Retail Property in Hamilton
For Sale
Contact for pricing
7351 Commons Blvd, Chattanooga, TN 37421
Retail space for sale in a high-traffic area.
Property Size12,580 SF
Price / SF$222.58
Days on Market900
Property Features for 7351 Commons Blvd
General Information
Standard status
Active
Size
12,580 SF
Property subtype
Retail
Zoning
c2
Lease Type
NNN
Building Details
Year Built
2001
Units
1
Listing Agency:
NAI Charter Real Estate
Listed By:
Chad Wamack · License #TN 00284734
(423) 267-6549
Source:
Crexi
Added: Mar 19, 2024
Changed: Sep 4
Last Checked: Sep 1 at 9:42PM
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 NAI Charter Real Estate
Investment Insights
Based on property information with market context.
This retail property, constructed in 2001, is located in the Hamilton Place trade area. It is zoned C-2 and includes 35 parking spaces. The property features one dock door and ceiling heights ranging from 10 to 14 feet. The location offers accessibility to I-75 and Gunbarrel Road, which sees a traffic volume of 18,122 vehicles per day. The property size is 12,580 square feet. Deed restrictions on use apply.
Key Highlights
- Rare property in the Hamilton Place trade area
- Easy access to I‑75 and Gunbarrel Road
- 35 Parking Spaces
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
$97,218
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
3.47%
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%
$1,944,360
$1.9M
Cap Rate 7%
$1,388,829
$1.4M
Cap Rate 9%
$1,080,200
$1.1M
Market Conditions
NOI Build-Up for 12,580 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
$151.0K $12.00/SF
− Vacancy
−$12.1K −$0.96/SF
EGI
$138.9K $11.04/SF
− OpEx
−$41.7K −$3.31/SF
NOI
$97.2K $7.73/SF
Area
Chattanooga, TN
Vacancy
8.00%
Lease Rate
$12.00 /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%
$1,944,360
Cap Rate 7%
$1,388,829
Cap Rate 9%
$1,080,200
Alternative Uses
Best Use
Retail
$1.39M
$1.22M – $1.62M
NOI $97,218 @ 7.0% cap · market cap 3.47%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$2.78M
$2.43M – $3.24M
NOI $194,485 @ 7.0% cap · market cap 6.95%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
1,776
Businesses Nearby
867k
Monthly Visits Nearby
Explore this area
Business Placement
Foot Traffic Nearby
Dining 26%
Apparel 24%
Shops & Services 19%
Home Improvements & Furnishings 10%
Dillard's
Apparel
74,421 visits/mo
0.5 miles
Belk
Apparel
60,605 visits/mo
0.5 miles
Best Buy
Electronics
56,070 visits/mo
0.3 miles
Hobby Lobby
Shops & Services
52,674 visits/mo
0.3 miles
Lowe's
Home Improvements & Furnishings
42,198 visits/mo
0.4 miles
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 Retail in South region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Retail space - Retail space for sale in a high-traffic area.
Where is this retail space located?
The property is located at 7351 Commons Blvd Chattanooga, TN.
What is the asking price?
The asking price for this property is $2,800,000.
What are key features of this property?
This property features: Rare property in the Hamilton Place trade area; Easy access to I‑75 and Gunbarrel Road; 35 Parking Spaces
