Adaptive Reuse In East Nashville: A Starter Guide

Thinking about turning an older East Nashville building into something fresh and income producing? You’re not alone. Adaptive reuse is creating some of the area’s most memorable restaurants, creative offices, and boutique residential spaces. In this starter guide, you’ll learn the essentials: what to check first, how approvals work in Davidson County, what drives cost and timing, and where these projects tend to succeed in East Nashville. Let’s dive in.

Adaptive reuse, defined

Adaptive reuse is the conversion of an existing building to a new use while keeping most of its structure and envelope. Think warehouse to brewery, church to event space or apartments, and small industrial to creative retail or office. The goal is to capture character, shorten the path to occupancy in some cases, and avoid full demolition.

Why consider it in East Nashville

East Nashville has a deep inventory of character buildings and an audience that values unique spaces. Adaptive reuse can help you:

• Lower embodied-carbon and potentially reduce total project costs compared to full teardown and new construction.
• Move faster to market if you can work within the existing site plan and building shell.
• Access federal historic tax credits on eligible income-producing properties that meet rehabilitation standards.
• Stand out with exposed brick, timber, and high ceilings that attract retail, restaurant, creative office, and boutique residential demand.
• Build community goodwill by revitalizing existing fabric.

Risks and constraints

Older buildings come with unknowns. Plan for:

• Structural surprises such as rotted framing, foundation issues, and deferred maintenance.
• Environmental hazards including asbestos, lead paint, or petroleum contamination that require abatement.
• Code and life-safety upgrades like sprinklers, egress, fire separation, and ADA accessibility.
• MEP replacement since older buildings often need new HVAC, electrical, and plumbing.
• Zoning, parking, signage, and overlay rules that can limit uses or add approval steps.
• Historic designation reviews that extend design timelines and add constraints.

Nashville rules to know

East Nashville projects live within Metro Nashville and Davidson County’s planning and codes framework. Early contact with the right offices will save time and redesigns later.

• Metro Planning and Codes. Confirm zoning, permitted uses, parking requirements, and whether you need variances or conditional use permits. Pre-application meetings help flag issues early.
• Historic overlays and reviews. Many East Nashville properties sit in local historic overlays or have individual historic status. Rehabilitation typically requires review by the Historic Zoning Commission or staff under adopted standards.
• Federal Historic Tax Credit. A 20 percent federal rehabilitation tax credit is available for certified historic structures that follow the Secretary of the Interior’s Standards. The program has a staged certification process, so fold it into design from the start.
• State and local incentives. Tennessee programs and local grants change over time. Check with the Tennessee Historical Commission and the Metro Office of Economic and Community Development for current options.
• Environmental and brownfields. If contamination is suspected or known, the Tennessee Department of Environment and Conservation and Metro programs can guide remediation pathways.
• Floodplain and stormwater. East Nashville includes flood-prone areas near the Cumberland River. Confirm FEMA maps and Metro stormwater rules early since mitigation can affect site layout and cost.
• Accessibility and building code. Conversions to public occupancy or multifamily must meet current code, sprinklers, and ADA in public or common areas.
• Opportunity Zones. Some census tracts carry potential capital gains incentives. Verify current maps to determine eligibility.
• Community engagement. Neighborhood associations in Five Points, Lockeland Springs, Inglewood, and Shelby Hills are active. Community meetings can matter for discretionary approvals.

Feasibility checks before purchase

Do not go under contract without a plan to test the big assumptions. At minimum, line up these items during due diligence:

• Phase I Environmental Site Assessment to identify potential liabilities.
• Structural and envelope assessment, including roof, foundations, and load-bearing systems.
• Hazardous materials survey for asbestos, lead, and any PCB-containing equipment.
• Zoning and overlay confirmation, including parking calculations and signage limits.
• Floodplain and stormwater status using FEMA maps and Metro requirements.
• Historic status check to understand eligibility and any prior approvals or covenants.
• Utility capacity review for water, sewer, gas, electrical service, and telecom.
• Market analysis for your target use, including rent comps and likely absorption.
• Preliminary cost estimate from a contractor experienced in rehabilitation work.
• Financing conversations to confirm lender appetite and likely conditions.

Budget and cost drivers

Create a realistic pro forma with a healthy contingency. The categories that move the budget most are:

• Environmental remediation and hazardous material abatement.
• Structural repairs and any required upgrades.
• Full MEP replacement to meet modern demands.
• Life-safety systems such as sprinklers and fire alarms.
• Accessibility upgrades such as elevators, ramps, and ADA-compliant restrooms.
• Exterior envelope work including roof replacement, windows, and masonry.
• New build items like commercial kitchens, bathrooms, and tenant improvements.
• Soft costs such as architecture and engineering, historic consulting, permits, legal, and contingency.

Consider a contingency of 15 to 30 percent for older buildings where conditions are not fully known during underwriting.

