Flat Rock Resort on Highland
For Sale
Contact for pricing
86 Lily Pad Ln, Flat Rock, NC 28731
Resort on 26 acres with lodging, restaurant, and meeting spaces.
Property Size60,769 SF
Lot Size26.00 Acres
Price / SF$87.22
Days on Market160
Property Features for 86 Lily Pad Ln
General Information
Standard status
Active
Size
60,769 SF
Lot size
26.00 Acres
Property subtype
Hospitality, Land, Special Purpose
Zoning
R-C
Investment Type
Value Add
Building Details
Year Built
1912
Listing Agency:
Dewey Property Advisors
(828) 210-3940
Listed By:
Debbie Lane · License #NC 122957
Source:
Crexi
Added: Mar 26
Changed: Aug 23
Last Checked: Aug 31 at 8:27PM
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 Dewey Property Advisors
Investment Insights
Based on property information with market context.
This resort is located in Flat Rock, North Carolina, and occupies 26 acres on Highland Lake. The property includes a total of 63 bedrooms distributed among cottages, a lodge, and homes, as well as the Woodward House. It features meeting spaces, reception facilities, and the Seasons restaurant. An owner's residence is included in the purchase.
Key Highlights
- 26‑acre resort property on Highland Lake in historic Flat Rock, NC.
- 63 bedrooms across cottages, Lodge, Woodward House, and homes.
- Includes an owner's residence.
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
$367,166
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
6.93%
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%
$7,343,320
$7.3M
Cap Rate 7%
$5,245,229
$5.2M
Cap Rate 9%
$4,079,622
$4.1M
Market Conditions
NOI Build-Up for 60,769 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
$911.5K $15.00/SF
− Vacancy
−$138.6K −$2.28/SF
EGI
$773.0K $12.72/SF
− OpEx
−$405.8K −$6.68/SF
NOI
$367.2K $6.04/SF
Area
Henderson County, NC
Vacancy
15.20%
Lease Rate
$15.00 /SF/Yr
Expense Ratio
52.50%
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%
$7,343,320
Cap Rate 7%
$5,245,229
Cap Rate 9%
$4,079,622
Alternative Uses
Best Use
Hotel Hospitality
$5.25M
$4.59M – $6.12M
NOI $367,166 @ 7.0% cap · market cap 6.93%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$20.25M
$17.72M – $23.63M
NOI $1,417,619 @ 7.0% cap · market cap 26.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
7
Businesses Nearby
Explore this area
Business Placement
Demographics for 28731, NC
8,806
Population
4,417
Households
2
Avg Household Size
53
Median Age
37%
College-Educated
91%
High-School Grad
33.1 sq mi
ZIP Area
266
Density / Sq Mi
$65,882
Median Household Income
$35,957
Median Earnings
$947
Median Rent
$361,700
Median Home Value
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Resort - Resort on 26 acres with lodging, restaurant, and meeting spaces.
Where is this resort located?
The property is located at 86 Lily Pad Ln Flat Rock, NC.
What is the asking price?
The asking price for this property is $5,300,000.
What are key features of this property?
This property features: 26‑acre resort property on Highland Lake in historic Flat Rock, NC.; 63 bedrooms across cottages, Lodge, Woodward House, and homes.; Includes an owner's residence.
