sq mi
ZIP Area
567
Density / Sq Mi
$65,620
Median Household Income
$38,014
Median Earnings
$965
Median Rent
$225,600
Median Home Value
Market
Vacancy Rate% for Office in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Two-story commercial property combining an occupied apartment and garage with flexible office configurations.
Where is this mixed-use property located?
The property is located at 524 McGhee Drive Dalton, GA.
What is the asking price?
The asking price for this property is $299,000.
What are key features of this property?
This property features: 3,365‑square‑foot mixed‑use property on 0.31 acres; Built in 1988; Ground floor can accommodate seven offices
