Flex Space Building with Five
For Sale
$1,265,000
733 W Stone Drive, Kingsport, TN 37660
COMMERCIAL - Kingsport, TN
Property Size8,760 SF
Lot Size1.04 Acres
Price / SF$144.41
Days on Market314
Property Features for 733 W Stone Drive
General Information
Property type
Commercial Sale
Property subtype
Other
Zoning
B3
Parking
34
Subdivision
Not In Subdivision
Directions
Follow Stone Dr. to 733 W Stone Dr. at the intersection of Lynn Garden Dr.
Standard status
Active
APN
046a E 025.00
Size
8,760 SF
Lot size
1.04 Acres
Taxes and HOA fees
Tax Annual Amount
5825
Utilities
Utilities
Natural Gas Available
Sewer type
Public Sewer
Heating system
Heat Pump (Heating)
Cooling system
Heat Pump
Water source
Public
Building Details
Year built
2004
Building materials
Brick
Roof type
Metal, Built-Up
Listing Agency:
TCI Group - Jerry Petzoldt Agency, LLC
(423) 230-0255
Listed By:
Ed Mahaffey · License #355986
(423) 430-4215
Added: Oct 7, 2025
Changed: Aug 4
Last Checked: Aug 16 at 6:06AM
MLS# 9986716
Copyright © 2026 Tennessee Virginia Regional Multiple Listing Service. 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 flex space building at 733 W Stone Drive was built in 2004 and features brick construction with a built-up and metal roof. The interior has been recently remodeled and is divided into five units. The property is heated and cooled with heat pump systems, and utilities include natural gas availability, public water, and public sewer.
The site sits on 1.04 acres at the intersection of W Stone Dr and Lynn Garden Dr with direct access from W Stone Dr. Access is described as direct for eastbound traffic and via a red-light controlled turn lane for westbound traffic. With 34 parking spaces, it is positioned for visibility in a busy business district. Traffic counts are provided for the site and the nearby roadway, with 2024 traffic at this location over 31,000 cars per day and Lynn Garden Dr almost 16,000.
Typical uses noted for the divided space include service businesses, retail, offices, and specialty stores. The property is also described as a potential 1031 exchange.
The site sits on 1.04 acres at the intersection of W Stone Dr and Lynn Garden Dr with direct access from W Stone Dr. Access is described as direct for eastbound traffic and via a red-light controlled turn lane for westbound traffic. With 34 parking spaces, it is positioned for visibility in a busy business district. Traffic counts are provided for the site and the nearby roadway, with 2024 traffic at this location over 31,000 cars per day and Lynn Garden Dr almost 16,000.
Typical uses noted for the divided space include service businesses, retail, offices, and specialty stores. The property is also described as a potential 1031 exchange.
Key Highlights
- B3 zoning on 1.04 acres with brick construction built in 2004
- Recently remodeled interior divided into five units for flexible tenanting
- Direct access from W Stone Dr, with eastbound access plus a red‑light controlled westbound turn lane
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
$63,545
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
5.02%
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%
$1,270,900
$1.3M
Cap Rate 7%
$907,786
$907.8K
Cap Rate 9%
$706,056
$706.1K
Market Conditions
NOI Build-Up for 8,760 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
$105.1K $12.00/SF
− Vacancy
−$7.4K −$0.84/SF
EGI
$97.8K $11.16/SF
− OpEx
−$34.2K −$3.91/SF
NOI
$63.5K $7.25/SF
Area
Sullivan County, TN
Vacancy
7.00%
Lease Rate
$12.00 /SF/Yr
Expense Ratio
35.00%
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%
$1,270,900
Cap Rate 7%
$907,786
Cap Rate 9%
$706,056
Alternative Uses
Best Use
Retail
$1.93M
$1.69M – $2.26M
NOI $135,347 @ 7.0% cap · market cap 10.70%
Second Best
Flex RnD
$907.8K
$794.3K – $1.06M
NOI $63,545 @ 7.0% cap · market cap 5.02%
Theoretical Best
Office A
$3.28M
$2.87M – $3.83M
NOI $229,633 @ 7.0% cap · market cap 18.15%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
31,000 VPD
Traffic count
Multi-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
1,164
Businesses Nearby
Under-served
Demand for This Use
Explore this area
Business Placement
Demographics for 37660, TN
39,479
Population
20,405
Households
1.9
Avg Household Size
45
Median Age
24%
College-Educated
88%
High-School Grad
65.7 sq mi
ZIP Area
601
Density / Sq Mi
$46,913
Median Household Income
$34,164
Median Earnings
$833
Median Rent
$177,800
Median Home Value
Market
Vacancy Rate% for Industrial in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Flex space - B3-zoned flex space offers direct W Stone Dr access, 34 parking spaces, and five interior units.
Where is this flex space located?
The property is located at 733 W Stone Drive Kingsport, TN.
What is the asking price?
The asking price for this property is $1,265,000.
What are key features of this property?
This property features: B3 zoning on 1.04 acres with brick construction built in 2004; Recently remodeled interior divided into five units for flexible tenanting; Direct access from W Stone Dr, with eastbound access plus a red‑light controlled westbound turn lane
