Subdividable Office
For Sale
$4,995,000
5231 Penn Ave, Pittsburgh, PA 15224
Office building offers large meeting space, kitchenettes on each floor, and on-site free parking with direct public transportation access.
Property Size31,000 SF
Price / SF$161.13
Days on Market91
Property Features for 5231 Penn Ave
General Information
Standard status
Active
Size
31,000 SF
Property subtype
Office
Building Details
Building Size
31,000 SF
Listing Agency:
Lee & Associates | Western PA
(412) 528-1301
Listed By:
Howard West · License #RSR002660
(412) 528-1301
Source:
Lee-associates
Added: Jun 1
Changed: Aug 26
Last Checked: Aug 30 at 2:22PM
Displayed information is deemed reliable but is not guaranteed and should be independently verified. All listing content including descriptions, pricing, images are the copyrighted material of Lee & Associates | Western PA
Investment Insights
Based on property information with market context.
This office building totals 31,000 SF and is set up for flexible occupancy, with space that can be subdivided by floor. Floor plates include 10,000 SF covering the 1st and 2nd floors, 5,061 SF on the 3rd floor, and 3,600 SF on the ground floor. Each floor includes large meeting rooms and kitchenettes, supporting both everyday team use and client-facing functions.
The property is located in Pittsburgh’s East End on Penn Avenue, with direct access to public transportation. On-site free parking is available for staff and visitors. The building is near the Children’s Home of Pittsburgh, Children’s Hospital, and Liberty East, placing it in a healthcare-and-institutional oriented area.
For tenants, the combination of sizable floor plates and built-in meeting space and kitchenettes can support corporate offices, professional services, and organizations that need dedicated gathering areas. For buyers, the subdividable configuration by floor may fit operators seeking to accommodate multiple users or phase an occupancy strategy, subject to availability beginning 5/1/2027.
The property is located in Pittsburgh’s East End on Penn Avenue, with direct access to public transportation. On-site free parking is available for staff and visitors. The building is near the Children’s Home of Pittsburgh, Children’s Hospital, and Liberty East, placing it in a healthcare-and-institutional oriented area.
For tenants, the combination of sizable floor plates and built-in meeting space and kitchenettes can support corporate offices, professional services, and organizations that need dedicated gathering areas. For buyers, the subdividable configuration by floor may fit operators seeking to accommodate multiple users or phase an occupancy strategy, subject to availability beginning 5/1/2027.
Key Highlights
- 31,000 SF office building in Pittsburgh’s East End available for sale or lease beginning 5/1/2027
- Subdividable by floor: 10,000 SF (1st & 2nd floors), 5,061 SF (3rd floor), and 3,600 SF (ground floor)
- Office space on each floor includes large meeting rooms plus kitchenettes
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
$396,013
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
7.93%
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%
$7,920,260
$7.9M
Cap Rate 7%
$5,657,329
$5.7M
Cap Rate 9%
$4,400,144
$4.4M
Market Conditions
NOI Build-Up for 31,000 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
$699.4K $22.56/SF
− Vacancy
−$171.3K −$5.53/SF
EGI
$528.0K $17.03/SF
− OpEx
−$132.0K −$4.26/SF
NOI
$396.0K $12.77/SF
Area
Pittsburgh, PA
Vacancy
24.50%
Lease Rate
$22.56 /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%
$7,920,260
Cap Rate 7%
$5,657,329
Cap Rate 9%
$4,400,144
Alternative Uses
Best Use
Office B
$5.66M
$4.95M – $6.60M
NOI $396,013 @ 7.0% cap · market cap 7.93%
Second Best
—
—
no second resolved use
Theoretical Best
Office A
$9.87M
$8.64M – $11.52M
NOI $691,099 @ 7.0% cap · market cap 13.84%
Zoning and permitted uses should be independently verified with authorities.
Property Analytics
Property Profile
Current Use
Location Intelligence
Trade Area within ½ mile
3,029
Businesses Nearby
Explore this area
Business Placement
Demographics for 15224, PA
10,568
Population
6,380
Households
1.7
Avg Household Size
34
Median Age
55%
College-Educated
94%
High-School Grad
1.5 sq mi
ZIP Area
7,045
Density / Sq Mi
$65,974
Median Household Income
$49,642
Median Earnings
$1,191
Median Rent
$240,600
Median Home Value
Market
Vacancy Rate% for Office in Pittsburgh, PA
Questions? Ask Rey
Realmo’s AI knows this listing — price, zoning, demand, history. Ask anything.
Frequently Asked Questions
What type of property is this?
Office building - Office building offers large meeting space, kitchenettes on each floor, and on-site free parking with direct public transportation access.
Where is this office building located?
The property is located at 5231 Penn Ave Pittsburgh, PA.
What is the asking price?
The asking price for this property is $4,995,000.
What are key features of this property?
This property features: 31,000 SF office building in Pittsburgh’s East End available for sale or lease beginning 5/1/2027; Subdividable by floor: 10,000 SF (1st & 2nd floors), 5,061 SF (3rd floor), and 3,600 SF (ground floor); Office space on each floor includes large meeting rooms plus kitchenettes
