Brick Colonial Duplex With Commercial
For Sale
$199,000
827 CHESTNUT Street, Lebanon, PA 17042
MULTI_FAMILY - Colonial - LEBANON, PA
Property Size1,568 SF
Lot Size0.03 Acres
Price / SF$126.91
Days on Market94
Property Features for 827 CHESTNUT Street
General Information
Property type
Residential Multi Family
Property subtype
Duplex
Parking features
On Street
Elementary school district
LEBANON
Middle school district
LEBANON
High school district
LEBANON
Standard status
Active
Size
1,568 SF
Lot size
0.03 Acres
Taxes and HOA fees
Tax Annual Amount
3156
Utilities
Heating system
Hot Water(Heating)
Cooling system
Window Unit(s)
Building Details
Year built
1920
Number of units
2
Building materials
Brick
Architectural style
Colonial
Listing Agency:
Keller Williams Realty
(717) 657-4700
Listed By:
Carson Michael Perlaki · License #RS371923
(717) 673-5570
Added: May 21
Changed: Jul 29
Last Checked: Aug 22 at 4:06PM
MLS# PALN2026310
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.
Brick Colonial duplex at 827 Chestnut Street, Lebanon, PA 17042, built in 1920. The property offers a mixed setup with a vacant first-floor commercial space and a spacious second-floor apartment with two bedrooms and one bathroom. Heating is provided by hot water heating, and cooling is through window unit(s). On-street parking serves the property.
The building is positioned in the heart of Lebanon City, with convenient access to downtown amenities and high local foot traffic between the Lebanon Farmers Market and the Post Office. This configuration can support a tenant-facing business on the first floor while the second-floor apartment provides additional residential use.
Owner-occupants and investors may be interested in the balance of commercial and residential space, with the commercial portion ready to be set up for a new business or next tenant.
The building is positioned in the heart of Lebanon City, with convenient access to downtown amenities and high local foot traffic between the Lebanon Farmers Market and the Post Office. This configuration can support a tenant-facing business on the first floor while the second-floor apartment provides additional residential use.
Owner-occupants and investors may be interested in the balance of commercial and residential space, with the commercial portion ready to be set up for a new business or next tenant.
Key Highlights
- Vacant first‑floor commercial space plus second‑floor apartment
- Second‑floor apartment has two bedrooms and one bathroom
- Brick Colonial construction with hot water heating
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
$14,735
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
7.40%
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%
$294,700
$294.7K
Cap Rate 7%
$210,500
$210.5K
Cap Rate 9%
$163,722
$163.7K
Market Conditions
NOI Build-Up for 1,568 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
$23.5K $15.00/SF
− Vacancy
−$2.5K −$1.58/SF
EGI
$21.1K $13.43/SF
− OpEx
−$6.3K −$4.03/SF
NOI
$14.7K $9.40/SF
Area
Lebanon County, PA
Vacancy
10.50%
Lease Rate
$15.00 /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%
$294,700
Cap Rate 7%
$210,500
Cap Rate 9%
$163,722
Alternative Uses
Best Use
Retail
$210.5K
$184.2K – $245.6K
NOI $14,735 @ 7.0% cap · market cap 7.40%
Second Best
Multifamily LT 5
$200.2K
$175.1K – $233.5K
NOI $14,011 @ 7.0% cap · market cap 7.04%
Theoretical Best
Office A
$368.0K
$322.0K – $429.4K
NOI $25,763 @ 7.0% cap · market cap 12.95%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Lease Details
Single-tenant
Tenancy
Location Intelligence
Trade Area within ½ mile
1,614
Businesses Nearby
Explore this area
Business Placement
Demographics for 17042, PA
40,618
Population
17,067
Households
2.4
Avg Household Size
43
Median Age
28%
College-Educated
88%
High-School Grad
67.7 sq mi
ZIP Area
600
Density / Sq Mi
$76,399
Median Household Income
$45,429
Median Earnings
$1,096
Median Rent
$222,200
Median Home Value
Market
Vacancy Rate% for Multifamily in Northeast region
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Duplex - Brick duplex with a vacant first-floor commercial space and a rented second-floor 2-bedroom apartment.
Where is this duplex located?
The property is located at 827 CHESTNUT Street Lebanon, PA.
What is the asking price?
The asking price for this property is $199,000.
What are key features of this property?
This property features: Vacant first‑floor commercial space plus second‑floor apartment; Second‑floor apartment has two bedrooms and one bathroom; Brick Colonial construction with hot water heating
