West Knoxville Industrial Dual-Building
For Sale
Contact for pricing
700 Dalen Ln, Knoxville, TN
189,000 SF industrial campus near I-40 in Knoxville, TN.
Property Size189,000 SF
Lot Size4.45 Acres
Price / SF$85.19
Days on Market322
Property Features for 700 Dalen Ln
General Information
Standard status
Active
Size
189,000 SF
Lot size
4.45 Acres
Property subtype
INDUSTRIAL
Listing Agency:
SVN I Wood Properties
(865) 309-6272
Listed By:
Matthew Strother · License #369177
(865) 309-6272
Source:
Moodyscre
Added: Oct 7, 2025
Changed: Aug 8
Last Checked: Aug 8 at 12:12PM
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 SVN I Wood Properties
Investment Insights
Based on property information with market context.
Located in West Knoxville, this industrial property features a dual-building campus totaling 189,000 square feet. Situated approximately one mile from I-40 via Lovell Road, the property is zoned CB and positioned on about 13 acres. The campus includes an 83,000 square foot building with a leaseback from Dalen Products, providing income from a long-term industrial user. The other building offers 106,000 square feet of vacant warehouse space ready for occupancy in April 2026. The 106,000 square foot building at 700 Dalen Lane features approximately 31-foot clear height, 55-foot by 75-foot column spacing, 12 dock doors, and one drive-in door. It includes a small office area with two restrooms, heated warehouse space, LED lighting, and a wet sprinkler system. Racking can remain for immediate occupancy. The 83,000 square foot building at 11110 Gilbert Drive (Leaseback) includes approximately 4,300 square feet of office space and four distinct warehouse sections. The largest section offers approximately 30,000 square feet with 20-foot clear height and 50-foot by 30-foot column spacing. This building has seven dock doors and one drive-in door, mixed wet/dry sprinkler systems, and is heated throughout with LED lighting.
Key Highlights
- 189,000 SF dual‑building industrial campus in West Knoxville.
- Located one mile from I‑40 via Lovell Road.
- 106,000 SF Class A vacant warehouse ready for occupancy in April 2026.**
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
$1,268,492
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
7.88%
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%
$25,369,840
$25.4M
Cap Rate 7%
$18,121,314
$18.1M
Cap Rate 9%
$14,094,356
$14.1M
Market Conditions
NOI Build-Up for 189,000 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
$1.93M $10.20/SF
− Vacancy
−$115.7K −$0.61/SF
EGI
$1.81M $9.59/SF
− OpEx
−$543.6K −$2.88/SF
NOI
$1.27M $6.71/SF
Area
Knoxville, TN
Vacancy
6.00%
Lease Rate
$10.20 /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%
$25,369,840
Cap Rate 7%
$18,121,314
Cap Rate 9%
$14,094,356
Alternative Uses
Best Use
Warehouse
$23.42M
$20.49M – $27.33M
NOI $1,639,594 @ 7.0% cap · market cap 10.18%
Second Best
Industrial
$18.12M
$15.86M – $21.14M
NOI $1,268,492 @ 7.0% cap · market cap 7.88%
Theoretical Best
Office A
$46.81M
$40.96M – $54.61M
NOI $3,276,806 @ 7.0% cap · market cap 20.35%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
495
Businesses Nearby
Well-served
Demand for This Use
Explore this area
Business Placement
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Similar Off Market Nearby
- Tri-Star Indoor Storage — 525 Lovell Rd Suite 3, Knoxville, TN 37932
- Bounce Luggage Storage - Turkey Creek — 11149 Turkey Dr, Knoxville, TN 37934
- Peroulas Moving and Storage — 10652 Dutchtown Rd, Knoxville, TN 37932
- All My Sons Moving & Storage — 509 Lovell Rd, Knoxville, TN 37932
Frequently Asked Questions
What type of property is this?
Warehouse - 189,000 SF industrial campus near I-40 in Knoxville, TN.
Where is this warehouse located?
The property is located at 700 Dalen Ln Knoxville, TN.
What is the asking price?
The asking price for this property is $16,100,000.
What are key features of this property?
This property features: 189,000 SF dual‑building industrial campus in West Knoxville.; Located one mile from I‑40 via Lovell Road.; 106,000 SF Class A vacant warehouse ready for occupancy in April 2026.**
