Three-Unit Multifamily
For Sale
$369,000
6625 Vaden Dr, Chattanooga, TN 37421
Commercially zoned triplex with separate utilities, updated roofing, and a mix of one- and multi-bedroom units.
Property Size3,340 SF
Price / SF$110.48
Days on Market40
Property Features for 6625 Vaden Dr
General Information
Standard status
Active
Size
3,340 SF
Property subtype
Multi-Family
Zoning
commercial
Occupancy
100%
Units
Unit Mix
1 x 3/4BR/2BA, 2 x 1BR/1BA
Multifamily Units
3
Additional Details
Gross Income
$33,600
Utilities to Site
Yes
Amenities
deck
storage building
Building Details
Year Built
1999
Tenancy
Multi
Listing Agency:
simpliHOM
(423) 475-2869
Listed By:
Jonathan D Lickliter, Jessica Lickliter · License #377914
Source:
Weathersbeerealty
Added: Jul 24
Changed: Aug 29
Last Checked: Aug 31 at 6:56PM
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 simpliHOM
Investment Insights
Based on property information with market context.
Built in 1999, this 3,340-square-foot triplex combines a 1,670-square-foot upper residence with two lower-level apartments. The upper unit includes three to four bedrooms, two full bathrooms, a combined living and dining area, an eat-in kitchen, den, laundry room, hardwood flooring in select areas, and a large deck. Each lower apartment offers one bedroom, one full bathroom, an eat-in kitchen, living room, and laundry hookups.
The property is 100% occupied and commercially zoned for a triplex. Improvements include a roof installed in 2019, newer vinyl windows, three electric meters, three separate heat pumps, and one water meter. A storage building in the rear yard also remains with the property.
The property is 100% occupied and commercially zoned for a triplex. Improvements include a roof installed in 2019, newer vinyl windows, three electric meters, three separate heat pumps, and one water meter. A storage building in the rear yard also remains with the property.
Key Highlights
- 3,340‑square‑foot triplex built in 1999
- Upper unit measures 1,670 square feet with 3–4 bedrooms and 2 full bathrooms
- Two lower‑level apartments each include 1 bedroom and 1 full bathroom
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
$32,790
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
8.89%
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%
$655,800
$655.8K
Cap Rate 7%
$468,429
$468.4K
Cap Rate 9%
$364,333
$364.3K
Market Conditions
NOI Build-Up for 3,340 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
$50.1K $15.00/SF
− Vacancy
−$3.3K −$0.98/SF
EGI
$46.8K $14.03/SF
− OpEx
−$14.1K −$4.21/SF
NOI
$32.8K $9.82/SF
Area
Chattanooga, TN
Vacancy
6.50%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
30.00%
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%
$655,800
Cap Rate 7%
$468,429
Cap Rate 9%
$364,333
Alternative Uses
Best Use
Multifamily LT 5
$468.4K
$409.9K – $546.5K
NOI $32,790 @ 7.0% cap · market cap 8.89%
Second Best
Apartment 5plus
$420.3K
$367.8K – $490.4K
NOI $29,424 @ 7.0% cap · market cap 7.97%
Theoretical Best
Office A
$737.7K
$645.5K – $860.6K
NOI $51,636 @ 7.0% cap · market cap 13.99%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
3
Residential units
100%
Occupancy
Multi-tenant
Tenancy
Yes
Utilities to site
Location Intelligence
Trade Area within ½ mile
1,127
Businesses Nearby
Explore this area
Business Placement
Demographics for 37421, TN
51,686
Population
23,978
Households
2.2
Avg Household Size
40
Median Age
38%
College-Educated
92%
High-School Grad
31.7 sq mi
ZIP Area
1,630
Density / Sq Mi
$79,958
Median Household Income
$44,452
Median Earnings
$1,313
Median Rent
$299,600
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?
Triplex - Commercially zoned triplex with separate utilities, updated roofing, and a mix of one- and multi-bedroom units.
Where is this triplex located?
The property is located at 6625 Vaden Dr Chattanooga, TN.
What is the asking price?
The asking price for this property is $369,000.
What are key features of this property?
This property features: 3,340‑square‑foot triplex built in 1999; Upper unit measures 1,670 square feet with 3–4 bedrooms and 2 full bathrooms; Two lower‑level apartments each include 1 bedroom and 1 full bathroom
