Deal: Nashville 4 bedroom grossing $100k+ in both 2022 and 2021

Zoned for non-owner occupied STRs + Deal for TOS readers + Backstory

Author

Alex Veytsman
October 22, 2023

The Offer Sheet readers —

We are thrilled to bring you an incredible deal on a 4 bedroom, 4 bathroom townhouse in Nashville (zoned for non-owner occupied STRs!), that has exceeded $100k+ in revenue in both 2021 and 2022, and on pace to do the same in 2023!

Immediately below you’ll see all relevant details — address, Airbnb link, 3D video tour, drone video of exterior, revenue details from the last few years, and even a special offer for our readers to include furniture if the property goes into contract by the end of October.

Below that you’ll find the backstory of the owners and why they are selling. Hint: they have gotten involved in the glamping space and are selling the property to raise funds for their second project.

Luxury Urban Townhouse x Nashville

4-Bedroom, 4-Bathroom (All Ensuite) Luxury Townhouse | 3-Levels x 1970 sq ft | Zoned For Non-Owner Occupied Short-Term Rentals

● 849 Vibe Place, Nashville, TN

● Listed Price: $899,900

● Special Offer For The Offer Sheet Subscribers: $25,000 of furnishing included for free if the property goes under contract by October 31, 2023.

Actual Revenue numbers:

2021 Revenue: $108K

2022 Revenue: $105K

2023 Jan-Sep To Date: $76K+

Contact Info:

Steve Frye | Broker

615-500-1175
[email protected]

LUXURIOUS, CENTRAL LOCATION, 4 ENSUITE BEDROOMS - COVETED NASHVILLE SHORT-TERM RENTAL PERMIT ZONING!

Rarely available and, as of now, lowest priced 4-bedroom/4-bathroom short-term rental-eligible townhouse in red-hot Nashville market (just 8 minutes from downtown!). This townhouse is a turnkey STR property – ready to go on day 1 with no setup work required.

● Brand-new construction - built in 2019. House features 4-bedrooms and 4-bathrooms (all ensuite) spread out across 3 levels.

● House was professionally designed and optimized as a vacation rental property. We’ve put in $25,000 worth of furnishings and decor when setting up the unit.

● Perfect for groups! The common area is the heart of this space. A large combined living room and kitchen makes it easy for the entire group to get together for breakfast, drinks and meals. With multiple couches and seats, a dining room table that can accommodate up to 12 people, your entire party will be comfortable.

● Chef’s kitchen with all brand-new appliances.

● Washer/dryer to handle all of the guest laundry with ease.

● 2-car garage on the first floor.

● Less than 10 minutes to Downtown Nashville

● Walkable to lots of local attractions / restaurants / bars / music venues in East Nashville’s vibrant culinary and entertainment scene

● Low HOA fee – just $125 per month.

● Proven performer – well over $100K in revenue per year over the last 2 years (and on track for the same in 2023 with over $76K in Jan-Sep 2023.

● NOTE: During COVID, we did private bedroom rentals on the weekdays and full house rentals on the weekends. Next owner would likely just rent it out only as a full house throughout the week to keep operations simpler.

● Housekeeper and Handyman/Maintenance available to continue to work on this property if the next buyer chooses to self-manage. Great, reliable folks that know the property in and out. Not to mention, reasonably priced and easy to work with.

● Property is zoned MUL-A – making it easy to get a short-term rental permit from the city of Nashville (around $370/year). Only several zoning designations allow for this. This also ensures that the supply of STR properties is kept low, as only specific zoning permits non-owner occupied short-term rental permits.

The backstory:

Our story begins in 2017 when my wife, Susan, and I have begun our own short-term rental journey with our first property in Boston. We’ve been wanting to get into this space for many years and eventually just jumped in head first with one unit.

Over the following 5 years, things progressed well, our portfolio grew and we purchased about 10 properties across several markets in New England and the Midwest.

Nashville has been on our radar for a while due to its diverse industry, extremely popular tourism market, and high economic growth. Plus, it’s such a fun city to visit – no wonder it’s a hugely popular destination for groups and travelers.

The challenge is that it can be a tough market to get a non-owner occupied short-term rental permit, as those permits are limited to specific zoning and those are rare and highly in demand.