Timelines to expect

Adaptive reuse timelines vary with scope, approvals, and site conditions. A practical range looks like this:

• Pre-acquisition due diligence: 30 to 90 days.
• Entitlements and approvals, including zoning and historic review: 3 to 12 months or more.
• Design and permit drawings: 3 to 9 months, sometimes overlapping with entitlements.
• Permitting and Metro approvals: 1 to 6 months, depending on completeness and hearings.
• Construction: 3 to 9 months for lighter interior conversions; 9 to 24 months or more for major renovations.
• Lease-up or sales: 3 to 12 months post-construction.

From acquisition to stabilized occupancy, plan for 12 to 36 months. Complex historic projects can take longer.

Where it works locally

You will see adaptive reuse opportunities in several East Nashville pockets:

• Five Points and the commercial core. Small storefront buildings with active retail and restaurant demand, including upper-floor office or residential conversions.
• Lockeland Springs, Shelby Hills, and Inglewood. Primarily residential areas with select nodes where structures convert to professional offices or small multi-unit uses where allowed.
• Gallatin Pike and East Trinity Lane corridors. Light commercial and small industrial properties suitable for creative offices, food and beverage, breweries, and specialty retail.

Common end uses that perform well include restaurants, breweries, and bars that benefit from industrial character, creative office and co-working, boutique multifamily or lofts in smaller historic buildings, and experiential retail.

Build your project team

Assemble experienced partners early. For most projects you will want:

• Project architect with adaptive reuse and historic rehabilitation experience.
• Structural engineer familiar with older buildings.
• Historic preservation consultant if you are pursuing tax credits or working in a historic district.
• MEP engineer with retrofit expertise.
• Environmental consultant for hazardous materials and brownfields.
• General contractor experienced in rehabilitation conversions.
• Real estate attorney who understands local entitlements and historic covenants.
• Local broker with East Nashville market knowledge and leasing strategy expertise.

First 90 days: action plan

Use this quick-start plan to test feasibility and avoid surprises:

1. Define the target use and revenue model. Clarify retail, restaurant, office, residential, or mixed use, and outline rent or sales assumptions.
2. Run a preliminary site and building check. Walk the structure with an architect, contractor, and structural engineer.
3. Order third-party reports. Commission a Phase I ESA and hazardous materials survey.
4. Confirm zoning and overlays. Meet with Metro Planning or Codes to validate permitted uses and parking.
5. Evaluate historic status and incentives. If eligible, discuss the federal tax credit path with a preservation consultant.
6. Check floodplain and stormwater implications. Understand required mitigation early.
7. Build a preliminary budget. Incorporate MEP, life safety, accessibility, and a strong contingency.
8. Test the market. Validate achievable rents or absorption with current comps and likely tenant demand.
9. Engage neighbors. If approvals are discretionary, plan outreach to the neighborhood association.
10. Map the timeline. Layer entitlements, design, permitting, construction, and lease-up into a master schedule.

How we can help

Adaptive reuse is part opportunity, part execution. You need clear underwriting, the right sites, and a practical path through approvals and leasing. As an owner-minded, principal-led brokerage, NEW SOUTH COMMERCIAL advises investors and owner-occupiers on site selection, investment sales, landlord and tenant representation, broker opinions of value, and repositioning strategies that fit East Nashville’s fabric. If you are exploring a conversion in Five Points, along Gallatin Pike, or on East Trinity Lane, let’s talk about sourcing, underwriting, and a go-to-market plan that aligns with your timeline and budget.

Ready to evaluate a property or build a plan? Connect with NEW SOUTH COMMERCIAL to Request a Market Consultation.

FAQs

What does adaptive reuse mean in Nashville?

• It is the conversion of an existing building to a new use while retaining most of the structure, often turning warehouses, churches, or small industrial buildings into restaurants, offices, or housing.

What approvals are common in East Nashville adaptive reuse?

• You typically confirm zoning with Metro Planning and Codes, check for historic overlays and design review, and address building code, fire safety, accessibility, stormwater, and any floodplain issues.

Are historic tax credits available for East Nashville projects?

• A 20 percent federal rehabilitation tax credit may apply to certified historic income-producing properties that meet program standards; evaluate eligibility early with a qualified consultant.

How long do adaptive reuse projects take from start to finish?

• A practical range is 12 to 36 months from acquisition to stabilized occupancy, depending on approvals, design, and construction scope.

What drives the budget in an older East Nashville building?

• Major drivers include environmental remediation, structural repairs, full MEP replacement, fire and life-safety systems, accessibility upgrades, exterior envelope work, and soft costs.

Where in East Nashville do conversions often work well?

• Five Points and the commercial core, pockets of Lockeland Springs, Shelby Hills, and Inglewood, and corridors along Gallatin Pike and East Trinity Lane show frequent conversions.

What professionals should be on my adaptive reuse team?

• Plan for an architect, structural and MEP engineers, a historic consultant if needed, an environmental consultant, a rehabilitation-focused general contractor, a real estate attorney, and a local broker with East Nashville experience.