Update: According to Chip Miller of NAI Knoxville, the Fort Loudon Lake property sold Saturday morning for $26.5 million to Bryan Testerman of Testerman Construction. That’s $54,000 per acre. Additional details to follow.
Original Post: Nearly 500 acres just outside Knoxville on Tennessee’s Fort Loudon Lake is up for absolute auction this weekend. As long as someone shows up with the $100,000 cashiers check required to bid, there will be a new owner for what tax rolls call the Al Kraemer Farm.
This pristine piece of farmland sits on a peninsula overlooking the popular lake, which sees an estimated two million visitors per year. There are three buildings on the farm. One dates back to 1910, but a newer 3,700-square-foot residence was built in 1983 and has four bedrooms and four bathrooms. The structures are irrelevant, however; the land is prime for development.
“It is the nicest piece of lakefront property in East Tennessee,” says Chip Miller of NAI Knoxville. “It’s in one of the highest growth areas and the demographics of the surrounding area are great.” Miller says he expects “only a handful” of people to make bids on the property. Will the land be sold for development? “Most certainly,” Miller said. The price though is the biggest question mark.
“It could go for $10 million or $40 million. It’s arguably worth $40 million,” Miller said, which equates to roughly $80,000 an acre.