Fortunately, after months of monitoring the market, we’ve come across a brand-new development in 2019 that was zoned specifically for short-term rentals. We acquired one of the last luxury 4-bedroom, 4-bathroom townhouses in it. It was a great choice – really well located, really well designed and solidly built.

We’ve spent over $25,000 to do the interior design and furnish the space and launched it in 2019. Since then, it’s been one of our top performers – even during COVID years when demand for Airbnbs nationwide fell, it remained going strong!

So why are we selling? In 2021, we had an opportunity to acquire a small campground in New Hampshire and we’ve spent the last 2 years building it out into a cabins and glamping destination called Lumen Nature Retreat (www.StayAtLumen.com). It was such a fun project to build out from scratch. We fell in love with the outdoor hospitality!

After much consideration, we’ve decided that we want to do a second campground in 2024 in Vermont, so we’re going to be selling some of our top short-term rentals in order to fund that project. The Nashville property has been a great asset in our portfolio since 2019, but as energy and funds are limited, we have to make a choice on what to focus on. Since we have a 3-year old as well, it also makes sense to keep things a little closer to home moving forward.

We think that 849 Vibe Place will be a great choice for anyone’s short-term rental portfolio given both Nashville’s long-term prospects and the fact that it’s turnkey and ready to go.

Check out the Airbnb listing, visit the 3D Video Tour, get all of the details on the MLS, and then reach out to our broker, Steve Frye, for any questions or inquiries: 615-500-1175 or [email protected].

P.S. Since we’re excited to work with The Offer Sheet, as a reminder, we’re offering all of the furnishings ($25,000 value) at no charge if the property goes under contract by October 31, 2023.

Why Nashville?

Nashville Tennessee’s unique blend of culture, music, and hospitality makes it an outstanding destination for tourists from all around the world. Nashville has consistently been a top 5 Airbnb/STR market in the United States. In addition to long being voted one of the best cities to visit, live and work in, it has been one of the most popular large group destinations in the country. It’s a vibrant and enticing tourist market that is famous for drawing corporate events, bachelor and bachelorette groups and birthday celebrations for a variety of reasons: 

● Music City: Nashville offers a rich musical heritage with numerous live music venues making it a dream destination for music enthusiasts.

● Southern Hospitality: Nashville is renowned for its warm and welcoming atmosphere. Visitors often experience the true meaning of Southern hospitality from locals, which adds to the overall charm of the city.

● Cultural Attractions: Beyond music, Nashville boasts cultural gems like the Country Music Hall of Fame, Frist Art Museum, and historic sites like The Hermitage, home of President Andrew Jackson.

● Food Scene: The city is a culinary delight with a booming food scene that offers everything from traditional Southern comfort food to gourmet dining.

● Eventful Calendar: Throughout the year, Nashville hosts a wide range of events and festivals, such as the CMA Music Festival and the Nashville Film Festival, ensuring there's something happening whenever you visit.

● Scenic Beauty: Nashville's picturesque surroundings, including parks, the Cumberland River, and beautiful neighborhoods, offer an ideal backdrop for outdoor enthusiasts and photographers.

● Burgeoning Art Scene: With a growing number of art galleries and public art installations, Nashville has become a hub for artists, making it a haven for art aficionados.

● Location: Conveniently situated in the southeastern United States, Nashville serves as an excellent base for exploring the region and enjoying day trips to places like the Great Smoky Mountains and other neighboring cities.

In addition, Nashville offers:

● Largest MSA in Tennessee with 2+ million people

● Expected to grow by another 500,000 people in the next 20 years

● Experienced job growth of 26% and income growth of 6.6% between 2010 and 2019, making the region the 2nd-fastest growing metro economy in the country

● No State Income Tax and Lower than Average Property Tax Rates

● Major industries include health care, music and entertainment, advanced manufacturing, corporate operations, and supply chain management

● Home to 20 accredited four-year, two-year, tech schools and postgraduate institutions including Vanderbilt University and Belmont University

● Amazon’s New Headquarters and the addition of 7,500 jobs and their $150,000 average salaries will likely to continue to push housing prices up

● Oracle is establishing a large presence here bringing 8,500 jobs and Multi-Billion $ Development on the East Bank of the river will continue to push growth in Nashville over the next decade and expand the footprint of Downtown Nashville