Aggressively Priced Downtown Opportunity 233 E Sullivan St 8,425 SF 100% Leased Retail Building Kingsport, TN 37660 $530,062 CAD ($62.92 CAD/SF)

Aggressively Priced Downtown Opportunity
Move-In Ready Office or Retail | Urban Loft Redevelopment | Opportunity Zone
Imagine buying a building at approximately $45.58 per square foot and potentially getting reimbursed $35,000 for the new windows you put in. This property offers an acquisition basis that is exceptionally difficult to replicate today, well below replacement cost for historic construction of this character. With portions of the building already improved and additional space available for redevelopment, a buyer can pursue a phased renovation strategy and tailor the project to today's market.
What immediately distinguishes 233 E. Sullivan Street is its preserved historic character. These original elements create the authentic loft-style environment increasingly sought by residents, office users, and retailers — and dramatically reduce the cost of recreating similar character in new construction.
• Original pressed-tin ceilings
• Exposed brick walls
• Large historic windows and abundant natural light
• High ceilings and original masonry construction
• Prominent corner storefront with excellent visibility
The Vision — Retail or Office Below, Lofts Above
The building's two-story layout, corner visibility, and B-2 zoning line up naturally with the classic downtown mixed-use formula:
Ground Floor — Retail, Restaurant, or Showroom. The prominent corner storefront is built for a boutique retailer, café, restaurant, tasting room, gallery, or destination retail concept. Street-level activation on this block benefits from City Hall foot traffic and downtown Kingsport's growing calendar of events and programming.
Upper Floor — Urban Lofts. Subject to buyer verification and municipal approvals, the upper floor may accommodate approximately four urban loft residences. Downtown lofts are currently appraising and selling at
$250+/SF, and a recent condominium at Sterchi Suites (217 Broad Street) sold in July 2026 for approximately
$265 per square foot — demonstrating continued buyer demand for renovated historic downtown living.
Upper Floor — Boutique Office Alternative. The same open floor plate, natural light, and exposed brick also make a compelling creative office headquarters, professional office suite, or co-working environment for a firm seeking an authentic downtown address at a fraction of new-construction cost.
Prime Downtown Corner Location - 77 Free Parking Spaces
233 E. Sullivan Street is one of Downtown Kingsport's most architecturally authentic historic commercial buildings — approximately 8,425 square feet across two stories on a prominent, highly visible corner just steps from City Hall. Built in 1917, the building pairs original historic craftsmanship with a clean, flexible layout: street-level retail or restaurant space below, with urban lofts or boutique office above.
Situated on a highly visible corner along East Sullivan Street, just steps from City Hall, the property benefits from excellent visibility, strong pedestrian activity, and convenient access to Downtown Kingsport's growing collection of restaurants, breweries, coffee shops, boutiques, galleries, entertainment venues, and professional offices.
More Downtown & Kingsport Highlights:
Brickyard Village — a 50-acre master-planned community currently underway, within walking distance of Downtown.
1.2 Million Population Within a 60-Mile Radius
Great Smoky Mountains National Park = 12.5mm annual visitors
Entire Pigeon Forge area sees 21mm+ annual visitors
Adaptive reuse projects, on average, come in 16% less expensive and 18% faster than ground-up construction — and often deliver 10–15% higher ROI (Deloitte Report). Deals actually pencil.
When you buy a stabilized asset, ask yourself: who's capturing the upside—you or the developer cashing out?
Acquiring vacant or underutilized properties and executing a heavy value-add or adaptive reuse strategy lets you create the value instead of paying for someone else's margin.
Downtown Kingsport offers a compelling redevelopment story. Unlike many high-growth markets that experienced significant overbuilding, Kingsport's historic downtown remains a supply-constrained environment where new historic buildings simply cannot be created. Combined with lower construction costs than larger regional markets, ongoing public infrastructure investment, Opportunity Zone incentives, and steady downtown revitalization, the city offers investors an opportunity to acquire irreplaceable historic assets at acquisition costs that remain well below replacement value.
Flexible B-2 Central Business District Zoning
Kingsport's B-2 Central Business District — the city's most flexible and use-permissive commercial zone — encourages adaptive reuse and supports a broad range of commercial and mixed-use development. Potential permitted uses include:
• Residential loft apartments and live-work spaces (upper-floor residential expressly supported)
• Boutique retail, gallery, and specialty storefront concepts
• Restaurant, café, brewery, or tasting room
• Professional, medical, creative, and co-working office
• Entertainment, personal services, and educational uses
Qualified Opportunity Zone Asset — Tax-Advantaged Investment.
Investors rolling recent stock, business, real estate, or crypto capital gains into a Qualified Opportunity Fund may defer tax on those gains, offset operating income through cost-segregation and bonus depreciation, and potentially exit federal-tax-free on appreciation after a 10-year hold. The 2025 federal tax law made Opportunity Zones a permanent part of the tax code.
Buyers should consult their own tax advisor regarding eligibility and current OZ rules.

Construction Cost & Grant (DIG) Program
The same construction-cost advantage shown for multifamily holds true for retail and remodel work. Kingsport hard costs run meaningfully below peer markets across the board, and when paired with incentives
— Opportunity Zone tax advantages, façade improvement grants and the City's Redevelopment Grant and Downtown Loan programs — projects achieve a superior basis and stronger risk-adjusted returns.
Whether the buyer is repositioning the existing asset as a Hotel, Loft, F&B, or retail space or doing a full top-to-bottom remodel, the cost to build is substantially more affordable than what the same project would carry in Chattanooga, Knoxville, Nashville, or Asheville.
Façade Program Application & Redevelopment Program Application
https://www.kingsporttn.gov/ecd/incentives