Aggressively Priced DowntownOpportunity

Move-In Ready Office or Retail | Urban Loft Redevelopment | Opportunity Zone

Imagine buying a building at approximately $45.58per square foot and getting reimbursed

$50,000 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 buildingalready 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 brickwalls
• Large historicwindows and abundantnatural light
• High ceilingsand original masonryconstruction
• Prominent cornerstorefront with excellent visibility

The Vision — Retailor Office Below, Lofts Above

The building's two-story layout,corner visibility, and B-2 zoningline 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, tastingroom, gallery, or destination retailconcept. 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 demandfor 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 8,425square feet across two stories on a prominent, highlyvisible 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 visiblecorner along East Sullivan Street, just steps from City Hall, the propertybenefits from excellent visibility, strong pedestrian activity, and convenient accessto Downtown Kingsport's growing collection of restaurants, breweries, coffee shops, boutiques, galleries, entertainment venues, and professional offices.

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 CentralBusiness District Zoning

Kingsport's B-2 Central Business District — the city's most flexible and use-permissive commercial zone — encourages adaptive reuse and supportsa broad range of commercial and mixed-use development. Potential permitted uses include:

• Residential loft apartments and live-work spaces(upper-floor residential expresslysupported)
• Boutique retail,gallery, and specialtystorefront concepts
• Restaurant, café, brewery, or tasting room
• Professional, medical,creative, and co-working office
• Entertainment, personalservices, and educational uses

Qualified Opportunity Zone Asset — Tax-Advantaged Investment.

Investors rolling recent stock,business, real estate,or crypto capitalgains 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 consulttheir own tax advisor regardingeligibility and currentOZ rules.

SBA 10% to 20% Down PaymentOptions for Purchase

For an owner-user — contractor, distributor, showroom operator, or service company — the SBA 504 program can put ownership within reach with terms of 10, 20, or 25 years. This option could save around $500,000 in rent paymentsover a 10 year period.Example for illustrative purposes, subject to lender approval, underwriting,

and market conditions.

Construction Cost & Grant (DIG) Program

The same construction-cost advantage shown for multifamily holds true for retail and remodel work. Kingsport hard costsrun meaningfully belowpeer markets acrossthe board, and when pairedwith incentives — Opportunity Zone tax advantages, façade improvement grants of up to $50,000, and the City's Redevelopment Grant and Downtown Loan programs —projects achieve a superior basisand 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

The purpose of the Facade Grant Program is to encourage the revitalization of building facades and to improve the aestheticsof the city’s Central BusinessDistrict with grantassistance through the Kingsport EconomicDevelopment Board (KEDB), for the City of Kingsport, Tennessee.

Redevelopment Program Application

The purpose of the Redevelopment Grant Program is to encourage the revitalization of building sites with special emphasis on improvement of the aesthetics in the city’s Central Business District with grant assistance through the Kingsport EconomicDevelopment Board (KEDB),for the City of Kingsport, Tennessee. Special emphasisis given to projects pertaining to the Central Business District, however; the grant is applicable to all parts of the city.

Visit the city website to learn more or click here: https://www.kingsporttn.gov/ecd/incentives

Disclaimer: Financing example is for illustrative purposes only and is based on a commercial real estate loan under the SBA 504 program. This property is commercial in nature. Consumer credit protections and disclosures under Regulation Z (Truth in Lending Act) do not apply. Terms are not guaranteed and are subject to lender approval, underwriting, and current market conditions. Consult with a qualified SBA lender or financial advisor for personalized information. Any references to Opportunity Zone benefits are provided for informational purposesonly and reflecta general summaryof the cited statutes and regulations as written. They are not tax or legal advice,are not a guarantee of any tax treatment or outcome, and do not account for any individual's circumstances. Opportunity Zone provisions carry specific deadlines and conditions and are subject to change by legislation or regulation. Prospective investors should consult their own qualified tax advisor, attorney, and CPA before making any investment decisio