Mixed-Use Storefront
For Sale
$424,900
137 W LANCASTER Avenue, Downingtown, PA 19335
Multi-Family, DOWNINGTOWN, PA
Property Size3,000 SF
Lot Size0.13 Acres
Price / SF$141.63
Days on Market1515
Property Features for 137 W LANCASTER Avenue
General Information
Property type
Residential Multi Family
Property subtype
Other
Rooms
Basement
Parking
8
Parking features
Driveway
Elementary school district
DOWNINGTOWN AREA
Middle school district
DOWNINGTOWN AREA
High school district
DOWNINGTOWN AREA
Standard status
Active
Size
3,000 SF
Lot size
0.13 Acres
Taxes and HOA fees
Tax Annual Amount
3485
Utilities
Heating system
Hot Water(Heating)
Cooling system
Window Unit(s)
Building Details
Year built
1950
Number of units
2
Building materials
Frame, Stucco
Architectural style
Other
Listing Agency:
Springer Realty Group
(484) 498-4000
Listed By:
Peter B Gustis · License #RS295392
(610) 209-9219
Added: Jul 7, 2022
Changed: Aug 19
Last Checked: Aug 29 at 3:06AM
MLS# PACT2028520
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 mixed-use property contains a storefront on the first floor and a one-bedroom apartment above, with two bathrooms in total. The building offers approximately 3,000 square feet on a 0.1286-acre lot and includes eight driveway parking spaces. The third floor was previously finished and may be finished again, while the former three-unit configuration was reworked to create a larger retail area. The current owner’s business is not included.
Built in 1950, the property has frame and stucco construction, hot-water heating, and window-unit cooling. Its address is 137 W Lancaster Avenue in Downingtown, Pennsylvania, on the town’s Main Street. The Downingtown Train Station is one block away, and a SEPTA bus stop is located half a block from the property. A potential 6.8% cap rate is reported for the storefront and apartment.
Built in 1950, the property has frame and stucco construction, hot-water heating, and window-unit cooling. Its address is 137 W Lancaster Avenue in Downingtown, Pennsylvania, on the town’s Main Street. The Downingtown Train Station is one block away, and a SEPTA bus stop is located half a block from the property. A potential 6.8% cap rate is reported for the storefront and apartment.
Key Highlights
- 3,000 square feet on a 0.1286‑acre lot
- First‑floor storefront with a one‑bedroom apartment above
- Eight driveway parking spaces
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
$33,907
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
7.98%
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%
$678,140
$678.1K
Cap Rate 7%
$484,386
$484.4K
Cap Rate 9%
$376,744
$376.7K
Market Conditions
NOI Build-Up for 3,000 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
$54.0K $18.00/SF
− Vacancy
−$5.6K −$1.85/SF
EGI
$48.4K $16.15/SF
− OpEx
−$14.5K −$4.84/SF
NOI
$33.9K $11.30/SF
Area
Chester County, PA
Vacancy
10.30%
Lease Rate
$18.00 /SF/Yr
Expense Ratio
30.00%
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%
$678,140
Cap Rate 7%
$484,386
Cap Rate 9%
$376,744
Alternative Uses
Best Use
Mixed Use
$656.8K
$574.7K – $766.3K
NOI $45,978 @ 7.0% cap · market cap 10.82%
Second Best
Retail
$484.4K
$423.8K – $565.1K
NOI $33,907 @ 7.0% cap · market cap 7.98%
Theoretical Best
Office A
$909.6K
$795.9K – $1.06M
NOI $63,670 @ 7.0% cap · market cap 14.98%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
1
Residential units
Yes
Paved road access
Location Intelligence
Trade Area within ½ mile
811
Businesses Nearby
Explore this area
Business Placement
Demographics for 19335, PA
52,406
Population
20,276
Households
2.6
Avg Household Size
40
Median Age
62%
College-Educated
98%
High-School Grad
43.3 sq mi
ZIP Area
1,210
Density / Sq Mi
$136,839
Median Household Income
$69,850
Median Earnings
$1,647
Median Rent
$464,400
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
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Frequently Asked Questions
What type of property is this?
Mixed-use property - Street-level retail space is paired with a one-bedroom apartment and two bathrooms.
Where is this mixed-use property located?
The property is located at 137 W LANCASTER Avenue Downingtown, PA.
What is the asking price?
The asking price for this property is $424,900.
What are key features of this property?
This property features: 3,000 square feet on a 0.1286‑acre lot; First‑floor storefront with a one‑bedroom apartment above; Eight driveway parking spaces
