Renovated Office Building with Court
For Sale
$749,900
1007 UNION Boulevard, Allentown, PA 18109
Commercial Sale, ALLENTOWN, PA
Property Size4,228 SF
Lot Size0.20 Acres
Price / SF$177.37
Days on Market242
Property Features for 1007 UNION Boulevard
General Information
Property type
Other
Property subtype
Office
Parking
4
Parking features
Parking Lot, On Street
Elementary school district
ALLENTOWN
Middle school district
ALLENTOWN
High school district
ALLENTOWN
Standard status
Active
Lot size
0.20 Acres
Taxes and HOA fees
Tax Annual Amount
13057
Utilities
Heating system
Central
Cooling system
Central Air
Building Details
Year built
1959
Building materials
Masonry
Listing Agency:
Keller Williams Real Estate - Allentown · Keller Williams Realty
Listed By:
AYON Abraham CODNER · License #RS324477
(610) 435-1800
Added: Jan 12
Changed: Sep 5
Last Checked: Sep 11 at 1:06AM
MLS# PALH2014304
Copyright © 2026 Bright MLS. All rights reserved. All information provided by the listing agent/broker is deemed reliable but is not guaranteed and should be independently verified.
Investment Insights
Based on property information with market context.
This approximately 4,228-square-foot office building is constructed with masonry and was fully renovated five years ago. The property is occupied by a district court under a gross lease with yearly increases, a five-year term, and a five-year option. The tenant has completed the initial term and executed another long-term lease. Central heating and cooling serve the building, which is maintained by the landlord.
Located on Union Boulevard in Allentown, the property offers both lot and on-street parking. B-3 Highway Business zoning supports a range of uses and may allow redevelopment after the remaining lease term expires. The site contains approximately 0.2 acres and is positioned near the planned 29-acre Waterfront development along the Lehigh River’s western bank.
Located on Union Boulevard in Allentown, the property offers both lot and on-street parking. B-3 Highway Business zoning supports a range of uses and may allow redevelopment after the remaining lease term expires. The site contains approximately 0.2 acres and is positioned near the planned 29-acre Waterfront development along the Lehigh River’s western bank.
Key Highlights
- Approximately 4,228 SF office building on 0.2 acres
- District court occupancy under a gross lease with yearly increases
- Five‑year lease term with a five‑year option
Financial Insights
Estimated NOI and Cap Rate
NOI = area × lease_rate × (100 − vacancy) / 100 × (1 − expense_ratio). Net Operating Income — what the owner takes home each year before mortgage payments and income tax. Effective rent (asking rent minus vacancy losses) minus operating costs (taxes, insurance, maintenance, management).
NOI / Yr
$22,953
Cap rate = NOI / list price × 100. Capitalization rate — annual return on a fully cash purchase, before financing. NOI divided by price. Higher means more income per dollar invested, but usually also more risk or older condition. 5–8% is typical for stabilized commercial property; double digits often signal distressed deals.
Cap Rate
3.06%
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$459,060
$459.1K
Cap Rate 7%
$327,900
$327.9K
Cap Rate 9%
$255,033
$255.0K
Market Conditions
NOI Build-Up for 4,228 SF
Vacancy — income lost from leasable area expected to sit empty during the year, subtracted from gross rent.
EGI (Effective Gross Income) — gross rent minus vacancy losses, the realistic income before paying operating costs.
OpEx (Operating Expenses) — recurring costs to operate the property (property tax, insurance, utilities, maintenance, management); excludes financing and capital improvements.
NOI (Net Operating Income) — income a property generates after operating costs but before financing and taxes.
Gross rent
$33.0K $7.80/SF
− Vacancy
−$2.4K −$0.56/SF
EGI
$30.6K $7.24/SF
− OpEx
−$7.7K −$1.81/SF
NOI
$23.0K $5.43/SF
Area
Allentown, PA
Vacancy
7.20%
Lease Rate
$7.80 /SF/Yr
Expense Ratio
25.00%
Simulate Cap Rate and NOI
Suggested Prices Based on Cap Rates
Cap rates vary significantly by property type, market, and asset quality.
Typical U.S. stable-market ranges:
Multifamily — 4.5% to 6.5% (Class A in primary markets often sub-5%; Class C in secondary markets 6%+)
Industrial / Logistics — 5.0% to 7.0% (compressed heavily in recent years due to e-commerce demand)
Office — 6.5% to 9%+ (wide spread post-2020; CBD Class A vs. suburban Class B varies dramatically)
Retail — 5.5% to 8.5% (grocery-anchored on the low end, unanchored strip centers higher)
Hospitality / Hotels — 7.5% to 10%+ (higher due to operational risk)
Self-Storage — 5.5% to 7.5%
Medical Office — 6.0% to 7.5%
Net Lease (single tenant, credit) — 5.0% to 7.0% depending on tenant credit and lease term
Rules of thumb:
Primary markets (NYC, SF, LA, Boston, DC) trade at lower cap rates than secondary/tertiary markets, often by 100–200 bps (bps, aka basis points; 1 bp = 0.01%).
Class A assets trade ~50–150 bps tighter than Class B, and Class B tighter than Class C.
Cap rates move inversely with price — a lower cap rate means a higher price for the same NOI.
Spread to the 10-year Treasury is a common benchmark; historically 200–400 bps over the 10-year.
Cap Rate 5%
$459,060
Cap Rate 7%
$327,900
Cap Rate 9%
$255,033
Alternative Uses
Best Use
Office B
$327.9K
$286.9K – $382.6K
NOI $22,953 @ 7.0% cap · market cap 3.06%
Second Best
—
—
no second resolved use
Theoretical Best
Specialty Retail
$830.6K
$726.8K – $969.1K
NOI $58,143 @ 7.0% cap · market cap 7.75%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
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Open Analytics
Current Use
Lease Details
Single-tenant
Tenancy
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
922
Businesses Nearby
Explore this area
Business Placement
Demographics for 18109, PA
18,915
Population
7,395
Households
2.6
Avg Household Size
37
Median Age
19%
College-Educated
80%
High-School Grad
8.2 sq mi
ZIP Area
2,307
Density / Sq Mi
$55,437
Median Household Income
$36,632
Median Earnings
$1,239
Median Rent
$180,200
Median Home Value
Check the figures for this property
Cap Rate, Value Estimation, Potential NOI and more
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Market
Vacancy Rate% for Office in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Office building - Masonry office property with established occupancy, central HVAC, and B-3 Highway Business zoning.
Where is this office building located?
The property is located at 1007 UNION Boulevard Allentown, PA.
What is the asking price?
The asking price for this property is $749,900.
What are key features of this property?
This property features: Approximately 4,228 SF office building on 0.2 acres; District court occupancy under a gross lease with yearly increases; Five‑year lease term with a five‑year option
