Commercial Land with Road
New
For Sale
$479,000
8500 Asheville Hwy, Knoxville, TN 37924
Commercial Sale, Knoxville, TN
Property Size1,292 SF
Lot Size2.82 Acres
Price / SF$370.74
Days on Market2
Property Features for 8500 Asheville Hwy
General Information
Property type
Commercial Sale
Property subtype
Other
Directions
From Interstate I-40 exit Asheville Hwy, go east 10 miles to property on right. This property located very close to Carter Elementary School as a reference.
Standard status
Active
APN
062 247
Size
1,292 SF
Lot size
2.82 Acres
Taxes and HOA fees
Tax Year
2025
Tax Annual Amount
939
Building Details
Year built
1920
Floors in Building
1
Listing Agency:
Jackson Real Estate & Auction
(865) 397-4214
Listed By:
Mark Jackson · License #227129
(865) 397-4214
Added: Aug 26
Last Checked: Aug 27 at 8:06PM
MLS# 11951989
Copyright © 2026 My State MLS. 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 2.82-acre commercial land offering includes three existing structures, two of which are occupied. The property was built in 1920 and is positioned along Asheville Highway in Knoxville’s Knox County. Zoning includes CA - General Business along the road frontage, while a separate portion carries the A General Agricultural designation. The site records approximately 21,054 vehicles per day, providing exposure along a major East Knoxville corridor. Carter Elementary School is located behind the property, and the adjoining parcel is zoned CB(k) for light manufacturing. Potential uses identified for the property include retail, auto repair, office, service, daycare, church, veterinary, and mixed-use development, subject to verification of zoning, utilities, permitted uses, and development requirements.
Key Highlights
- 2.82‑acre commercial tract on Asheville Highway
- Approximately 21,054 vehicles per day
- CA - General Business zoning on the road frontage
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
$18,558
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
3.87%
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%
$371,160
$371.2K
Cap Rate 7%
$265,114
$265.1K
Cap Rate 9%
$206,200
$206.2K
Market Conditions
NOI Build-Up for 1,292 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
$27.9K $21.60/SF
− Vacancy
−$1.4K −$1.08/SF
EGI
$26.5K $20.52/SF
− OpEx
−$8.0K −$6.16/SF
NOI
$18.6K $14.36/SF
Area
Knoxville, TN
Vacancy
5.00%
Lease Rate
$21.60 /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%
$371,160
Cap Rate 7%
$265,114
Cap Rate 9%
$206,200
Alternative Uses
Best Use
Retail
$265.1K
$232.0K – $309.3K
NOI $18,558 @ 7.0% cap · market cap 3.87%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$320.0K
$280.0K – $373.3K
NOI $22,400 @ 7.0% cap · market cap 4.68%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
130
Businesses Nearby
Explore this area
Business Placement
Demographics for 37924, TN
12,894
Population
6,052
Households
2.1
Avg Household Size
41
Median Age
28%
College-Educated
91%
High-School Grad
27.9 sq mi
ZIP Area
462
Density / Sq Mi
$73,794
Median Household Income
$40,594
Median Earnings
$1,020
Median Rent
$217,300
Median Home Value
Market
Vacancy Rate% for Retail in Knoxville, TN
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Commercial land - Zoned CA along the road frontage, with an additional portion designated A for agricultural use.
Where is this commercial land located?
The property is located at 8500 Asheville Hwy Knoxville, TN.
What is the asking price?
The asking price for this property is $479,000.
What are key features of this property?
This property features: 2.82‑acre commercial tract on Asheville Highway; Approximately 21,054 vehicles per day; CA - General Business zoning on the road frontage
